WE DID IT! Keller Williams moves to Second Largest

AUSTIN, TEXAS (March 8, 2011) - Keller Williams® Realty Inc., announced today that it is now the second-largest real estate franchise in the United States based on the total number of sales professionals, surpassing Century 21, according to research conducted by REAL Trends, a leading source of analysis and information in the residential real estate industry. The company claimed the number two spot with 77,672 U.S. –based associates at the end of 2010, just two years after claiming the number three spot from RE/MAX® International.
“Once again, this milestone achievement is a direct result of the dedication of our associates and the stability and profitability of the Keller Williams business models,” said Mark Willis, CEO of Keller Williams

Realty, Inc. “It’s incredible to see the momentum that our associates and our offices have right now.” This news comes one week after the announcement of positive growth by the company at their annual convention in Anaheim. Including its presence in Canada, Keller Williams closed the year with 79,315 associates and 701 market centers (offices). At the convention, Willis also shared that Keller Williams associate profit share was up 7.2 percent, with its agents receiving $34.6 million dollars back in 2010. Despite industry contraction, Keller Williams associates across North America also showed significant percentage gains in listings taken (+13%), contracts closed volume (+9%) and contracts closed units (+6%).
The company also formed Keller Williams Worldwide with Chris Heller as president, citing plans for global expansion, with plans to grow the division by an additional 75,000 associates in 10 years. “Our goals are to expand the Keller Williams Realty model—with the focus on training and our sound business models.” said Chris Heller, president of KW Worldwide. “And, when looking for the right country and business partners in planning for expansion, we will not sacrifice the perfect fit with our mission, vision and the KW culture, those are absolutely necessary.”
Despite the sharp downturn in the real estate market, since 2005 Keller Williams Realty has grown 30 percent in agents, 40 percent in market centers, 21 percent in closed units and 11 percent in closed GCI.

Keller Williams Realty received many accolades in 2010 including:

• Entrepreneur magazine, No. 1 ranked real estate franchise on the 31st Annual Franchise 500 list.

• J.D. Power and Associates, highest in overall satisfaction ratings from home buyers among the largest full-service real estate firms for the third year in a row

• Inman News, Co-Founder and Chairman of the Board Gary Keller named one of the 100 Most Influential Leaders in Real Estate.

• Training Magazine, highest ranking real estate franchise on the annual Training Top 25 125, #47 overall.
“It is such an honor to be a part of a company with such dedicated and driven people,” said Mary Tennant, president and COO of Keller Williams Realty. “Our associates are setting the pace in the industry. It is truly an exciting time to be in real estate and to be a part of the Keller Williams family.”

Exciting News at ESCONDIDO

Bob Dudley, from Escondido, guest posting. 

While the economic downturn has slowed many markets in the Hill Country, here on-site, sales of individual lots and available residences have continued and Escondido has reached a welcome point of community maturity, as well as a very stable position based on Member growth and with new Equity participation.

Here are some of the exciting events, new offerings and announced happenings that will soon be taking place in the Escondido community:





New Dining Room



1. Our Clubhouse facility is near completion and with the final addition of furnishings and enhancing the Spa, Fitness and Dining amenities, it should be fully operational, by July 4th. The stunning structure will be getting a further $4.6m of additions and improvements between now and its opening.

2. The new Equity Partnership has announced plans to be investing a further $10m to $12m of capital in Escondido to complete the full compliment of promised amenities, add new ones and fulfill Escondido’s Founding Vision – to be the Best 2nd Residence and Getaway Community in Texas. Members approved this by a send-in Vote of 343 to 1. Closing on the Equity Partnership transaction is set for March 18, 2011.

3. A Residence Center offering is in the planning, with elegantly furnished and appointed one, two and four bedroom unit shares to be sold. These will provide for the combination of superb on-property accommodations with full membership privileges, while in residence. Share owners, their families and guests will be able to partake of Escondido’s recreational and lifestyle option.


4. Escondido’s Fazio Course enjoys a reputation as one of the Southwest’s better courses and amongst the finest of member clubs. Our Lake Club on a cove off Lake LBJ is known to be one of the premier pool and cabana sites in the country. Come learn about the plans to enhance these amenities and construct new ones, with a focus on new choices for families and children.


5. Southern Living Magazine selected the Escondido community and its architect, Michael Imber, to design, build and then host their very popular annual presentation of an Idea Home, for 2011. Ten to fifteen thousand visitors are expected to visit the Escondido community during the sixty day preview period, during the coming summer. We have properties starting at $195,000 in our Village area, fabulous, Estate lots by the golf course from $235,000 as well as prime well-treed golf fairway sites starting at under $400,000., large 4 bedroom residences starting at $1.25m and waterside lots with boat dock rights starting in the $700’s.

