Town Extreme Makeover

By: Stephanie Kelley

As a kid I grew up appreciating small towns in Texas. With both of my parents hailing from the town of Junction, Texas, I have always found small historic towns exciting and nostalgic. When I came across this article, I was drawn to it for the same reasons along with the fact that what these people are doing is really cool. In an article from November 3rd, 2007, The Statesman tells a story of five college friends who all decided to go in together and rejuvenate the tiny town of McMahan.

The five buddies were eating at a barbeque place outside McMahan in Lockhart when they saw a sign advertising the sale, “TOWN for SALE. Start your own history here.” They immediately went to check out the town that same day and fell in love with the idea of bringing life to a dilapidated town. After a year of persuading and making arrangements the deal finally finalized and they became the new owners of five downtown buildings in McMahan and the McMahan Texas LLC partnership.

The five building sit on around two acres split by FM 713. In hopes to bring the town to the 21st century they are thinking about turning the buildings into “art galleries and studios, a music venue, restaurants, and gift and antiques stores.” Also there are talks of putting in a small park area on part of the land. One of the buildings (an old post office) is currently a barbeque place and the McMahan Texas LLC partnership is currently not charging them and rent in hopes to keep them thriving until they can get the rest of the town up and running.

When I heard this story I truly believed that this group of friends truly wanted to help and revive this town. It didn’t think they were just out to gain a profit. I believe that they just want to help and be part of something good. It’s not very often that you run across someone like this. I think we need more people out there who are willing to give a little in order to make this state a better place. Even if it is starting with a small rundown town like McMahan.

Several ideas to get the buzz about the new town include logos, baseball caps, and even enlisting the help of a Texas song writer to use then town name in one of her songs. Their dream is to hopefully in few years down the road be thriving along side towns like Gruene or Luckenbach.


Five pals have a vision for tiny town
New owners aim to make McMahan the new Gruene.

By Shonda Novak
AMERICAN-STATESMAN STAFF
Saturday, November 03, 2007

Hidden Home Gems

By: Jay Heinrich


Hidden gems are spectacular to find. For instance, someone takes a chance on a burger joint and it turns out to have the best hamburgers they have ever eaten, or if someone walks into a hole in the wall bar one night and it turns out to be their favorite watering hole. For those involved in real estate or just looking to buy a home, Lockhart is the home of a few of these so called hidden gems, and they are at a fraction of the cost of what these homes would cost in the Austin area.

In a recent article by Austin-American Statesman writer Charles Ealy, the author describes two homes that would make even the most unexciteable man sit on the edge of his seat. They are both on the market for $325,000 and $379,000, respectively. It is thought that these houses, given their hardwood floors, high ceilings and historical backgrounds, would more than likely list for over $1 million in Central Austin.

Some are worried about the recent trend in the Caldwell County of rising home costs. According to the article, the median home price in the county jumped 9.7 percent in September of the current year. However, despite a proposed part of Texas highway 130 to be constructed a few miles west of Lockhart, very few are predicting skyrocketing home prices in the near future.

The famous Cardwell House in Lockhart is another good example. Over 3,500 square feet, three bathrooms, a huge backyard with a guest house, several huge oak trees, and there is a historical marker in the front yard. There is another large estate on Bois D'Arc St. listed for $219,500. The costs shine in comparison to the million dollar prices that the homes would bring in the Central Austin area.


When looking for a house, don't be intimidated by realtors that pressure you to make a quick decision. Look around. Dig deep. Who knows.... you might stumble upon a gem.



Ealy Article: http://www.statesman.com/business/content/business/stories/statesmanhomes/10/28/1028lockhart.html

Looking for a good deal on a place to rent, buy a duplex!

By: Stephanie Kelley

In a special housing supplement of the Austin American Statesman an article focused on business savvy investors who purchased duplex’s so that they could have an affordable place to stay, pick their own neighbors and have their mortgages split by their tenants. I found this article very interesting because I myself live in a duplex. I loved the idea of purchasing a duplex and having someone to share the mortgage with. I hate paying towards something I don’t own but if I owned the duplex I could get at least half if not more of the mortgage paid by a tenant.


The article also featured a review of three different duplex’s and their owners (a first timer, a veteran & a family). I think that this would be more applicable to a single tenant rather than a family unless the duplex is huge. However, if you need a supplemented income this is a great way to sit back and watch the money come in each month. The Burger family uses their tenants rent as a supplemented income so one parent can stay home with the kids, “If we had a big mortgage payment every month, both of us would have to work," says Gann Burger.

On the other hand, it is a business investment because you have to be able to keep the duplex up to date and looking good. Veteran Cash Edwards points out that a good way to keep your rent high is maintaining your duplex, “keep the tenant's side "swanked out" — even if the other side is a "hovel" — in order to be able to keep the rent high.” She also adds that there are several energy saving techniques to help keep bills low, such as “replacing all the toilets with low-flow models to save water and benefit from City of Austin incentive programs.”

