Adding Value by Dennis O'Hagan

Just The Facts...

Plano’s Legacy Business Centers On Track to Match Downtown Dallas in Office Employment 

• 135,000 workers – Legacy 121/DNT Area by 2021

• 141,000 workers – Downtown Dallas by 2021 

Plano's booming Legacy business park during the next few years will grow to have almost as many workers as downtown Dallas.  That's what a new forecast by commercial real estate firm Jones Lang LaSalle predicts for the business district that is now home to huge employers including Toyota Motor Corp., JPMorgan Chase, FedEx Office and Liberty Mutual Insurance. The numbers include employers in the area and south Frisco.  "Overall, we estimate that greater Legacy's job base has increased by 15,000 since 2015," JLL managing director Jack Crews said in a new report about the Legacy area. "This includes real move-ins to Toyota and JPMorgan, as well as companies taking smaller footprints like Fannie Mae, FedEx, Capital One and NTT Data.   "We estimate that the daytime workforce is up to around 100,000 today," he said. "Looking out over the next few years, Legacy will continue to intensify as a business hub."  JLL predicts that the Legacy area employment base will grow to nearly 135,000 by the end of 2021. Along with newcomers to the area, the job totals include workers for longtime West Plano employers including Frito-Lay, Bank of America, USAA and others.

• Dallas Morning News, March 26, 2018

 

 

Californians Fed Up With Housing Costs and Taxes are Fleeing State in Big Numbers

• More Californians are moving from the Golden State, particularly lower-income residents, although even middle-class residents are saying goodbye.
• * The trend is a symptom of the state's housing crunch and, for some, high taxes.
• * Census Bureau data show California lost just over 138,000 people to domestic migration in the 12 months ended in July 2017.
• * Lower-cost states such as Arizona, Texas and Nevada are popular destinations for relocating Californians.

Californians may still love the beautiful weather and beaches, but more and more they are fed up with the high housing costs and taxes and deciding to flee to lower-cost states such as Nevada, Arizona and Texas.    Christopher Thornberg, founding partner of research and consulting firm Beacon Economics in Los Angeles, said housing is the chief reason people are leaving California, pointing out there are frequently bidding wars for what limited inventory of homes is available.  A USC Dornsife/Los Angeles Times Poll of Californians last fall found that the high cost of living, including housing, was the most important issue facing the state. It also found more than half of Californians wanted to repeal the state's new gas tax, which raised fees by 40 percent.  "The rate at which California has been losing people to other states has accelerated in the past couple of years, in part because of rising housing costs," said Jed Kolko, chief economist with employment website Indeed.com.

He said the latest Census Bureau data, from July 2016 to July 2017, show "more people moved out of California to other states than moved in from other states. In other words, California lost people due to domestic migration."  During that 12-month period, California saw a net loss of just over 138,000 people, while Texas had a net increase of more than 79,000 people. Arizona gained more than 63,000 residents, and Nevada gained more than 38,000.

• CNBC, March 31, 2018

 

 

164 Japanese Owned Companies Now in DFW, and More Coming

It is estimated that last year another dozen Japanese companies settled in the Dallas-Ft Worth area, bringing the current company count to 164. Dallas, Irving, Richardson and Plano top the list of North Texas cities with the most Japan-based companies.  Here are the North Texas cities that host the largest number of Japanese companies:

• Dallas — 41 companies

• Irving — 34

• Richardson — 19

• Plano — 18

• Grapevine — 10

• Addison — 9

• Carrollton — 8

• Fort Worth — 8

 

Japanese companies choose North Texas for many of the same reasons that other companies do.  A strong workforce.  A central location, giving executives a three-hour plane trip to either U.S. coast.  Plenty of land on which to build and a variety of buildings to lease.  Relatively affordable housing.  A reasonable regulatory environment.  Low taxes.  

Also critically important is what Stich called “Japanese infrastructure.”  That includes a wide range, including a K-12 school in Carrollton that daughters and sons of Japanese ex-patriots attend on Saturday to keep up with their Japanese language, history and other lessons not taught in their regular Monday through Friday classes.

