Metrostudy Austin Director Eldon Rude will present an update on the Austin economy and its housing market on July 27, 2011 at Austin Country Club.

This event is limited to subcribers to Metrostudy’s Quarterly Advisory Services in the Austin market.

For information contact Eldon Rude at erude@metrostudy.com

(Austin, TX– May 1, 2011) Job growth and healthy inventory levels point to potential in the Austin housing market, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

After losing over 2 million jobs in the twelve-month period ending in March 2010, the U.S. economy has gained jobs the last 7 months, with Bureau of Labor Statistics reporting the U.S. gained 1.3 million jobs in the 12 months ending in March. In the twelve months ending in March 2010 the Texas Workforce Commission reported the Austin region had added 13,900 new jobs (a 1.8% rate), with an unemployment rate of 6.8%, below the national unemployment rate of 8.8%. “These positive indicators are slowly beginning to result in improved consumer confidence,“ said Eldon Rude, director of Metrostudy’s Austin Region.

Metrostudy recorded 1,288 starts in 1Q11, down 21% (344 units) from the same quarter one year ago. “The decrease in starts compared to a year ago is to be expected given the tax credit impacts last year as well as strict mortgage criteria negatively impacting activity in the lower price points,” said Rude. Our surveys indicated there were 1,237 closings in 1Q11, down 12% (164 units) from 1Q10.

Overall new home inventory remains low at 2,942 homes. Inventory levels below $200K are very low compared to historic totals. “Any bump in demand in this market will have to be met with more starts,” said Rude. The most positive signs from the Austin new home market are in the move-up prices ranges above $300,000 where builders are reporting more sales activity than they have seen in several years.

“While subdued consumer confidence in home ownership, as well as strict mortgage underwriting criteria, are certainly keeping would be home buyers in the rental market, it is our expectation that in the coming quarters a segment of this population will begin to look more seriously at buying,” said Rude. “The biggest motivation for this group will ultimately be increasing home prices resulting from the combination of low supply and increasing demand.”

For information contact:
eldon rude @ 512.473.2250 x12
email erude@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

Metrostudy Austin Director Eldon Rude will present an update on the Austin economy and its housing market on April 27, 2011 at Austin Country Club.

This event is limited to subcribers to Metrostudy’s Quarterly Advisory Services in the Austin market.

For information contact Eldon Rude at erude@metrostudy.com

(Austin, TX– February 1, 2011) Apartment occupancy levels, a healthy resale supply and new home inventory at record lows put Austin in a positive position in 2011, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

“With economists forecasting 2% to 2.5% job growth in Austin in 2011 (which will result in our unemployment rate falling below its current 6.8%), along with the continuation of strong population growth in the region, the level of pent-up demand for for-sale housing in our area is likely intensifying,” said Eldon Rude, director of Metrostudy’s Austin Region.

Regarding the new home market, in 2010, Austin saw 5,855 starts, down 10% from 2009. Austin closed 6,458 homes in 2010, down 14% from 2009. Because closings outpaced starts, new home inventory stands at 2,897 at the end of 2010, the lowest total inventory in Austin since 1993. “We anticipate the move-up market will strengthen in 2011, with minimal new home inventory levels possibly resulting in some pricing pressure in certain sectors of the resale market,” said Rude. “These numbers all put Austin in postion to begin its housing recovery in 2011.”

Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data collected by a staff of 650, the company is recognized for its consulting expertise on development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

“Apartment occupancy levels approaching 95% and virtually no new construction at this time will help the housing recovery,“ said Rude. Austin Investor Interests pointed to continued strong migration to the Austin region, as well as apartment renters starting to seek their own units again after doubling up over the last several years, as the primary reasons for the firming up of the apartment market over the last year.

“Also, the resale market inventory stands at healthier levels,” said Rude. As of November 2010 there were 9,906 active listings, resulting in a 6.0 month supply of listings based on the current pace of closings. In November 2009 there were 9,836 listings which translated into a 6.8 month supply.

For information contact:
eldon rude @ 512.473.2250 x12
email erude@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.

Eldon Rude, the Director of the Austin market for Metrostudy, will lead a panel discussion focusing on the residential lot and housing market in Austin.  Other panelists will include Bill Peckman, Division President for Standard Pacific Homes in Austin, Blake MaGee of the Blake Ma Gee Company, and Brannin Prideaux, First Vice President IBC Bank, Austin.

