July 2019

make better real estate decisions

Additions to the Center’s research library

Monthly Review of the Texas Economy 7-24-19. How does the Texas economy compare with the national

one? This report focuses on employment and unemployment and ranks various industries. Subscribe to this

free report.

Texas Border Economy 7-22-19. The economy along the Texas border differs from that in the rest of the

state. Trade closely links the cities on both sides of the Rio Grande. This report discusses four major Texas

metropolitan areas and their economic ties to Mexico. Subscribe to this free report.

Outlook for the Texas Economy 7-16-19. This monthly report offers an overview of various sectors of

the Texas economy, including housing, manufacturing, energy, employment, and trade. Subscribe to this free

report.

“Blockchain and Real Estate” 7-8-19. The emergence of blockchain technology has opened the door for a

new way of completing transactions while reducing costs and increasing transparency.

Real Estate Center at Texas A&M University

A REAL ESTATE CENTER VIDEO previews new products and methods available to help Texans protect their homes

against floodwaters and minimize damage caused by hurricanes. Related materials include “Ahead of the Storm:

New Ideas in Flood Protection” and “Buying a home in a flood-prone area? Do some homework.”

first.”

Texas Housing Insight 7-2-19. Texas housing sales inched down monthly after a record-breaking April but

continued a general trend upward. The average days on market remained stable, while lower mortgage rates

and home-price appreciation eased the decline of housing affordability. Subscribe to this free report.

Most popular on REC website 1. Texas Housing Insight

2. Outlook for the Texas Economy

3. Monthly Review of the Texas Economy

4. Blockchain and Real Estate

5. “Home Security: Understanding and Negotiating Title

Insurance”

6. “Ahead of the Storm: New Ideas in Flood Protection”

7. Texas Border Report

8. “Seller Beware: Understanding the General Warranty Deed”

9. “Livin’ Large: Texas’ Robust Luxury Home Market”

10. “Waco’s Wild Rise”

Busiest day on REC website this month: Tuesday, July 2, with 986 unique visitors.

NewsTalk Texas A sample of Texas real estate news compiled each workday by the NTT team. Click here for today’s news.

“Kalahari Resort gets funding for 200K-sf convention center”

“Routh and Howell seeing double” “New multifamily underway near Bush Turnpike” “279-room Embassy Suites Hotel changes hands” "Houston multifamily occupancy, rents up in 2Q 2019” “121K-sf Sugar Land medical plaza under new ownership” “84K-sf industrial portfolio trades hands in Austin” “Home prices grow in SA housing market”

Be your local

housing market

expert

Visit the Real Estate

Center’s booth (801/900)

to learn how.

Texas Realtors

Trade Expo

Sept. 14, 2019

Fort Worth Convention Center

Monthly data updates Latest building permit data. Building permit data for single-, two-to-four, and five-or-more family units for

states, metropolitan statistical areas, and Texas counties.

Housing reports. Housing statistics based on listing data from more than 50 Texas MLSs. Statistics for each

geography based on listings of properties physically located within the mapped area presented with the

statistics.

See why 21,382 subscribe to our free, twice-weekly newsletter. Read previous issues.

7-30-19. Routh and Howell seeing double . . .

Kalahari Resort gets funding for 200K-sf convention

center . . . JV acquires 392-unit asset down by the

bayou . . . 123K-sf office building sold in Fort Worth

. . . 800-unit storage facility opens in north Austin . . .

121K-sf Sugar Land medical plaza under new

ownership . . . New multifamily underway near Bush Turnpike.

7-26-19. 5M-sf mixed-use project planned for Downtown Dallas . . . WalletHub: El Paso best in Texas for

renters . . . $70M SXSW tower now open . . . Katy Ranch Offices phase two breaks ground . . . 900 jobs

headed to Cibolo . . . 300-acre single-family community coming to Prosper . . . 143-acre Cottonwood Creek

Market underway in Waco . . . Partnership cashes in on 300-unit community.