Here are 23 notable Japan-based companies in North Texas:

• American Honda Motor Co. in Irving

• Canon Business Solutions in Dallas

• Canon USA in Irving

• Fuji Semiconductor in Carrollton

• Fujifilm USA in Irving

• Fujitsu Network Communications in Richardson

• Hitachi Data Systems in Addison

• Hoya VisionCare North America in Lewisville

• Japan Airlines at Dallas Fort Worth International Airport

• Kawasaki Motors USA in Fort Worth

• Kubota Tractor in Grapevine

• Kyocera Mita in Irving

• Mitsubishi International in Irving

• NEC Corp. of America in Irving

• Panasonic Enterprise Solutions in Coppell

• Sanyo Energy USA in Frisco and The Colony

• Sony Electronics in Dallas

• Sony Pictures in Richardson

• Sumitomo Machinery in Carrollton

• Tohatsu America in Farmers Branch

• Toshiba Business Solutions in Addison

• Toyota Motos North America in Plano

• Yazaki Energy Solutions in Plano

• Dallas Business Journal

April TIPS to help keep your home in tip-top shape...

You can keep your home in top shape with simple tasks throughout the year. This month, be sure to:

1. Test your smoke detectors and carbon monoxide alarms.
2. Drain approximately 2 gallons from your water heater to eliminate sediment.
3. Clean your clothes dryer vent duct.
4. Vacuum your bathroom vent covers.
5. Replace or clean your furnace filter.
6. Clean out your basement window wells if you have a basement.
7. Clean your refrigerator's condenser coils to keep it operating efficiently.
8. Clean around your air conditioning compressor and make sure that it gets sufficient air flow.

Did ya know???

5 Must-Know Tips Before You Power Up the Pressure Washer

It’s the time of year when we start fantasizing about backyard picnics and BBQs in gorgeous weather. If your fantasy involves clean patio furniture and a grime-free deck, you’ve probably considered doing some power washing. Before you get started, here are some things you need to know.

1. Power and pressure washing are not the same thing. Power washing and pressure washing both use streams of high pressure water to clean surfaces. However, power washing uses a heating element and pressure washing does not. Knowing which option to use can help you get a better clean and avoid damaging your property. Power washing is the heavier duty option. Use it for large areas like extra-large driveways, hard surfaces that can stand up to the heat, and to get rid of extreme mold, moss, grease, and dirt. Pressure washing is safer for surfaces. Use it when you have a smaller area like a deck, patio, or driveway to clean or if you need to clean softer surfaces like tile, wood decks, and siding. Pressure washing is also safer on masonry, concrete, and brick. 2. Sometimes you shouldn’t do either. Power and pressure washing are effective because they’re very strong cleaning options, but they may be too strong for some objects and parts of your home. Anything painted, asphalt roofing, laminar sandstone, stained wood, and anything old will probably be damaged or destroyed if you try to pressure or power wash them. 3. All cleaning solutions are not created equally. Adding the right cleaning solution to your water will give you better results than water alone. Just be sure to use the correct solution; the wrong one may destroy what you were cleaning. Different materials need different cleaner: the soap you would use for your deck and fence has different chemicals than the one you would use for your home’s siding. Premixed soaps will list the areas it can be used on. Use the right cleaner for what you want to clean. 4. You could seriously injure yourself or others. You may look at a power or pressure washer and think it’s basically a high powered garden hose, but these machines are actually quite dangerous. The water comes out with up to 2,000 pounds of pressure. That’s plenty of power to send chipped off bits of stone or concrete ricocheting at someone. When power or pressure washing, remember to

• never spray a person or animal - it could injure or kill them.
• use safety glasses, goggles, or a full face shield.
• wear closed toe boots or shoes.
• cover all electrical outlets.
• stay at least 5-6 feet back from the area you’re cleaning.
• start at the lowest setting and test it on a hard surface before moving to windows or soft surfaces.
• use the right nozzle for the task. 

5. Cold weather may damage your property if you’ve recently power or pressure washed. You don’t see many people out pressure or power washing in winter. There’s a good reason for that. It can take several days for an object to dry completely after cleaning, and if the water in or on what you’re cleaning freezes, it can expand and damage your property. Make sure there aren’t any expected freezes for about a week after you power or pressure wash. With warmer weather on the horizon, now is a great time to spruce up your old home or to find a new house to make your own. Give me a call if you or someone you know has any questions about real estate!

Real Estate HUMOR...

Common Buyer Pitfalls to Avoid...