Date: Wednesday February 23, 2011

Time: 7:30 AM

Where: Flemings Steakhouse, 320 East Second Street, Austin.

Eldon Rude, the Director of the Austin market for Metrostudy, will discuss the Austin housing market at Commerical Real Estae Women’s (CREW) monthly luncheon in March.

Date: Wednesday March 22, 2011

Where: Sullivan’s Steak House, 300 Colorado Street, Austin, Texas.

When: 11:30AM

Eldon Rude, the Director of the Austin market for Metrostudy, will discuss the local housing market at the Risk Management Association’s monthly luncheon.

Where: Carrabba’s Italian Grille, 11590 U.S.  183 North

Date: Thursday February 17th

Time: 11:30 AM

Metrostudy Austin Director Eldon Rude will present an update on the Austin economy and its housing market on January 26, 2011 at Austin Country Club.

This event is limited to subcribers to Metrostudy’s Quarterly Advisory Services in the Austin market.

For information contact Eldon Rude at erude@metrostudy.com

With Metrostudy surveys showing Austin new home sales down over 60% from four years ago and low consumer confidence and ever tightening mortgage underwriting criteria making it tough to sell new homes, was the purchase of a stalled 1,600 lot project in this market a good idea?  Last week Wheelock Street Capital Advisors announced the acquisition of The Canyons of Sweetwater, a partially developed 1,600 lot community located just west of Austin, Texas.  The property was acquired from an affiliate of Kansas City based Bank Midwest and a consortium of other lenders. 

While in some markets around the U.S. a purchase of this size might very well be considered a risky bet, that is not the case in Austin.  Investors, land developers and builders are interested in doing business in Austin because they are confident that strong demand for housing will return to the region as the local economy emerges from the recession.  Furthermore, they want to position themselves now so as not to miss the window of opportunity when it opens.

In most markets the fundamental driver for new home demand is job growth, and Austin has a track record for strong employment gains.  From 2004 to 2008 the region produced nearly 120,000 jobs, and after losing jobs in 2009, recent data indicates the area has created over 18,000 net new jobs in the twelve months ending in October, 2010. That equates to a 2.4% increase–the highest percentage gain among the top 15 MSA’s in the country in the last year. Read the rest of this entry »

(Austin, TX– November 1, 2010) Job growth in Austin over the last 12 months improved significantly compared to figures for the previous year, and will likely lead to an improved housing market, according to a recent report by Metrostudy, a national housing data and consulting firm that maintains the most extensive primary database on residential construction in the US housing market.

The most recent employment figures from the Texas Workforce Commission (TWC) indicate there were 18,700 “net” jobs gained in the Austin MSA in the 12 months ending in August 2010 (2.5% job growth). This level of job growth is the highest recorded in the region since May 2008. “The relatively strong level of recent job growth is likely helping build some level of pent-up demand for for-sale housing,“ said Eldon Rude, director of Metrostudy’s Austin Region.

Responding to decreased sales activity after the expiration of the tax credit, builders cut back on their starts activity in the third quarter. Metrostudy recorded 1,320 starts in 3Q10, down 38% (805 units) from the same quarter one year ago. Our surveys indicated there were 1,789 closings in 3Q10, up 1% (19 units) from 3Q09. With builders slowing their starts pace and solid closing figures, new home inventory in the Austin market continues to decline. While finished inventory decreased slightly in the quarter, the number of units now under construction is the lowest it has been since 1997.

“With tepid enthusiasm over Austin’s most recent job growth figures, and considering the low levels of new home inventory as of the end of the quarter, we expect annual new home starts to remain in the range of 6,000 units as we finish the year,” said Rude. “With the anticipation of slightly improving economic conditions in 2011, which should improve consumer confidence levels, our new home production should increase slightly next year.”

For information contact:
eldon rude @ 512.473.2250 x12
email erude@metrostudy.com

About Metrostudy
Metrostudy is the leading provider of primary and secondary market information to the housing industry and related industries nationwide. In addition to providing its own primary housing data for approximately 70% of the United States housing market, the company is recognized for its consulting expertise regarding real estate development, marketing and economic issues, and is a key source of research studies evaluating the marketability of residential and commercial real estate projects. Services are offered through an extensive network of offices located in major metropolitan areas throughout the U.S. For more information, visit www.metrostudy.com.