Surviving Sustainability

Earlier this week, 75 or so Realtors survived two jam-packed days of sustainability education at the local launch of the NAR’s brand new GREEN certification course.  Now all they have to do is take one more elective and they’ll be green, too.  Thanks to Bob Meckfessel (FAIA!) of dsgn architects and Tom Fitzpatrick of the Texas Home Energy Raters Organization (Texas HERO for short) for their help with the teaching duties.  And thanks to the folks at dfwrealtors for keeping me going, with cookies and well timed pats on the head.  Next class will be after the first of the year.

Un-utterable: What Would A Depression Look Like In Dallas?

I hate to use the D-word, but after reading this article in The Boston Globe, I started thinking about a local application. Dallas has such strong job growth — as I discussed last night with Stewart Lytle and Karen Taylor. If we look at the history of The Great Depression, that could mean many people would migrate here to find work. Oh great, just what we need — more cars on the road. So let’s turn on the comments. Tell me what you think Dallas would be like if we were to have a Depression. I heard all about the Great Depression from my mother, who saved plastic lids and rubber bands until her dying day. I know doctors used newspapers as sterile drapes – does that mean we’d go to the Gyno and he’dcover us up with The Dallas Morning News? Or would it be The Dallas Fort Worth News Telegram? People mended clothes and wore them forever. Would J’s Tailor do more business than Neimans? Would the Dallas Blonde fade to the Dallas Brunette? Big hair to bangs and a bob? Would the McMansions on Park Lane and Beverly Drive be filled with three generations under one roof so much that HPV would start a Bingo night? Would everyone move in downtown, fill up those condos, and leave their cars to rust in Frisco? Your turn…�

Breaking News: LFT To Close In Victory Park

Ort Barona is closing LFT at Victory January 1, starting their liquidation process sale tomorrow with merchandise — just unpacked merchandise — marked down by 25%. Chalk it up to what is quickly becoming worse than the worse four-letter word — the economy.

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Angie Barrett Sells Her Home At 3301 Beverly!

3301 Beverly sold — and Angie is delighted. Listing agent Lillie Young for Allie Beth Allman, who we assume is also delighted. Listing price:    . Angie won’t tell me how much she sold it for (darn those confidentiality agreements) nor to whom, but Dallas Dirt has learned the buyer is none other than Ron and Terry Unkefer, whose 4412 Lakeside home, listed at $12.6 million, recently sold. (Here’s a video on 4412 Lakeside, when it was listed at $15 million last February.) Meantime, Angie says her belongings are stored in about 37 different locations, from Eveready to One Arts Plaza where the finishing touches are going on her brand new high rise. With the help of architects Lance Raney and David Droese, she combined two penthouse units. ‘I love my new space,” says Angie. “I have an incredible view — it’s a total new chapter in my life!”

So many builders had eyed this home as a tear-down, and it clearly is not. This is such great news… folks, have faith, have faith.

What I Learned At Real Estate School…

That this could not happen in Texas because all properties should be covered by Title Insurance, and those rates are set by the state. (Is that correct? Still a neophyte here.) I know that Title Insurance is a very, very good thing and as important to have as property insurance.

Stevie Chaddick Just Back From Rosewood’s Artesana

Where I am DYING to go and visit the new hotel and residences, after visiting the grounds pre-construction in San Miguel last spring. I’ll get Stevie to tell me all!

Bank Bundling: Anatomy of One Bad Banana In The Bundle

The story I am linking to is provocative and full disclosure requires that I inform you I personally know two of the parties mentioned. Big Dallas names are invoked — Rusty Rose, Don Lummus. Let me remind you I am a messenger and impart no opinion nor further fact on the information. In the last 45 days, real estate reporting has become a brave new world. It is no longer prices up, down, sales volume or House Porn — though House Porn still rocks. It is now about complex mortgages and penny-stock banks and alogrithims and however else the financial geniuses of our generation twiddled and fiddled with home loans. That is why I reacted negatively to the SEC investigation of Mark Cuban, why I think it was overkill to waste tax dollars sending Martha Stewart to prison. Peanuts compared to what’s been going on the last few years… read on.  