Finding a home can be a long process for both first-time and seasoned home buyers. While it may seem like a dating game, with many different suitors before finding ‘the one,’ some people can get distracted by individual properties, preventing them from realizing they’ve found their perfect home. If you’re on the hunt for your first or even fourth home, heed the advice below and avoid these common buyer pitfalls.

Not Seeing the Potential

For many house hunters, finding a dream home is the ultimate goal. Most of us have a list of wants and needs for our new home, and we can be pretty particular when it comes to finding a home that checks off all those items. A common pitfall encountered by buyers is not being able to see the potential in a home, especially when it comes to the small things. Some buyers can be turned off by a home because of the color of the carpet or paint, even when the property meets all their requirements. Don’t immediately write off a house just because of simple cosmetic details - it could be your true diamond in the rough.

Choosing to Skip the Inspection

Perhaps you’ve found the perfect home - perfect size, perfect area, perfect price - and want it as soon as possible. You decide to skip the home inspection because of a competitive market. Bad idea, and a buyer pitfall quite a few people fall victim to. While skipping an inspection might seem like a good idea, especially in a hot real estate market, the inspection is essentially a ‘health check’ of a property, and the last thing you want is to spend a lot of money on a sick home. Avoid this pitfall by always insisting on a home inspection - it will only benefit you in the long run. 

Not Thinking of the Future

When it comes to finding a home, it can be very tempting to find one that fulfills one’s needs at the moment. If it’s just you and your significant other, finding a home with four bedrooms might seem like a ridiculous idea. But, for those individuals or couples thinking of the future, it’s not such an outrageous idea. When it comes to buying a home, especially in a very competitive real estate market, thinking about the future might be beneficial. If you don’t intend on moving within the next five years, finding a home that fits your needs now and five years from now is a great idea. Many of us have the tendency to think in the moment, and while that can be very exciting for certain things when it comes to finding your home, it could possibly mean needing to find a different home in a year or two.

Forgetting Your Needs

It’s all too common for some buyers to fall in love with a home and compromise on something. While compromising on whether or not a home has a garage that will fit two or three cars may seem like a simple compromise, falling in love with a modern downtown studio apartment when you need a three-bedroom house is not. When it comes to finding the house you need, avoid forgetting your actual needs. There’s a reason why you’re looking for a home with 3 bedrooms or a two-car garage: it’s because you need those features in a home. And while you’ll likely fall in love with a home that doesn’t quite fit your must-have list, don’t compromise on those vital items - you’ll only end up disappointed in the end.

Avoiding Using an Agent

While it may seem like a great idea to go it alone, a common buyer pitfall is choosing to not use an experienced agent. Sure, you can look at listings online or check out your local newspaper’s real estate listings, but do you have the inside scoop on recently listed homes or homes that haven’t even hit the market? Not likely. Real estate agents are incredibly valuable to the home buying process, especially when it comes to finding properties that suit your wants and needs. They communicate with other agents; they have access to different MLSs, and they provide an incredible service to you. Choosing to go it alone on your home purchase might seem like a good idea, but for many, it’s not. Avoid this pitfall by employing the services of your talented and experienced agent - we have your best interests at heart!

JUST LISTED in Frisco - MLS# 13800018 - $525K...

JUST LISTED – MLS# 13800018 – $525K - 1437 Buena Park Dr., Frisco, TX 75033 

METICULOUSLY maintained and move-in ready, Highland Home. BEAUTIFUL hand scraped hardwood floors on 1st level. 2nd bedroom down with full private bath. GORGEOUS kitchen with double sink, center oversized island that also serves as a breakfast bar, along with a breakfast area and a large walk in pantry . Large, spacious rooms, walk-in closets in bedrooms, covered back patio with outdoor living center and a stone fireplace. 3 car garage with painted floor, and beautifully landscaped front and back. Walking distance to community pool and park. 

https://www.homesnappers.com/tours/b/1437buenaparkdr/

North Texas Home Sales Up 10 percent in February...

North Texas home sales rose ten percent in February from a year earlier, an increase that came even with higher mortgage costs and record home prices.  Real estate agents sold 7,199 preowned single family homes last month.  That was the highest February sales total ever in North Texas, according to data from the Real Estate Center at Texas A&M University and NTREIS.  For the first two months of 2018, real estate agents sold 7 percent more houses than in the same period last year.

• Dallas Morning News, March 17, 2018

Forget About the Millennials; It’s the 55-Plus Housing Boom...

