Job growth and the performance of employers in the Austin area directly correlates to changes in real estate prices. I assume this post will make many homeowners feel good about one of their biggest investments!
Silicon Lab Posts HUGE First Quarter Profits!
The Austin chip company reported a profit of $155.6 million! Silicon Laboratories revenue in the first quarter was $111.8 million, with a profit of $10.8 million. This revenue excludes the sale of its wireless chips divison to NXP Semiconductors (European Chip Company).
As a recent finance graduate, I would bet that more than likely the sale of this division was to help streamline its company and be more focused on its various communication equipment chips and other misc equipment the company produces. With the sale of its wireless chips division the company should in the future post high profit margins.
After the sale Silicon Labs showed about $666 million in cash and short-term securities. Silicon Labs is expected to use some of its liquidity to carefully find one or more companies in a related business to acquire.
Much of the companies growth this year is expected to come from its transmitter chips, FM Receiver chips, and other Micro-Controllers.
After NXP who acquired Silicon Labs Chip division finds new office space, Silicon Labs expects to consolidate all of its Austin operations into the downtown location off Cesar Chavez St.
To conclude this blog - keep buying real estate in Austin Texas! If you're looking to invest or buy a home for yourself, call me. I know the in and outs of the Austin area Market! 512.567.1597
At a really young age I had the opportunity to tour the salvation army in downtown Austin. It was eye opening to see what a difference it was making in peoples lives. Its great to hear that the Salvation Army will be opening a store in the Round Rock area.
The Austin area salvation army is opening its fifth family store and the FIRST in Round Rock Texas! The store will be located at 601 W. Louis Henna Blvd. AKA Builders will be the general contractors. The opening is expected to happen in late May.
The store is going to be over 25,000 square feet! It will sell clothing, home accessories, furniture, books and sporting goods.
If your interested in making a donation the central donation center is located at 4216 S. Congress Ave.
Recession, Lending Crisis, Credit Crisis, Market Crash & Foreclosures!
What more can i say? When could you ever imagine a better time than NOW to be negotiating on the purchase of a home, especially with so many out there to choose from!?
Austin Texas area real estate values have been very well insulated against the broader slump experienced by millions of homeowners across the country. In Austin Texas home values continue to appreciate. But, it's important many potential buyers know that even though homes are still appreciating, the number of homes sold in Austin decreased by 13%, which means to you potential buyers - negotiating power!
So whats that mean to you as a potential homeowner? Well, homes are sitting on the market far longer than before, some of them don't even sell! They are rejected! Right now your negotiating power is at its peak! If your looking to buy in the Austin Texas area you have the opportunity to buy in a buyers market and home values are still predicted to RISE!
Your probably wondering how can the number of home sales be on the decline and real estate values continue to increase? It's important to remember that you can't correlate the number of home sales with real estate appreciation. Although the demand for homes in the area does play slightly into the equation, its important to factor in how well the local economy and job market is doing. Those two factors have a much BIGGER impact on local real estate values. If you didn't know, Austin has one of the lowest unemployment rates in the country!
If your looking for a place to put your money, Austin real estate is the place to be! Rents on single family homes continue to rise , as well as the number of qualified potential tenants. The stock market is extremely Volatile. Austin Texas real estate is NOT!
Let me help you find your next home or investment property and show you how to leverage the negotiating power we have in this market! You can reach me on my cell phone at 512.567.1597
Central Texas Market Stats
In January 2008 according to the latest MLS (Multiple Listing Servie) report the median sales price in Central Texas grew 7 percent to $187,000. But although median sales price grew, the number of home sales were lower than during the same period in 2007 by 10%.
Austin, TX Economy
The Austin real estate market seems to be outpacing most cities throughout the nation. The lending crisis is causing a drop in the number of home sales for the Austin area. But fortunately job growth is what will drive real estate prices and we have one of the highest growth rates in the country! Austin also has an unemployment rate well below the nation's average.
My Prediction
My feeling is the overall economy in Austin is very strong. My prediction is the average median sales price will continue to rise. As far as the number of homes sold, I imagine once things get worked out in the lending market, and lenders aren't so strict on their requirments, then they will allow more buyers to be able to qualify for lower down payment loans.
Potential Buyers:
Don't get scared just because you hear everyone talking about recession and falling home prices, remember real estate is local in nature and Austin's economy is booming!
Potential Sellers:
As for you sellers out there I know that it sucks paying more property taxes because our values here in Austin keep going up but be thankful were not in one of the MANY declining markets throughout the US.
One last thing to you potential sellers out there. Single family home sales contributed to $324,748,035 to the local economy. Of these property sales the average home sat on the market for 83 days! (If you want to know how I can get it sold in half that amount of time please call me!)
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Serving the Greater Austin Texas area! Whether you're looking to Buy, Sell, or Invest, I'll be with you every step of the way! Ask me about giving you the buyer & sellers edge w/ my tech savvy skills!
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