Secret Gifts Of The Rich And Famous

I’ve been trying to stretch this story as close to the holidays as possible, but I cannot hold it in any longer. I have just unearthed the secret luxury gifts Dallas’ top agents give to clients as closing and referral thank you ’s. Are you ready? It’s what every savvy agent in town calls “the envelope”: an elegant, ribbon-wrapped pocket jam-packed with luxury linking the most upscale businesses in Dallas with elite buyers. Coupons? Never — these are beautiful, hand-engraved invitations in calligraphy to enjoy services. Because we all know that when it comes to gifts, some people (such as those in an $11 million dollar home) are a bit difficult to shop for. (If I get another vase we are going to have to add on 7,000 square feet.) People are tiring of things. Less is better. Less is going to have to be a lot better for several months, in fact. “The envelope” offers choice of services at places like Dr. Delphinium Designs, The Crescent Club and Spa, professional sports teams tickets, golf resorts, luxury linens, restaurants, spas, and more! Things people use. The total package value, I’m told, is over $6000.

You didn’t hear this from me.

Dallas Dirt On Tape This Afternoon: Welcome Real Estate Ribbit

On Friday, a new real estate site is going online from Dallas that promises comprehensive insight into residential real estate with daily news stories and features and links kind of like — oh yes — kind of like what we are doing here at DallasDirt: it’s called RealEstateRibbit.com. (Like the sound a frog makes, ribbit ribbit ribbit.) And wild commenters, get your fingers ready — there will a blog called the Frog Blog. The developers/partners are Karen Taylor, who has written about the local real estate industry for more than 30 years; Stewart Lytle, another veteran real estate writer, and husband and wife team Beverly and Steve Smirnis, publishers of Building SAVVY Magazine, a trade pub for builders and remodelers. The site launches Friday, so I am going over to CBS to pre-tape an interview about my experiences writing a real estate blog. Maybe we’ll get a copy and let you listen in. Maybe you think I’m crazy because this is future competition and I should send them a gift basket loaded with giant gumballs. But then maybe… I’ll just go dig up some dirt…

Update: We just finished the interview, and I love Karen, love Stewart! What a great interview — we wanted 15 minutes, we talked for 25. Am very excited about what they are doing and you will be, too! And as a housewarming gift, I am going to give Ribbit Wick’s Candy, Say It Ain’t So Joe, Heeeeere’s Johnny, Orange You On Vacation, Dooner and a host of commenters from the Dallas Dirt Comments Hall of Fame.  

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Let’s Not Discuss Dallas Real Estate Values Today

This is not as bad as when you get those monthly stock reports showing that all the money you’ve stashed away for retirement is down by 36%. No sir, not that bad at all. Steve Brown reports a decline in Dallas home prices of just over 2% while some Texas cities have actually seen modest increases. Don’t even ask me about the national outlook: it’s Miller Time for builders — those Dom Perignon days a recent memory. As one local home builder told me: no one is picking up a hammer. Even the Russians are having problems. I am starting my appraisal battle file right now — will keep copies of all these stories so just holler if you need. Listen up DCAD: my property taxes should be LOWERED next year, retroactive to November 19, 2008. Got that?

NorthPark Crime

Found this message in my email concerning increased crime at NorthPark Mall. Question: are there security cameras in those garages? Of course, technology only goes so far. Driving home from Austin today I saw a woman driving, wearing a rock of Gibraltar — at least 10 ct — on her left hand. Beautiful ring, yes, but given the economic climate this might be a good time to leave the bling in the Safety Deposit Box unless it’s Crystal Charity night. (more…)

The Stoneleigh: Q&A (Sort Of) With Jud Pankey

Jud Pankey was kind enough to answer my questions about the Stoneleigh last week, then our blog was down, etc. etc. So here you have it.  I am truly sorry The Stoneleigh has been caught in this credit mess. I would like to personally march all those Wall Street Rocket Scientists over to that shell and tell them where to stuff their financial algorithms…

