This is a home I’d expect to see in California — 1810 Bermuda St. by Ron Wommack FAIA and John Rice of Ron Wommack Architect: perfect;y sized 3,500-square-foot home (3500 is the new BIG HOME) takes the shape of a two-story box.  Around two sides an engawa, a veranda of Japanese origin, anchors a linear garden and morphs into an enclosed porch on the upper level. This is the book collector’s home; the residence was designed to maximize wall space for exhibitions. Innovative building materials include cast-in-place board-form concrete, red-painted hardy plank and vertical corrugated metal.

Great example of homes we will see more of in the future as people want to be closer in to the city, seeking higher desity: 4143 Buena Vista St. Three units face the Katy Trail,  two freestanding units with roof decks take advantage of downtown views.  This design allows town homes to connect and seemingly disappear into the Trail environment.  Vertical corrugated copper, milsap stone reclaimed from earlier WPA projects down the Trail, and ipe wood screens provide privacy and architectural interest in this Uptown neighborhood.

Local proof of the new Puritanism: D. Porthault, those glorious, luxurious, butter-to-the-touch linens that came to us at Highland Park Village, will no longer have a stand-alone shop in Dallas. The HPV store closed the end of June and planned to re-locate within the Park Cities, but the owners have decided not to re-open a store in Dallas.

All is not lost: Madison will carry some of the D. Porthault lines.

November 7,  29 “luxury condominium homes” will be auctioned off by Kennedy Wilson. I was reminded of this yesterday here at the Urban Land Institute meeting in San Francisco, when I stopped by the Sheldon Good & Company booth/exhibit. Sheldon Good auctioned off the The Centrum a few years back, kind of got sales jump-started. They were telling me that auctions are an emerging trend in real estate sales and not just for distressed properties (or condos) either; check out this:  the 40,000 square foot main house of the John S. and Eleanor Pillsbury estate, designed in 1916 to 1918 by architect H.T. Lindeberg, on Brackett’s point overlooking Lake Minnetonka, Minnesota. This is the second time in the home’s history that it has been on the market.

Segue back to the Drexel Park Hollow: jump for  the deets on those interiors.

When I toured the units, they told me that HOA dues would be lowered to 30 cents per square foot from the usual 40 cents. (Wonder how that sits with current owners?) The condominium also takes care of mowing the small patches of grass outside the units. Finish out nice, though I personally found the units very dark . Some kitchens, for example, are in the center of the floor plan without windows. Granite counters a bit thin, impressive kitchen appliance package: Wolf, Thermadore, Bosch dishwashers. Huge master baths and closets; air jet tubs versus jetted. I did not like no sinks in the utility rooms, otherwise spacious. Jack and Jill baths in-between the guest bedrooms, solid core doors impressive. Units with square footage over 2500 square feet also have three thermostat controls. I was not impressed that the libraries had no shelves, but that’s just one of my building pet peeves (along with no hand-sprayers in soaking tubs). However, the agent told me this was by request because residents often use the room for other purposes — and prefer to use their own shelves. Makes sense. Another feature of these units that make them ideal for people who travel: the valet closets. These are accessible from the exterior by the staff to drop off packages and dry cleaning; the doo from the closet to the unit is accessible only by the resident for security purposes. The Drexel Park Hollow has spacious underground parking with private elevators to each unit; a room in the basement has been decked with carpet and a few treadmills for a gym. The takeaway: a pretty good buy for the money, super spacious, and if you are inclined to travel and not live in these units 24/7, a few lightbulbs will bring in all the light you need.

Ostentation is dead, at least for two years; I mourn.

Second home ownership is all about re-connecting people, bringing owners to nature.

Second home ownership is very social.

Second home ownership likes/wants the resort “experience.” More exotic, the better.

