McAllen, TX

Okay so I went to Starbucks again today and enjoyed my Venti Non-Fat Cafe Mocha No Whip. Did I get that right? I swear I stand in line and rehearse what I am going to say. Venti Non-Fat Cafe Mocha No Whip. I forgot the No Whip today but the girl behind the counter asked before they made it.
I read chapter two of "The Automatic Millionaire Homeowner" by David Bach. It talks about the power of homeownership vs renting. The book describes a few things that show that owning a home will eventually make you money. For example, you can use the bank or "OPM" other people's money to buy the home. Homeowner's get tax breaks that renter's don't and you can get a return on your investment when buying a home, that is greater than any other investment avaialable.
There are a couple of talking points that are a little outdated. (the book was written in 2005) For example, it mentions that you can get 100% financing and banks lend to riskier borrowers. While these statements are now untrue as we speak, there are still FHA loans out there and it is not impossible to get a loan if you are a first time homebuyer. You need to speak to a Mortgage lender and find out where you stand. Make sure you find someone knowledgable and trustworthy. Ask questions, if you do not qualify immediately, your loan officer can help point you in the right direction. If they will not or do not.....call our office and one of us will.

Thanks for reading. and happy homebuying!

The Rio Grande Valley (RGV) aka, The Valley, is an area located in the southernmost tip of South Texas. It lies along the northern bank of the Rio Grande, which separates Mexico from the United States.

The region is made up of four counties: Starr County, Hidalgo County, Willacy County, and Cameron County. The Rio Grande Valley is the biggest metro area on the U.S.-Mexico border with a population of 2.3 million people. The metro area includes the Valley and northern Tamaulipas cities such as Matamoros, Rio Bravo, Reynosa and Mier.

The region is the third largest metro area in Texas, behind only Dallas-Fort Worth and Houston and within the top 25 metro areas in the nation.

Follow us on Twitter: www.twitter.com/NAIRGV

Sources: Wikipedia, The Rio Grande Guardian

As with most of the country, real estate transaction volume in the McAllen Texas area has dropped. During the 4th quarter of 2008, sales decreased to 535 homes sold. Some of the factors contributing to the slowdown include the seasonality of real estate, the tightning of credit and buyer hesitation caused by media hype. Many files that were in process of closing were also delayed due to underwriters "overanalyzing" files.

During the 1st quarter of 2009, sales had a slight increase to 544 homes. But volume is down 15% compared to the same period last year.

In 2008, Foreclosures continue to gain market share as a significant component of the local real estate market. During the first quarter, REO / Foreclosure properties accounted for 47% of all closings. They only represent 11% of the inventory (233 of the 2,146 active residential listings) The turnover rate of REO listings is less than 3 months.

Banks are becoming more aggressive to move these foreclosures, which has dropped the average price of sold homes in this market. The banks are pricing their foreclosures so competitively that multiple offers will be presented, especially if the house meets FHA guidelines. The average sold price dropped 14% compared to the 4th qaurter of 2008 to $110,035.

On a positive note, the lending process is improving. As we enter the traditional selling season, many potential buyers are coming off the sidelines and are ready to take advatage of the bargains and claim an IRS tax credit for 1st time buyers.

Positive Thinking-Achieving Business Goals-Team Player