DD: What are you going to do with the shell?
Jud Pankey: The shell is going to stay as is. It will be ready to go again once we close a loan. The garage will be ready next week, so we have made some progress. We will then turn our attention to the courtyard.
DD: The parking garage is completed for the hotel, so will you let the shell sit?
Jud Pankey: Not sure what else we would do. Do you have any creative ideas, as I am all ears?
DD: Was the crane really costing $30K a month?
Jud Pankey: Yes—close enough.
DD: Will you build a smaller, scaled back condo perhaps?
Jud Pankey: No—does not make sense.
DD: Do you have any financing promises at this point?
Jud Pankey: We are working with a couple of lenders. They do exist!!
DD: Is this why Paulson (last week) said he is aiming the bail out funds at the banks?
Jud Pankey: Not sure what he said but the banks are trying to figure out risk between banks and customers. I think it is confusing for everyone, hence there is no confidence. The banks are trying to price risk and they have plenty of capital, but they are not being paid to lend money just to lend money just yet. Plus, the regulators need to encourage them to lend versus contract. It is an interesting time.

Hitler On Real Estate

Hilarious. Thank you to Jeff Duffey, Coldwell Banker Park Cities (Hi Jeff, Hi Claude, Hi everyone!) for sending this our way!

If You Want To Do Something About Dallas’ Stolen Dog Problem…

Mark Cuban Accused of Insider Trading

Frontburner asks if this means he’ll have to sell the Mavericks. I ask, will he have to sell his home? (Love me that Texas Homestead law.) That is, homes properties. I did not know he owned all this land near Northwest Highway and Douglas. A reader pointed out that what he has done is no different than what Martha Stewart did, but I have to say this: I think Martha got a raw deal, especially in light of all the shenanigans those big Wall Street players have pulled that we are just now unearthing. Three words for you, SEC: Credit-Default Swaps.�

Steve Brown NAR Reports: “Half Of Those Properties Were Vacant”

Must read Steve’s take on how fixing home mortgages won’t save the housing industry. It’s been PC for Citibank and JP Morgan Chase and all the banks to announce new touchy-feely programs (”we feel your pain”, not “your pain is our gain”) for thousands of borrowers. (I have two Citi mortgages on investment properties and just may have to find out how low they’ll go… all for the sake of reporting, of course!) But read what happened when Freddie Mac sent out help letters.

Here’s A Way to Stimulate Sales

In Mexico City, the government is giving away free Viagra and other impotency drugs to qualifying elderly men beginning December 1. Now before you book your flights for Mexico City, just consider how this could stimulate the housing market and peripheral industries: the need for more bedrooms, home renovation, bigger beds, more bedsheets, multiple beds, divorce attorneys, buyers and sellers agents. Yes, I think this is something we definitely need to watch for possible U.S. adoption. 

Ebby Halliday’s Life Story, Read All About It

The First Lady Of Dallas Real Estate has finally got her fabulous life story on paper! Ebby Halliday Acers, Founder and Chairman of Ebby Halliday Realtors, Inc., the largest independently owned residential real estate company in Texas, has published a book about herself, her life and her company called Ebby Halliday: The First Lady of Real Estate. Full disclosure: she got a wee bit of help from writer Michael Poss, attorney and  CPA,  who is married to Ebby agent and former Dallas Mayor Pro Tem Mary Poss. Michael works for Ross Perot and is webmaster of PerotCharts.com and waded through years of company and personal scrapbooks, did hundreds of interviews. Foreward by Roger Staubach. Ebby’s book will be available in bookstores next February, shortly before her 98th birthday next March 9, or can be ordered this very moment (by December 15) with an Ebby autograph! To whet your appetite, check out the profile I wrote on Ebby last year for D Magazine… I’m still taking Geritol to gear up for next year’s story!

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Stoneleigh Update: Buyers Talk

Spoke with Greg Nieberding, a Dallas businessman who has a deposit on a two-bedroom, two-bath unit on the 11th floor of the Heritage at The Stoneleigh, now on hold.  Greg owns a printing company and is the creator of Baby Bear infant flight vests. He was one of the first buyers who signed on the dotted in the dusty old hotel.

“We were very excited,” says Greg. When construction seemed to take a little longer, he renewed his lease at Republic Bank Tower, but did not stress. Yesterday, says Greg, he received a call from Jud Pankey, Prescott Realty Group CEO, who told him the crane was coming down to save $30,000 a month. The construction financing had fallen through, but Jud said he hoped to have a new line just after the first of the year. Greg says his deposit of about $60,000 is in an FDIC-insured escrow account and it is earning interest. In fact, Greg is more concerned over the building’s marketing direction than his money:

“I got a little concerned when the marketing center started to look like Las Vegas,” said Greg, who hopes the condo will absorb the traditional design flow of the newly-remodelled hotel and Carlton Varney-designed penthouse. He’s got his fingers crossed for that new financing, and says he’s willing to wait 18 to 24 months to move into his condo. 