To whit, we are talking a down comforter in a cabin or tent. (More biz for Bibbentuckers.) Outdoor amphitheatres. More experience and memories than opulence. Multi seasonal nature, and a social connection between real people. 82% of the U.S. population claims to walk outdoors, 84%  of parents want their children to spend more time outdoors, and all families really want to get re-connected to nature. Oh, but they also want easy access to airports. (I so relate, we want it all!) In fact, today I heard that LOCATION LOCATION LOCATION has been replaced  by ACCESS ACCESS ACCESS. Want the recipe for success for a second home community? Try amenities, telecommunication and air travel.

Second and all homes are getting smaller. Here’s what people want in design: Simpler design, smarter design, higher density neighborhoods, the elimination of secondary living spaces, flexible space, and a connection to nature.

Guess who’s buying way smarter than their parents and daring even to ask what utilities cost? Generation X.

Fairies, elves, knights in shining armour, I see all this and more in this restored 1931 built Lakewood Heights Tudor that has been restored and remodeled to sustain 21st century living. Yet it has retained the charm of yesteryear, from the exterior brick, roofline, leaded glass windows, moldings and sunroom.  6318 Belmont  is larger than it appears to be,  2703 square feet loaded with four bedrooms, three baths, sun room, large master suite and ginormous closets. And talk about proximity to White Rock Lake — please! This is the Lakewood dream life, biking to White Rock, Whole Foods, footing it to Lakewood Village. Master suite is upstairs with a stunning bath suite. Garage is detached and in back, with an electric gate. The yard: to die for deck and trees. The price: not bad — $479,000. Twist Brett Gray’s arm over at Dave Perry-Miller, but not too hard, please.

Yes to Proposition 2, property rights, to amend the constitution to authorize the legislature to provide for the taxation of a residence homestead solely on the basis of the property’s value as a residence homestead, regardless of whether the property may have a higher value if it were used for other purposes. Texas homeowners have seen their appraisals rise substantially, not necessarily because the value of their homes increased, but because the land was considered more valuable as a potential business site. Texas already prohibits agricultural land and timber land from being appraised based on other possible uses, but no similar protection exists for homeowners. This is key to homeowners to keep their property from being taxed at a higher rate in some urban areas where the land might be more valuable as a shopping mall or other enterprise.

Yes to Proposition 3, to amend the constitution, require the legislature to provide for the administration and enforcement of uniform standards and procedures for appraisal of property for ad valorem tax purposes. Some argue this opens the door further for state involvement in local property taxation, but it appears this proposed amendment would make sure that properties in different counties are appraised according to the same uniform statewide standards. It would allow appraisal standards to be enforced by direct action against appraisal districts, rather than relying on penalties against school districts. Since state funding to school districts is partially based on local property value, it’s unfair to allow values to be determined differently in different counties.

Yes to Proposition 5, to amend the constitution to authorize the legislature to allow for a single appraisal review board for two or more adjoining appraisal entities that elect to provide for consolidated reviews of tax appraisals.
This is sheer efficiency, helping folks in rural counties who can’t find qualified candidates to sit on their appraisal review boards. Proposition 5 would let counties join together to form consolidated appraisal review boards.

If you like your beach-front property, No to Proposition 9, which would define what is a state-owned public beach and may limit ownership of beach-front property. The public, individually and collectively, would have an unrestricted right to use and a right of ingress to and egress from a public beach, and the amendment would authorize the legislature to enact laws to protect these rights. Our coasts will end up like Scotland, where people can walk all over another person’s property. The Open Beaches Act gives the state too much power to restrict the right of private landowners to enjoy their property. Placing this authority in the Constitution would only worsen this problem by making the law more difficult to change in the future. Under the Open Beaches Act, the state has forced homeowners to move or remove their houses after hurricanes and other changes to the coastline. The law should be weakened, not placed in the Constitution. No, no, no!