I think that if I am still single when I become financially stable enough to buy my first property that I would love to invest in a duplex. I know it will be a lot of work keep everything maintained but this is something I am interested in and would love to turn into a hobby. However I will definitely be keeping this articles advice in mind when the time comes.


“Twice as nice”

Some savvy Austin homeowners have discovered that owning a duplex for their primary residence lets them pick their neighbors and pay part of their mortgage

By Jenny Miller

SPECIAL TO THE AMERICAN-STATESMAN

Sunday, October 21, 2007

Foreclosures Far Too Frequent

By: Jay Heinrich


There has recently been no shortage of reports on the trouble that the real estate market is growing towards, and in some cases already in, right now. Some of the hard times are being blamed on the huge number of subprime loans that were issued during the recent boom of housing in Texas and across the nation. These subprime loans are, more often than not, issued to borrowers with less than decent credit scores. While the word subprime refers to the credit of the owner and not the interest rate on the loan, high interest rates go hand in hand with these types of loans. These loans are extremely risky due to the history of the borrower. Now, because of many of these loans turning into foreclosed homes and unpaid loans, lending companies are paying the price.

Here's the deal. To stop the huge number of foreclosures, stop giving out so many of these subprime loans. The math is pretty simple. Less loans equals less possibility of foreclosure. I understand that people need a place to live and will need loans from time to time, but now it is not only effecting the borrowers. This has started to become bothersome to people that do not depend on these subprime loans. Many lending companies are having to file for bankruptcy because they are not working with the lendees. If they hadn't given out so many of these loans, they might still be in business.

According to an article by Enrique Rangel from amarillo.com, Texas Attorney General Greg Abbott has spoken up and offered his thoughts on what it would take to turn the corner on these problems. He presented five things lenders can do to reduce the amount of foreclosures in the market and make it a little bit easier on the lenders and lendees of Texas. These include improving communication with consumers, providing solutions for borrowers with adjustable-rate mortgages, and waiving penalties and fees while the company works with the borrower to keep their loan.

Winner, Winner, Chicken Dinner. This should apply to every day life, not just a business like real estate. I'm glad someone has come forward with some ideas, but it shouldn't take a politician to come up with something like that. Just because someone screws up once you shouldn't write them off as worthless to you. Taking the time to talk to someone to figure out what they can do to help not only themselves but you as well makes a little more sense than just ripping away whatever opportunities they might have to be successful. Don't make it all about you. Make it about them as well. If someone feels more comfortable with you, they are more likely to be inclined to do whatever they can to make the situation good for all parties involved. So instead of automatically sending things to collections and just chalking it up as a loss, companies should take the time to work with the consumers to come up with solutions to the problem.

Senator Eliot Shapleigh, D-El Paso, is so worried about the consequences of a real estate bust in Texas that he asked Governor Rick Perry to call a special session next year on the issue. Perry has yet to respond, but when he does, I hope he is as open minded on the topic as Attorney General Abbott is and makes the decision to at least call a special session to discuss this matter. If not, the real estate bubble in Texas will no doubt be ready to burst.



Rangel Article: http://www.amarillo.com/stories/102207/new_8745435.shtml
Information on Subprime Loans: http://en.wikipedia.org/wiki/Subprime_lending

15 million dollar price tag

By Stephanie Kelley

As I was flipping through the paper, an article in last Friday’s Statesman sparked my attention: “Owner says he can't afford to donate it to county but is looking for a private buyer rather than a developer.” The land the article is referring to is Windy Point a Lake Front Park on Lake Travis. I stopped to read the article because it sounded genuine; it sounded like the owner really intended the land to maintain accessible to the people. I was intrigued because usually people are just out for personal gain. In any case I read the article only to realize it was really just a publicity stunt or free advertising, as I would call it.



After reading into the article you find out that the seller already planned to get rid of the land, but the deal with a Houston developer fell through. So now he is just getting the word out to prospective buyers who are able to pay the ticket price of a whopping 15 million dollars. "Whoever comes up with the money gets it first" says Bob Barstow. He goes on to make sure to mention that "It's a trophy piece of property."

The article quotes the parks director for Travis County, Charles Bergh, who has obviously is on bad terms with Barstow. "This thing could go real quick and painless if Bob would just donate it to the county," Bergh said. "But I do not think Bob wants to donate his land to the county in light of our past." Now I’m not saying that he should donate it. It’s his land and he can do what he wants. But if he was serious about trying to keep it accessible to the public he could at least lower the price tag a little bit so that more than just developers could afford it or so that the county/state could buy it.