7-23-19. Texas housing market robust but slowing . . . Plano fourth-best city for families . . . REC Advisory

Committee elects new officers . . . U.S. existing-home sales slip in June . . . 290K-sf mixe- use coming to East

Austin . . . 1M-sf industrial park proposed in McKinney . . . Las Lomas Apartments sold in El Paso . . . 125K-sf

Irving shopping center changes hands.

7-19-19. CBRE: Austin sixth nationally in tech talent . . .

Foreign interest in U.S., Texas homes waning . . . Texas

unemployment breaks all-time low record . . . again . . .

Too blessed to be stressed: Plano sixth-most relaxed

city . . . 80-acre senior living community coming to

McKinney . . . i3 breaks ground on Telge Crossing . . .

130K-sf office campus coming to Flower Mound . . .

AEW acquires 235K-sf Lanark Distribution Center . . .

Irving’s MacArthur Place Apartments sold.

7-16-19. Austin second-best large city to live in, reports

WalletHub . . . $895M complex to consolidate Austin-

area state agencies . . . McAllen industrial market

vacancy hits record low . . . One and Three RIverway

wrap up renovations . . . EastGroup Properties to

develop 369K-sf industrial park . . . NitNeil loads up on

678-unit Round Rock self-storage.

7-12-19. Millionaire, demi-billionaire growth boosts

Texas real estate . . . 13 Texas master-planned

communities among top-selling nationwide . . . Austin’s

‘Jenga’ tower wraps up construction . . . Rad! Houston

professional-level bike park opens . . . Work starts on

age-restricted community in Pearland . . . 160K-sf

industrial portfolio sold in DFW . . . Austin investor goes Hogg hunting . . . Parking garage planned near

ATTENDING HIS FIRST meeting of the Real Estate Center Advisory Committee, Troy C. Alley Jr., left, talks with Data Research Scientist Gerald Klassen. Alley, from Arlington, is one of nine committee members appointed by the governor for six-year terms. Members represent various facets of the real estate industry and the public. A tenth is an ex-officio member representing the Texas Real Estate Commission. In addition to hearing staff updates, the committee approved the Center’s 2019-20 budget. Meet the committee here. Photo by JP Beato III.

Lubbock’s Citizens Tower . . . Wood Partners building 304 units on W. Alabama . . . The Brandt in Las

Colinas sold.

7-9-19. Texas best state to start a business . . . Sweet Victory for Hillwood, USAA . . . First-time homebuyers

moving to McKinney . . . GenCap begins construction on 350 Atascocita units . . . NRG consolidating in Waller

Industrial Park . . . First multifamily near McKinney Falls breaks ground . . . Hyde Park sold, getting upgrades .

. . 315-unit senior-living community to Georgetown.

7-5-19. Average Texan pays $295 in monthly energy costs . . . Record-breaking 20.5M sf of industrial space

underway in Houston . . . American Landmark acquires four DFW apartments . . . Demolition begins on San

Jacinto Mall . . . 193K-sf industrial pair sold . . . Strode sells Southlake retail . . . JV picks up affordable Austin

housing.

7-2-19. Texas small land sales volume tops $1B for second straight year . . . Hilltop Residential secures 246-

unit Waterside at Mason . . . Austin office quarterly absorption, asking rates hit historic highs . . . Work starts on

San Pedro Creek multifamily . . . Capital City retail steadily moving along . . . Triple-branded hotel coming to

Irving . . . Old Three Hundred Capital buys 141 SA units.

News releases. Here’s what we sent to the media

this month. To get press releases sent directly to your

inbox, email us at info@recenter.tamu.edu.

“Real Estate Center Advisory Committee elects new

officers” 7-26-19. The Real Estate Center's Advisory

Committee elected two new officers this week at its

biannual meeting. Alvin Collins of Andrews and Midland

was elected chairman, replacing W. Douglas Jennings of

Fort Worth. JJ Clemence of Sugar Land replaces Besa

Martin of Boerne as vice chairman.

Red Zone podcasts Listen here.

“Helping Texans weather the storm” 7-10-19. With

hurricane season in full swing, storm and flood protections are

on the minds of many Texans in flood-prone areas. However,

many properties outside of floodplains are damaged by rising

waters every year. How can you protect yourself? Center

Research Economist Dr. Harold Hunt shares his insights.