Yes to Proposition 11, to limit eminent domain. Eleven would amend the constitution to provide that the taking of private property for public use, erstwhile known as “eminent domain”,  is authorized only if it is for the ownership, use, and enjoyment of the property by the State, its political subdivisions, the public at large, or by entities granted the power of eminent domain, or for the removal of urban blight. The amendment would prohibit the taking of private property for transfer to a private entity for the purpose of economic development or to increase tax revenues. (Yes, this happens.) The amendment would also limit the legislature’s authority to grant the power of eminent domain in the future unless it is approved by a two-thirds vote of all the members elected to each house.
Proposition 11 would help curb abuses of the power of eminent domain by stating the legitimate purposes for eminent domain in the Constitution. Passage of this amendment also sends a strong message from the Legislature and voters that eminent domain must be used for very limited purposes, only when it is really needed.

No go vote!

I so do not like being Debbie Downer, truly, but the prognosis isn’t looking too positive. Your thoughts?

Update: Today’s New York Times downplays the disaster scenario I envisioned last night. Apparently this is a pre-packaged, “different kind of bankruptcy” that allows the company to re emerge from court protection by the end of the year, which is a pretty speedy recovery.

And that, dear readers, is how the national real estate malaise hurts us.

Gratzie,

Marisa

And then: know of any haunted houses on the market? I mean, besides these.

News Release

Mortgage Applications Decrease in Latest MBA Weekly Survey

WASHINGTON, D.C. (October 28, 2009) – The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending October 23, 2009.  The Market Composite Index, a measure of mortgage loan application volume, decreased 12.3 percent on a seasonally adjusted basis from one week earlier.  On an unadjusted basis, the Index decreased 2.8 percent compared with the previous week, which included the Columbus Day holiday.

The Refinance Index decreased 16.2 percent from the previous week and the seasonally adjusted Purchase Index decreased 5.2 percent from one week earlier.  The unadjusted Purchase Index increased 4.8 percent compared with the previous week, which was a holiday shortened week, and was 15.4 percent lower than the same week one year ago.

The four week moving average for the seasonally adjusted Market Index is down 3.1 percent.  The four week moving average is down 1.4 percent for the seasonally adjusted Purchase Index, while this average is down 4.1 percent for the Refinance Index.

The refinance share of mortgage activity decreased to 62.3 percent of total applications from 65.0 percent the previous week. The adjustable-rate mortgage (ARM) share of activity increased to 6.9 percent from 6.4 percent of total applications from the previous week.

The average contract interest rate for 30-year fixed-rate mortgages decreased to 5.04 percent from 5.07 percent, with points increasing to 1.25 from 1.13 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.

The average contract interest rate for 15-year fixed-rate mortgages increased to 4.53 percent from 4.51 percent, with points decreasing to 0.78 from 0.96 (including the origination fee) for 80 percent LTV loans.

The average contract interest rate for one-year ARMs decreased to 6.79 percent from 6.86 percent, with points decreasing to 0.29 from 0.31 (including the origination fee) for 80 percent LTV loans.

**SPECIAL NOTES**

The index values are no longer included in MBA’s Weekly Applications Survey press release, only the percentage changes.  If you would like to subscribe to MBA’s Weekly Applications Survey, please contact MBA Research at (202) 557-2830 or mbaresearch@mortgagebankers.org or click here.

]]> http://dallasdirt.dmagazine.com/2009/10/28/mortgage-application-volume-down-12-3/feed/ 1 http://dallasdirt.dmagazine.com/2009/10/28/first-time-homebuyers-update-plan-b-looks-good-for-big-d/ http://dallasdirt.dmagazine.com/2009/10/28/first-time-homebuyers-update-plan-b-looks-good-for-big-d/#comments Wed, 28 Oct 2009 12:48:33 +0000 Candy Evans http://dallasdirt.dmagazine.com/?p=6451 Bloomberg is reporting that the Senate has another deal in mind to stimulate home-buying: a tax credit of up to $7290. (with income limitations, of course, which appear to be $250,000 for joint filers) for “step-up” buyers who have been in their home at least five years. Bloomberg says the price of the home will be capped at $800,000. That could be very beneficial for our Dallas market, because $800,000 buys a lot of home in Dallas. Stay tuned, I’m watching this one for you…

I’m torn. I think the credit was necessary, and not only do I think it should be extended, I think it should be expanded. Goldman Sachs, otherwise known as Government Sachs, has said it pushed up home prices by 5%. There are simply too many people who bought adjustable rate mortgages in the past few years, too many people who, if they have to sell their homes, will have to carry cash to closing. What if they don’t have it? I’ve heard that many banks are shelving some bad loans, others making deals as low as 2% interest rates just to keep folks in the home, the property off the courthouse steps.