Homebuilders are betting that boomers will be among the biggest buyers of new homes in the next few years.   And North Texas residential communities are gearing up for the coming gray wave of residents with new neighborhoods aimed at the 55-plus crowd.  These older buyers tend to have higher incomes and are more interested in a new house compared with young, first time homebuyers.      

Numerous developments in the region have recently announced 55-Plus neighborhoods inside their master-planned communities.   Viridian in Arlington has announced a 500-home section for 55-Plus.  Union Park north of Frisco has also just announced a 55-Plus section in their development.   While previous generations of aging buyers often headed to separate senior communities, the tide has turned in thought.   Fewer boomer buyers want to relocate to a segregated seniors-only community in the far off ‘burbs, said Dallas housing analyst Ted Wilson of residential Strategies.  “There has been a complete rethinking on how to approach these buyers," Wilson said. "It used to be golf courses and millions of dollars for amenity centers. Now it's about being close to the grandkids and being part of a bigger community."  With the aging U.S. population, the building industry is banking on thousands of 55-plus buyers in the next decade. The industry index of potential buyers from this demographic is at an all-time high, according to the National Association of Home Builders.  Boomers already make up about a third of U.S. homebuyers. And 38 percent of all homebuyers last year were 55 or older, according to the National Association of Realtors.  Wilson said a quarter of the D-FW area's population is 50 or older, and this pool of homebuyers will swell by 188,000 in the next five years.  "There are amazing stats on the growth of active adults,” said Wilson.

• Dallas Morning News, March 17, 2018

The Reality of Home Prices vs. Home Sales...

Home prices in February hit a four-year high, capping a 72-month run in which median home values rose nationally, according to a report by Redfin.

But just because the prices went up does not mean sales went up. In fact, while national median prices rose almost 9 percent (to $285,000) in February, the number of homes for sale dropped more than 11 percent from January and were flat compared to a year ago. It was the twenty-ninth consecutive month inventory suffered, while prices keep going up.

Only six of 73 metros saw sales grow by double digits from last year, the report said. Louisville led the nation in year-over-year sales growth, up 25 percent, followed by Greenville, South Carolina, which was up 18 percent.

Inventory dropped most in New York State, where three metros saw downswings compared to last year. Inventory in Rochester and Buffalo dropped 40 percent and in Albany, 30 percent. Atlanta also posted a 33 percent decline in inventory.

As availability and affordability continue to constrain the market, interest in buying a home is humming along nicely. Time on the market for homes sold in February was 53 days, a week faster than a year earlier.

That's just the average. In Seattle, half of all homes pending sales closed in just eight days—four days faster than it was a year earlier. Denver and San Jose reported closings in nine and 10 median days on the market, respectively. Homes in Oakland and San Francisco spent two weeks on the market.

The most competitive market in February was San Jose, where 83 percent of homes sold above list price. Three-quarters of homes for sale in San Francisco did the same. Oakland, Seattle, and Tacoma also saw homes close significantly above asking price. Overall, Redfin reported, 21 percent of homes that sold in February went for more than their list price, nationally. That number is up 20 percent from last year.

The median value of off-market homes was $283,300, a 9 percent uptick percent from last year. Almost two-thirds of homes on the market in February were priced above their Redfin Estimate value.

“Mortgage rates pushed upwards in February to the highest levels in nearly three years as home prices increased by their fastest pace in nearly four years,” said Redfin chief economist Nela Richardson. “A growing economy, healthy buyer demand, and low inventory drove the ramp up in prices last month. Combining even slightly higher rates with price growth this strong will make it even more challenging for first-time buyers to find affordable homes to buy this year. The good news for sellers is modest rate increases are unlikely to curtail buyer demand. Just 6 percent of respondents to a survey commissioned by Redfin said they would cancel their home buying plans if rates rose above 5 percent.”

On the other side of the country, and on the other side of the numbers, sales in Long Island saw the largest decline in sales since last year, falling 33 percent. Home sales in Minneapolis and Miami also dropped, each by 13 percent.

Spring Home Maintenance...

• Have a reputable A/C company inspect the unit and service it prior to the start of summer.

• Change your filters monthly.

• Clear all landscaping debris, leaves, branches, vegetation and furniture at least two feet on all sides around the condensing unit to ensure proper airflow. It must BREATH!

• Spray the exterior condensing unit off with a hose, removing dirt and debris from the area.