Posts from — June 2008

Several of my clients lately have told me that “It’s a buyer’s market so we should be able to get instant equity” when we buy, or “It’s a buyer’s market so we can really low-ball the asking price”. Why do they think this? Simply, NATIONAL  NEWS is of course reporting the real estate market as being in severe distress. There is no doubt that real estate is down nationally.  However,  while some areas are hurting, other areas are doing well. The real estate market is specific to the geographic region. 

San Antonio is still one of the strongest markets in the country. As a matter of fact, Forbes Magazine ranked San Antonio as one of the nation’s strongest housing markets, behind only Seattle and Oklahoma City. The reason, a 11.2% increase in home prices.

With that said, San Antonio has not totally escaped the economic times.  The sub prime issues have certainly affected us. Mortgage companies have tightened their parameters, thus taking a percentage of potential buyers out of the market. Many investors  have virtually disappeared from our market because of their exposure in other markets.  This has changed the dynamics of our market. Builders have stopped buiding spec homes. They placed large incentives on their inventory to move existing product. That inventory has for the most part been sold off, which now drives buyers back to pre-existing homes.

So really, how is the San Antonio real estate market?  Just as it is nationally, some areas are stronger than others. Another factor is price. There are certain price points that are stronger than others. The lower price points are more active than the more expensive properties.  So, is it a buyer’s market? It depends on the area, the price point, and the individual seller’s position. Every transaction stands alone.  The bottom line for a buyer: Find an experienced agent that knows the market that can convey good, current information to you so that you can make an educated buying decision. Please feel free to contact us if you have any questions.