Blog posts

View RECenter’s blog posts here.

“Economic expansion sets record” 7-18-19. This month marks the longest

expansion in U.S. economic history. According to the National Bureau of Economic

Research, the expansion began in June 2009. Numbers released for July 2019 will

show a record 121 months of continuous growth.

“The mystery of the murdered economic expansion” 7-11-19. Former Federal

Reserve Chairman Janet Yellen: "I don’t think economic expansions die of old age."

Yellen’s predecessor, Ben Bernanke, in response: "I like to say they get murdered."

ALVIN COLLINS JJ CLEMENCE

The "murderers" in the past have been financial imbalances like over-leveraging or the Federal Reserve raising rates too fast. Now, as the U.S. economy achieves the longest expansion recorded in the nation’s history, recession fears are rising, and we’re once again looking for the culprit.

“Buying a home in a flood-prone area? Do some homework first.” 7-2-19. Texas coastal cities have been hit by numerous flood events over the past 30 years, resulting in billions of dollars in damage. Recently, a reporter with Bankrate.com asked for advice for homebuyers looking to buy in flood-prone areas. The bottom line: a little research in advance can save buyers a lot of distress in the long run.

Education

Latest information on upcoming conferences

Legal Update 1 & 2 Instructor Training

Registration now open. This course fulfills the instructor training mandated by the Texas Real Estate

Commission (TREC) for those instructors desiring to teach Legal Update 1 & 2. Instructors must be approved

by TREC before attending instructor training. Visit TREC’s web site for more information.

Dates and Locations:

October 16, 2019 - Fort Worth

October 22, 2019 - Dallas

October 25, 2019 - San Antonio

November 4, 2019 - Austin

November 7, 2019 - Houston (Montgomery County)

$200 (Includes lunch) by Sept. 30, 2019, $225 after that date.

Newsmakers. July media coverage of the Real Estate Center

“A beginner’s guide to buying a U.S. ranch” 7-31-19. True Viral News (Russia).

Rural land values across the U.S. have been rising steadily since 2010. In Texas, the

home of cattle ranching, average land prices reached $2,779 per acre last year,

compared with $1,807 in 2010, according to Texas A&M University’s Real Estate

Centre.

“A&M Center: New records for average, median price set in Midland

County” 7-27-19. Midland Reporter-Telegram. June 2019 was an all-time

record-breaking month for sales price in Midland County, according to the Texas

A&M Real Estate Center.

“Is your community up or down? Home sales dip in half of

Dallas-area neighborhoods” 7-26-19. Dallas Morning News.

For the entire area, the number of houses sold by real estate

agents dropped 1 percent from the first half of 2018, according to data from the Real Estate Center at Texas

A&M University and North Texas Real Estate Information Systems. Also in Konitono News.

“Waco economic snapshot shows dropoff in June” 7-25-19.

Waco Tribune-Herald. “While the Texas housing market

remained strong in Q2, our markets began slowing down in

terms of transaction volume coupled with tight housing inventory,” Jim Gaines, chief economist with the Real

Estate Center at Texas A&M University, is quoted as saying in the report.

“Northwest Austin continues to have low stock of newly listed homes coming on the

market for sale” 7-25-19. Community Impact Newspaper. In May, the city of Austin had

1.7 months of inventory. A healthy market typically has six months of stock, according to

the Texas A&M Real Estate Center.

“Rents, home values rising in San Antonio” 7-24-19. San Antonio Express-News. “Prices have been going up, but it’s starting to level off,” said Jim Gaines, chief economist at the Texas A&M Real Estate Center. “San Antonio will probably continue to be a lower-cost housing market than Dallas, Austin, or Houston.”

“Report: Houston area home price gains outpace Texas” 7-23-19. Houston Chronicle. Jim Gaines, chief economist at the Real Estate Center, said that markets remained strong but began slowing down in the second quarter. "Statewide, we're seeing more of a separation in sales activity between large cities compared to medium and smaller cities due in part to increased population and job growth

concentrated in the major markets," he said. Also in KBMT-KJAC Beaumont, San Marcos Corridor News, Yahoo Finance, Builder, Connect Texas Commercial Real Estate News, Konitono News, and Dallas Morning News.