6. March 1st, some additional assets will be transferred to the non-profit Club Corporation, owned by Escondido’s Members. The value of an Escondido membership, one comes with each property purchase, will then rise to a new defined value level of $120,000. The maturity and stability of the Escondido Club and community are manifested in these escalating figures of the defined Escondido Membership value, since 2004. Some will act to become Member’s before values rise again, with the scheduled transfer of the Clubhouse assets, later in 2011.

7. There are several residences currently under construction, with several additional construction starts scheduled over the next ninety days. The infrastructure is nearly complete for our Lago Escondido community, one residence with stunning multiple water views is nearing completion on the Lago site with three more new homes in various stages of construction on this lovely Big Water sited community. Investments in the erection of second and primary homes in Escondido are but further evidence of the stable position that Escondido has reached. We have a wonderful variety of property for sale with a variety of fairway, creek-side, big-water or a lower maintenance smaller Villa or Casita sites available for purchase, some at economical price points.

Bob was kind enough to share photos.  Check out my web site or Facebook page for more.

Current REAL ESTATE Market Anaylsis, Horseshoe Bay, Marble Falls, & Meadowlakes

The months of March through October are usually our highest volume sales in the Highland Lakes of the Texas Hill Country. A quick analysis for the previous twelve months’ home & lot sales for Horseshoe Bay, Marble Falls, & Meadowlakes (my primary market area) might be of interest. I’ve prepared spreadsheets that sort Oct. 2009 to Oct. 2010 sales by city, by category, & in some cases, by subdivision. If you'd like copies, just send me an e-mail: JanLBusse@Gmail.com & I'll gladly share. My current listing clients get these regularly.

If you compare this year versus last year, our quantity of sales are almost flat. Anecdotally, however, my buyers seem to be asking two very important questions they were not asking before:

1. What's the best DEAL (value) for the money regardless of price, category, or location
2. How much more can I get if I move my price point UP to the next "xxx" number of dollars

During the 2008-2009 sales year, our market sold almost exclusively houses under $300,000 and over $1million. This year, we see the BEGINNING of mid-level ranged houses selling again. Yes, they must be great prices, exceptional properties, or exceptional values -- HOWEVER THEY ARE SELLING AGAIN.

• “Single Family & Condos Sold” are heavily weighted toward NEW construction, regardless of city or category.
• Most buyers resist remodels in our market, especially when new homes are available at reasonable prices, so older home sales have been hardest hit. Subsequently, they may also be the biggest opportunity for bargain hunters.
• Until recently, there have been a number of new construction foreclosures on the market, which drove down prices even further. This is especially true for condos & townhomes
• Today, there are fewer “single family, distressed” properties available & I don't foresee many more showing up in this category any time soon.
• Condos, especially “The Waters,” may see still more foreclosures this year
• Golf course homes, which were also very slow selling have begun to see activity again, especially in new construction & higher end houses (those asking over $500,000)
• Another surprise for our market, is “Waterfront Single Family Home Sales” have slowed, while inventory is very high. There are currently 88 waterfront homes listed in our MLS as “for sale” in our three cities.
• My OPINION is that there are fewer motivated sellers in that category
• The oil business has settled down to a more normal level of business, & in TEXAS, oil related businesses supply an unfair share of our highest end buyers
• Currently there are only 2 waterfront condos listed as “pending” in our MLS
• Currently NO waterfront houses are ”pending” in our MLS.

Regarding home sales, the market seems to be holding its own or even trending up, based on price points paid this year versus last year.Whereas two years ago buyers were not buying at all, today there are qualified buyers, looking for bargains in most all categories.

When buyers ask me where the best STEALS are, without fail, I tell them "buy dirt!" Lot sales have been almost non-existent in the previous 12 months, & they show no immediate signs of improving. Serious discounts are available!!!

• Savvy investors are beginning to inquire regarding lots again thanks to the news about the new county hospital & the recent positive changes at Escondido & Skywater
• Builder’s profits are greatly affected by land costs, so those that can bank property are looking for particular bargains.
• From talking to several Austin & San Antonio builders, I’ve been told the land costs there are rising again, so I believe our market will soon be viewed as the GREAT VALUE it is.
• Until most of our newer construction single family inventory is sold, land sales will like stay very slow unless sellers are willing to provide deep discounts to buyers
• It is often cheaper to buy pre-existing new construction than to build new
  

Every month, I prepare spreadsheets & average the sales numbers by category. Everyone understands the averages are arbitrary. Trying to compare locations, finish outs, age of the homes, etc, is impossible. But one very important average struck me: in almost every instance, the average percentage paid for a property, compared to seller's asking price was 92% to 95%.