Almost makes you want to stop paying your mortgage. But then, who said life was fair?

The housing market is a vital component of our economy, and when people move and buy homes, they tend to spend money — movers, hardware, paint, soft goods, hard goods.

As for the government propping up an industry, I have this to say: Amtrack.

Then ZipRealty (Emeryville, CA) tossed out it’s third quarter report to find this quirk:  Grand Prairie, Texas emerged as one of the top ten “hot” markets in the U.S., a hot market being one where accepted offers come in higher than list price. I had no idea this was happening in Grand Prairie. Further, Texas is a non-disclosure state so I am just baffled and have emailed the company for an explanation.

Help if you are from Grand Prairie — we need a clue!

“When the market does start to pick up, the NAHB sees that happening two years from now, the landscape will be changed, literally. After a long run-up in median new home size, peaking at 2,309 square feet in 2007,home sizes shrank to 2,091 square feet in 2009. “It’s the largest decline ever seen,” said NAHB’s chief economist David Crowe. Since first-time buyers and their parents, the empty-nesters, will be the dominant demographic groups over the next decade, builders will cater to those groups more modest needs.“

Modest needs: does this mean the end of keeping rooms and industrial refrigerators, uber high end appliances? Might not be a bad time to invest in some 2/1’s or other starter homes IF there is any financing out there.

Tomorrow I’m meeting someone from Phoenix who says he’ll make me feel better after we talk: one in every 7 homes in Phoenix is in foreclosure. And here’s one place I found where you don’t need to be on Happy Pills if you are in real estate: Boerne, Texas.

Maybe there’s hope for jumbos after all.

I had heard that Garrett and Cecelia, who are the best neighbors folks could ever have, were going high-rise and moving to The Centrum. Boone said he’d hoped to be an official Turtle Creek “neighbor” by now, but a “six-month construction delay” has kept them out of their unit at the Centrum Tower and in their sprawling ranch home not too far from yours truly. (Boone’s co-founder, William “Kip” Tindell, also lives nearby since he bought Caroline Minnis’s $ 5 millionish sleek contemporary home on Northaven at Ricks Circle.) The Boones have a penthouse on the 14th floor of the Centrum, which he said they love because of the unique, sleek architectural component of the building, the spectacular views and yet still neighborhood-y feel.

But here’s what’s really cool: The Boones have hired architect Max Levy to create a contemporary but uber green showcase home up there. To wit, three sides will be made of sustainable, recycled glass; hidden LED lights mean no more lightbulbs; a complete rainwater recapturing system even way up there, and native, not-so-thirsty Buffalo grasses on the terrace. The Boones say they will be one of the the first Platinum LEED certified penthouses in Dallas.

Despite the delays, Boone says he’s sure to be moving into the new space by April 2010; a palm reader in New York told him so, saying, “You will have a big move in your life in April of 2010.”

“In terms of construction timing,” says Boone, ” a palm reader is as good as anyone!”

No kidding!

(Should he? Or she?)

We had to show one of our homes when everyone was sick, including me; one of my children had just thrown up. Let me sing the praises of (A) Tylenol and (B) Pine Sol. I gracefully tossed a bath towel over the mess (ewww) and poured Pine Sol in the bathtub as the doorbell rang after stashing papers under sofa cushions, toys under the sofa. And guess what: they ended up buying the house in a huge hurry — 30 days — for their daughter’s wedding in the late 80’s!

So let me take this one step further: if your spouse helps you clean house for a showing or open house, does that translate into sex more often? I invite the NAR to commission a study.