California Invasion! (San Antonio, Kerrville, Fredericksburg: to rent, insurance, second mortgage) - Texas (TX) - Page 8 - City-Data Forum

glenns · 03-20-2007, 05:48 PM

Quote:

Originally Posted by SoCal transplant

We were fortunate, and our kids will be going to Bush and Reagan. Even so, we are considering Timberwood Park, if we decide to stay in SA.

SoCal, I'm just curious, what is it about Timberwood Park that you are considering it over Stone Oak?

HI2VegasNowSA · 03-21-2007, 04:41 PM

I saw an MLS listing for a 1.13 acre at Timberwood Park. Is there a time limit to build on the property? How much is the monthly/yearly HOA dues?

706 SILENT HOLLOW
http://sabor.fnismls.com/Paragon/ListingPictures/SABOR/8/SABOR620118.JPG (broken link)

cantu29 · 03-22-2007, 09:29 AM

I was working for a real estate company on Stone Oak. There are many people who are moving here from California. I noticed it first hand. Many agents are picking there clients up from the airport and others and driving here with other family members or investers. I know a few agents that have sold 3 or more houses to one family. Many are just buying these houses so they can rent out. Problem is that many are not renting as fast or easy as they thought it would. If your thinking about buying a house, dont wait long. I feel like the Califorians are making our home prices skyrocket. What we think is expensive, they think it is a steal and they are paying full price for houses that are on the market. Once someone has paid a price for a home that is higher than the others in the neighborhood, the real estate agent can try to list his clients home at that price as well. Now you have a neighborhood that is too expensive for San Antonio residents to buy. Good luck. Dont forget about the Mexicans that are buying in the Stone Oak area as well. In Mexico, there is no middle class. You have money or you don't. The ones moving here are extremely wealthy. Many are moving to San Antonio.

hello13685 · 03-22-2007, 10:40 AM

Hi Cantu29,

Everything you wrote, my real estate agent told me as well. Once someone pays more for even one house, then the whole neighborhood goes up irreversibly, and there's nothing anyone can do about it. Texas is being sold from under itself by California housing equity; that's basically what's happening.

01Snake · 03-22-2007, 10:49 AM

The value of my almost 2 yr old home in Timberwood has skyrocketed.

wCat · 03-22-2007, 11:11 AM

I'm not a real estate expert by any means....but I deal with it a lot in my business. This property "gold rush" will come to a screeching halt when more and more of the new buyers crack under the culture shock and head home. I'm just assuming this from the comments posted here from some that haven't adjusted to a different environment. With a glut of homes on the market, the ones investing will find they no longer have "renters" and will have to start selling off cheaper than market rates to get out from under these "great deals". Those real estate comps being "marked" down will have the same effect on the neighborhood. It will become a vicious cycle in reverse. It's erroneous to think that prices can't go down. Dallas is facing this right now. They made the list of the top 100 cities with the most foreclosures in 06. San Antonio was up on the list, but not in the danger zone. It's just a matter of time. Real estate experts pretty much agree that property values run in 7 year cycles. The SA market is getting near the top of that bubble.

jules07 · 03-22-2007, 11:19 AM

This is a buzz term in the RE community (that translated into "I've got a sucker that's gonna buy anything I show him and pay dearly for it!"

). The interesting thing is tho, that there seems to be somewhat of a cooling off as far as investors buying several properties to rent out. The rental market is glutted right now because of the initial purchasers buying 2, 3 or even 5 in one subdivision. Also, *many* builders are no long allowing this type of activity. It's not good for them when there are several "for rent" signs in their neighborhood or somebody is trying to sell a house for *less* than what the builder is trying to sell it for. The other factor that plays in to it is that SA in general hasn't really seen the double digit increase in home values that CA investors want to see. (There may be exceptions to this, tho, and it may have happened in certain areas.) Once they've realized that, they've backed off a bit. SA having a nice, steady 6-8% appreciation in home values is good. 15%, 20% and more is not. Like you all said, it becomes overinflated for the folks who've lived here most, if not all, of their lives. We don't want to end up like California (and even the other markets that CA equity has touched) where you have younger family members not being able to live where their parents live 'cause they can't afford it.

Just my 2 cents.

MichelleSG · 03-22-2007, 12:14 PM

In my subdivision you must sign a contract that you will not rent or sell for 1yr or your house gets repo'd by the builder. I have not met a neighbor yet here who rents. There is 1 street a few block over that has had a for lease sign up since I put a deposit down on my house last May. I found out that it was purchased by a CA investor, who must now be really bummed about their investment. Purchasing a rental in a neighborhood that's still being built just doesn't financially fly, you need to purchase rentals in established older neighborhoods. Plus SA is just not that great a market for rentals compared to CA. You need to hae a huge gap btwen those that can buy and those that have to rent. Why pay rent for a place that's the same as the mortgage payment? In CA mortgage payments are astronomical since the houses are sooo over priced (still) so you can easily have a rental. For CA inestors it's much wiser to put their money into something commercial that is supported by all the new home owners.

01Snake · 03-22-2007, 12:29 PM

Quote:

Originally Posted by MichelleSG

In my subdivision you must sign a contract that you will not rent or sell for 1yr or your house gets repo'd by the builder. I have not met a neighbor yet here who rents. There is 1 street a few block over that has had a for lease sign up since I put a deposit down on my house last May. I found out that it was purchased by a CA investor, who must now be really bummed about their investment. Purchasing a rental in a neighborhood that's still being built just doesn't financially fly, you need to purchase rentals in established older neighborhoods. Plus SA is just not that great a market for rentals compared to CA. You need to hae a huge gap btwen those that can buy and those that have to rent. Why pay rent for a place that's the same as the mortgage payment? In CA mortgage payments are astronomical since the houses are sooo over priced (still) so you can easily have a rental. For CA inestors it's much wiser to put their money into something commercial that is supported by all the new home owners.

EXCELLENT!

hello13685 · 03-22-2007, 03:06 PM

I wonder what effect sub-prime mortgage problems may have on middle-class San Antonio buyers who may no longer qualify as the restrictions are tightenened, and because wages are NOT keeping pace with costs. It looks like many of these folks are good fodder for the Californians' rental properties...