Today, when there are so many bottom feeders, sellers are afraid to drop their asking prices close to what they'll actually take, but they NEED TO RE-THINK THIS STRATEGY.

If the price has too much negotiating room, buyers won't make an offer, but go where they think they can negotiate with someone who's more motivated and/or realistic.

Overall, I would not say the immediate future is rosy for sellers. It remains weighted heavily for buyers, but overall sales seem to be trending slowly up. There ARE many buyers willing to purchase if the value is strong enough. It's not strictly about PRICE, but the VALUE must be apparent in every transaction.

How to Protest Your Tax Valuations

Llano Central Appraisal District (LCAD) mailed over 12,000 notices of increased appraised values to property owners this week. If you are one of the 12,000, there is a process in place that allows you to PROTEST INCREASED VALUATIONS. In anticipation of the protests, Texas Comptroller Susan Combs has prepared a video about protest procedures.

In light of our slow real estate market for 2009, a comparative market analysis (CMA) done by a real estate professional could help you verify the appreciation your county is claiming or help you make the case that county records are not thorough enough to support the increase. I highly recommend you CONTACT YOUR REALTOR for a CMA of the property & market in question.

As I explained in last week's blog, if you purchased a new property during 2009 and paid less than the county's appraised value, usually all they require to change the valuation is a copy of your closing statement (also known as a HUD statement) from the title company.

In order to preserve an objection to the district’s valuaton, a taxpayer must file a formal protest within 30 days of the date the appraisal notice was mailed, which will be June 4, 2010 in Llano County. Burnet County mailed its notices on April 30, so protests are due by June 1, 2010 for Burnet County property owners.

Texas state law requires notice sent to an owner whose value increased by more than $1,000 from tax year 2009 to tax year 2010. LCAD sent 19,000 notices of increased valuations last year. If you own property in Llano County and did not receive a notice of appraised value in the past week, then your property has not significantly increased in value, and your tax liability will not increase for 2010.

The county sets appraised value from two components — the value of the land and the value of any improvements on the land. State law requires appraisal districts to appraise property at 100% of its market value. However, after application of factors such as agriculture use, homestead caps, and exemptions such as homestead & over 65, many property owners pay ad valorem taxes on a reduced valuation.

Taxpayers who disagree with the appraised valuation of their property can contact the appraisal district for an informal review which is typically a discussion with a district appraiser who can provide information about comparable sales and how the district arrived at the value.
LLano County Website
Burnet County Website

Should You Protest Your Property Valuations?

A record number of property owners protested their tax valuations in 2009 and 2010 should be no different.

Why is tax-assessed value different than market value?
The tax-assessed value is what your county believes your home or condo is worth. The county attempts to set their values at a market value. However, they do not evaluate comparables nor do they perform individual market analysis on every home. The county simply values your home according to the area, not the HOUSE. Meaning, the value may be too high or too low, depending on the size, location, amenities, & condition of the specific home.

How do you determine your market value?
You can contact your Realtor who can provide you with market information, collect information from neighbors who have recently purchased their homes, or contact a company who specializes in assisting with tax assessor valuation protests. If you have purchased a home during the previous 12 months & paid less than the valuation, your closing statement is usually all the county needs to see in order to lower your valuation.

Should you appeal your property valuation?
If the market value on your home is lower than your tax-assessed value, then you should appeal. If the market value is higher, then you should not appeal.

When should you receive your property valuation and how long do you have to appeal?
The County Appraisal Districts began mailing property valuations sometime after April 15th. Most homeowners should have received their valuation on or before May 1st. Homeowners have until May 31st, or 30 days from the date they receive their valuation (whichever is later), to appeal.

How to appeal your Property Taxes?
If you believe your property valuation is higher than the current market value, you should appeal your taxes. When people don't appeal, the taxing authority accepts that their value is correct which affects all homeowners in a given area. By appealing the assessed value, we all help keep our real estae taxing authority valuations in line with market value.