To me this article just sounded like a last attempt to get someone with a lot of money to take it off his hands so he could retire to Fiji, “My motto is, 'Meet me in Fiji as soon as the property sells.'” At the ripe age of 78, it seems like, more than anything, Barstow wants to retire rich and quick. "I want to spend the rest of my life having fun," he said. "I've paid my dues." I guess when you get that old you can do what you want… 



Windy Point Park on the market for $15 million

“Owner says he can't afford to donate it to county but is looking for a private buyer rather than a developer.”

By Shonda Novak
AMERICAN-STATESMAN STAFF
Friday, October 12, 2007

http://www.statesman.com/business/content/business/stories/realestate/10/12/1012windypoint.html

This Old Porch

By: Jay Heinrich

When I think of a front porch, I think of sitting around as the sun goes down, drinking my beverage of choice, and telling stories with my friends and family. I had a small front porch growing up, but it definetly served a purpose. While the number of front porches is dramatically decreasing with the large numbers of apartment complexes and condos being constructed, those who choose to live in a house in Austin are often drawn to houses with the symbol of togetherness that is the front porch.

In a recent Austin-American Statesman article written by Amber Novak, the author compares the front porch to types of Americana such as apple pie and baseball. I could not agree more. Emblazoned in my memory is my small town neighborhood with front porches on every home. Neighbors sitting around in the evening having conversations from porch to porch. Kids throwing a football or baseball in the street. The sound of baseball cards in tire spokes as bicycles went up and down the road. It seemed so normal. Since I moved to Austin, though, the normalcy has quickly faded.

There is still hope for the front porch, even in a growing city like Austin. In Novak's article, Lin Team, a real estate agent with the Kinney Co., says that front porches are, "a very important feature for my clients. They [the clients] are really attracted to a house with a comfortable front porch." Blooming neighborhoods like the Plum Creek community out in Kyle are giving families the opportunities to have the stage for social interaction. The article states that while a few houses in Plum Creek do not have porches, the large majority has porches that are at least 6 feet in depth. As a former resident of Plum Creek in its fledgling days as a community, I can speak first hand that the porch I had at my house was great for the same reasons my porch back in my hometown was.

If you can't think of any reasons why you should hold front porches in high regard, i'll give you three: late night talks, new friends, and first kisses. Like Robert Earl Keen said in the Front Porch Song,

"This old porch is just a long time of waiting and forgetting
Remembering the coming back, not crying about the leaving."

I want to go back to my small hometown and sit on my front porch right now. I bet someone will be there waiting.



Novak article:
http://www.statesman.com/business/content/business/stories/statesmanhomes/10/07/1007porches.html

Robert Earl Keen Lyrics:
http://www.cowboylyrics.com/lyrics/keen-robert-earl/front-porch-song-11823.html

“City of Hutto gives upper leg to new retailers”

By: Stephanie Kelley

An article in the Austin American Statesman yesterday revealed Hutto’s new plans to create a 466 acre mixed-use development project. The site will have office space, housing, new retail sites and will have a toll road running straight down the middle of the property.

On Wednesday, October 10, 2007 the Hutto Mayor Kenneth Love officially signed off on a deal that will give ACD-GREP II Hutto Real Estate LLC a $52 Million incentive to build in Hutto.

Critics say it doesn’t look fair to other retailers who have already built in Hutto and didn’t receive any incentive of their own. “The city would be giving the development a leg up on other retail outlets.” said Grass-roots lobbyist Jeff Heckler, who opposes the Domain’s package. His sentiment has a valid point, and it is more than likely the general thoughts of all the other retailers in the area.

City Manager Ed Broussard added the fact that, although they are able to offer incentives on a case-by-case basis, this incentive also had benefits for the city. By allowing this incentive to go through, Hutto officials provided the city leverage in reaching a separate agreement that gives it more control over landscaping, parks and other infrastructure on the site. So it can be seen as a positive from any angle.

I don’t think it is fair to the other retailers out there that this new Hutto Domain will get incentives to build there, but I think the Hutto Mayor and City Council are only looking after the best interests of the city. According to Texas’s demographer’s office the City of Hutto is the fasted growing city of the state and with the building of this new site they will be giving people even more reason to move there. And for those who already live there, they will be given another reason to stay in Hutto for the convenience of these shopping areas. I think they’re just trying to ensure Hutto’s future as a bigger city with more to offer. If that costs them a little in the beginning to get the proverbial “ball” rolling, then so be it. Years down the line, with this deal already working for them, they will have other developers begging to build there. In other words, by acting aggressive now, they will be able to reap the benefits of an ever-growing small town.



Austin American Statesman
“Hutto gives sales tax dollars to developer”
Andrea Lorenz

KVUE News
“Hutto leaders make development deal”
Rudy Koski