“Hot properties: These pricey Dallas-area palaces are up for grabs” 7-5-19. Dallas Morning News. So far in 2019, real estate agents have sold 705 million-dollar homes — 7 percent more than in the first five months of 2018, according to data from the Real Estate Center at Texas A&M University.

“North Texas home market gave up its gains in June” 7-8-19. Dallas Morning News. June's

dip in home purchases was enough to put total sales for the first six months of the year down 1

percent from the same period in 2018, according to data from the Real Estate Center at Texas

A&M University and North Texas Real Estate Information Systems.

“Texas small land sales volume, median price increase in 2018; total dollar

volume tops $1 billion for second straight year” 7-2-19. Houston Chronicle.

Charles Gilliland, Ph.D., economist with the Real Estate Center at Texas A&M

University, commented, "Statewide, smaller properties are growing in popularity

with many being purchased as an expansion of a larger property, especially in

sub-markets right outside of the large metro areas. With housing prices increasing statewide, there is demand

for more subdivision developments, and, thus, more tracts are being purchased for pre-development." Also in

Houston Chronicle, San Antonio Express-News, Gilmer Mirror, The Buffalo News, Laredo Morning Times,

Westport News, Observer News Enterprise, Fat Pitch Financials, NewsBlaze, The Morning News, Stock

Market Summary for Today, One News Page, Pilot-News, Antlers American, Morningstar StockInvestor, RFD-

TV, The Numbers Marketplace, Minister Community Post, and numerous other news outlets.

“Buying a home in a hurricane zone: How to assess your risk” 7-1-19.

Bankrate.com. “Just because a home has not flooded previously doesn’t mean it

won’t flood tomorrow,” cautions Dr. Luis Torres, research economist of the Real

Estate Center at Texas A&M University. “Consider whether you are downstream from a dam or reservoir.

Following Hurricane Harvey, many Houston homes were damaged by the release of water, not by the actual

hurricane.”

“The Dallas real estate market has cooled off. Don’t panic” July. D Magazine. The bottom

line? “Home prices this year will still probably go up in Dallas-Fort Worth,” says Jim Gaines,

chief economist at the Real Estate Center at Texas A&M University. “But they’re not going up

as fast. In economics terms, we call what is happening a ‘reversion to norm.’ The market is

going back to its normal pace of activity. Instead of being in a state of exuberance where prices go up 10

percent annually, they’ll return to going up 3 or 4 percent.”

“The bulldozers are coming to your neighborhood” July. D Magazine. “It’s actually a very

natural phenomenon,” says Jim Gaines, chief economist for Texas A&M’s Real Estate Center,

which researches the state’s housing markets. “The people who live there want the efficiency and

the benefits of having a new house, but they want the location. The key is the location. That will

dictate what happens in that neighborhood.”

“Warren Buffett’s real estate company moves into SETX” 7-1-19. Beaumont Enterprise.

The latest Texas Realtors report showed first-quarter sales in the Beaumont-Port Arthur

Metropolitan Statistical Area were down 2 percent compared to last year. Some of those

declines could be attributed to rising prices and a relatively tight inventory for most of the last

two years, data from the Texas A&M University Real Estate Center show.

How tweet it is when you socialize with the Real Estate Center

Twitter (20,161 followers) Facebook (5,353 followers) (639 subscribers)

(2,25 followers) Instagram (948 followers)

Our flagship periodical is available online. Published quarterly in January, April, July, and

October (179,857 recipients)

Not subscribed to Total RECall? Click here to join the 500 Texans following the Center. It’s free.

Total RECall is published monthly by the Real Estate Center in Mays Business School at Texas A&M University. Unsubscribe or comment by replying to this email. Please share Total RECall with anyone interested in learning more about the nation’s largest publicly funded real estate research organization. Ask RECenter a question. View our Privacy statement.

David S. Jones | Senior Editor | djones@mays.tamu.edu

Real Estate Center | Mays Business School | Texas A&M University

2115 TAMU | College Station, TX 77843-2115

©2019. Real Estate Center at Texas A&M University. All rights reserved.