• File your protest using the protest form available from the County Appraisal District. After you have filed, it can take several weeks or more for the Appraisal Distric to schedule your informal hearing. Depending on the county, this can take place over the phone.
• At the hearing: The purpose of the informal hearing is for you to present your evidence and facts to support your claim that they have over-valued your home, condo, or land

PRESENT YOUR EVIDENCE: The following information can be helpful to present at the hearing:

• Comparable Market Analysis (CMA): A comparable market analysis looks at Market Value and shows recent sales for homes that are similar to yours in size, age, location and type of construction
• Documentation Regarding Your Homes Condition: Once again, anything that would adversely affect the Market Value of your home is evidence that you can use in your appeal (if your home backs to a busy street - consider printing a Google map to document your location.)
• Recently Purchased Homes: If you purchased your home in the last several months, and the purchase price was lower than your appraised value, bring a of your settlement statement.

Here are a couple of things to keep in mind when you talk to the County Appraisal District:

• The Appraisal District is responsible for setting the appraised value. THEY HAVE NOTHING TO DO WITH THE TAX RATE. You are not going to protest your tax rate or how much you are paying in taxes. You are only appealing the county's assessed value of your home.
• Bring an extra copy of all your supporting documentation to leave with the county.

To find out more information about protesting your tax appraisal, visit these sites:

• Burnet County: http://www.burnet-cad.org/
• Llano County: http://www.llanocad.com/

MONEY MAGAZINE Recommends Marble Falls

Marble Falls & Horseshoe Bay continue to receive kudos for being one of the best places in the country to retire.


In August of 2008, Sarah Max of MONEY MAGAZINE contacted me because she was doing research for an article on great places to retire. MONEY had found that 49% of baby boomers wanted to retire somewhere by the water. That desire was second only to moving nearer to their grandchildren. After screening for good medical care, low taxes, & affordable housing, Marble Falls made the list!

I put Sarah in touch with our dear friends, Pat & Larry Snider who recently finished building a home in The Trails of LBJ. Ginny Rhodes, my ex-partner sold them their lot. Terry Dauphine of Dauphine Homes built the house, did a spectacular job & Larry & Pat love it! Both are avid water skiers and own cutting horses back home in Colorado, so the Trails was the perfect location for them. Currently dividing their time between Horseshoe Bay & their ranch, they plan to move here full time next year when Larry retires. Pat, Larry, & Horseshoe Bay are mentioned in the hard copy version of the magazine, currently at the newsstands.


When talking to clients, especially retirees, I'm hearing more frequent concerns about living on the coast. Whether the problem is global warming or a re-occurring cycle, the result is the same: increased incidence of hurricanes. No one wants to loose everything, but certainly not at a time of life when your health may not prepare you for the challenge. We had a number of friends who have had family here (some still are here) from Houston because of IKE.


Horseshoe Bay & Marble Falls provides the right distance away from Gulf storms. We have wonderful, affordable housing with great waterfront access. And if you still want to visit the coast, you're only a couple of hours away!

Texas Fall Fest & Wine Auction

Accoring to Orbitz, the Texas Hill Country is second only to Napa for fastest growing wine & food destinations: "Distinctive wines combined with southern hospitality have vaulted the Texas Hill County to the #2 spot on the Orbitz Insider Index fastest-growing list."

But did you also know that Texas viticulture had a tremendous, historic impact on the European wine industry? At the end of the nineteenth century, Thomas Volney Munson & Texas rootstocks literally saved devastated French vineyards from phylloxera. Munson grafted French vines onto resistant native Texas rootstocks & this procedure is still used today. For more information check out Lone Star Vine Roots.

Help us celebrate! Horseshoe Bay Resort will be hosting its Fourth Annual Texas Fall Fest & Wine Auction presented by the Texas Wine & Grape Growers Association, beginning Friday, October 31 through Sunday, November 2.

Guests can enjoy three days of Texas wine and regional cuisine activities. There will be a wine and food pairing seminar, wine tasting at Spicewood Vineyard, a book signing by Celebrity Chef Grady Shears at Fall Creek Vineyards, and a dinner by Grady Spears and Wine Auction Gala, to name a few.

Take advantage of a great package offered by the Resort. Starting at $403 per person (double occupancy) for a two-night stay, October 31 and November 1, 2008, the package includes entry to all six of the festival events plus a VIP-only event with a special take-home good bag.

If you would like to stay at the Resort but not purchase the all-inclusive package, then you may call the Resort’s reservation department at (866) 799-5384. You may also purchase individual event tickets by phone (877) 424-0570 or by visiting the TEXAS FALL FEST & WINE AUCTION website, where may also get more information and a detailed schedule.