“I’m fine where I am,” says Greg.�

Lawyers & Title Companies To Benefit From Obama Presidency

With more real estate closings as banks get federal bail-out money and are pressured to make more mortgage loans, so says business development consultant Larry Bodine , a former editor and publisher of the ABA Journal.

Changing Trends In Real Estate Consumers

Texas A&M’s Real Estate Center quotes that NAR study that tells us young people are still buying first-time homes – that first time home sales accounted for 40% of all recent home sales. I was talking with home builder Christine Goff about changing trends in home-building, and what RECON has to say totally reflects our conversation:

• a record 32 percent of buyers found their houses first on the Internet; (Translation: DD needs more House Porn)
• almost 90 percent looked for information online during their home search; (Um, send me your listings!)
• almost 80 percent were concerned about commuting costs;
• 43 percent said heating and cooling costs were very important factors when they made their purchase; and
• more than 40 percent of sellers had to offer incentives to buyers, including assistance with closing costs and home warranty policies.

There’s another group out there for builders, the downsizers who don’t necessarily want a condominium but efficient, smartly designed 3500 square foot homes with two bedrooms down plus all of the above. My children sound like us: they tell me they do not want huge homes when they finally buy their own — too much to maintain, too expensive to keep up. Our kiddos may not have the chance to lead the lives of prosperity we did, and while they will embrace smaller abodes, I think they might have more of them.  

Underwater By At Least $122,000, In The Mountains

We talked about this in Real Estate class today, along with the unregulated, unabashed behavior on the part of mortgage lenders, appraisers, even a few Title Companies that led to our House of Cards falling in. (Most Title Companies are pretty great and do us a great service.) But in this northern California town, almost 90 percent of the homeowners owe more than their mortgages are worth. And according to this NYT chart, Texas is better off than CA or FLA, but still on the somewhat upside-down equity radar. What do you think?

Steve Brown: Stoneleigh Heritage On Hold

I asked the question last summer… amid near-weekly emails from folks saying nothing was happening at the 22 story, 118 unit luxury condo residence tower under construction behind the Stoneleigh Hotel. Now we know why: Steve Brown reports today that Prescott’s financing fell through, and the cranes are coming down, at least for now. Putting calls through to some of the first buyers, so stay tuned. 

Blogging From Real Estate School

I’m enrolled in Champions School of Real Estate this week up in far North Dallas. Rogers Healy is a grad. Purpose: learn real estate law and become a better real estate reporter. So while Steve Brown is sunning himself in Orlando at the NAR, I’m learning contract law. So much was jammed into today  — but a few things are dancing on top of my addled brain. Since 1837, Texas has been a great state for Homestead protection from unsecured debts. There are only five ways a creditor can get their hands on your home in Texas: failure to pay taxes of any kind (such as income), mechanics liens, not paying your morgage or home equity loans (as of 1998) and a real shocker, failure to pay homeowners association dues! (I think that is a bit drastic.) Don’t think you’ll save money by not having an agent: it can actually cost you more. Our instructor told us how a couple moved here from California, flush from selling their West Coast hacienda, and paid $227,000 for a home when the neighborhood comps placed the value below $200K. A few more posts, and then I have to study — my kids are telling me I’ll be grounded if I don’t get As and… we have a test first thing in the a.m!

Dallas Home Prices Nosedive, But But But…

Remember, we are comparing to last year, one of the hottest sales years in the history of Dallas Real Estate, and maybe the world. The good news is that inventory is dwindling. Realtors have told me that folks who are not serious about selling are yanking up the for sale signs, putting them on ice. Builders are telling me that if they can hold out for about a year, 2010 will be the Comeback Kid and because there are so few housing starts now, there will be very few new homes for sale come 2010. Less inventory, stronger market, better prices. Everyone’s just taking a chill pill. P.S. Clip and save (or bookmark) this article to help fight your tax appraisal next spring.