February 2015 Lackland, Randolph & SAMMC Homes For Sale Report

logo21.gifThis will likely be a very interesting year for home buyers and sellers in the communities near Lackland AFB, Randolph AFB, SAMMC and throughout the Joint Base San Antonio area.
Late February typically sees the beginning of  San Antonio’s most active home sales season, but, this year, there could be a cloud on the horizon. Everyone is warily watching the impact of falling oil prices on local home sales and rent prices.  Their concern is this.   In the next 6 weeks, will the home sales market heat up in a manner typical for the season, moderate a bit, or even fall back significantly should lower crude oil prices dampen the local economy due to reduced drilling activity in the Eagle Ford shale oil fields near Randolph AFB and Lackland AFB?
 
A significant decrease in homes sales activity would herald the end of the amazingly strong market that began in the late winter of 2013 and continued in force throughout 2014.  Also, it would likely mean it may cost more to rent an apartment or home.
 
Here are the facts.   
 
San Antonio ended the 2014 residential market in its strongest position since its benchmark 2006 home sales year.  According to the San Antonio Board of REALTORS®, “The San Antonio housing market grew in all areas in 2014 including total sales, average price, and median price.  According to the December 2014 Multiple Listing Service report by the San Antonio Board of REALTORS® a total of 24,735 homes were sold since January, a five percent increase from the same period in 2013.  Average price for the year rose five percent to $218,762, and the median climbed by 6 percent to $180,000.”
 
Local realty market analysts and business economists attribute San Antonio’s recent rapid population increase, geographical expansion, job growth, and healthy economic situation at least in part to South Texas’ booming oil industry. It’s anticipated that a major decrease in local oil field drilling activity will have significant negative impact on the communities nearest the oil fields.  Nonetheless, due to the city’s growing economic diversity, a temporary decline in Eagle Ford oil field development and fracking production would likely have only a minimal economic impact on San Antonio’s economic health.
 
Despite the uncertainty generated by the oil price issue, for the time being, San Antonio’s home sales market remains strong and exceptionally active.  Because there are too many buyers for the available resale and newly constructed home inventory, it’s a strong seller’s market, with home prices rising 5 to 6 percent per annum.  There’s strong competition for the best prepared homes in the most popular neighborhoods. 
 
Buyers with good credit can take heart in knowing that mortgage interest rates are expected to remain low in the short term and, considering the affordability of San Antonio homes, it’s still possible to find a quality San Antonio area home for a reasonable price compared to a similar home in the nation’s other large metropolitan area markets.
 
This concludes our February 2015 San Antonio home sales.
 
The SanAntonioHomeQuest.com Realty Solutions Team, Keller Williams Legacy, specializes in representing active duty and retired Air Force and other uniformed services families in the communities around Lackland AFB, Randolph AFB, SAMMC, and throughout the Joint Base San Antonio area.   If you have questions, need San Antonio realty or mortgage loan advice or assistance, or just want to learn more about the wonderful Alamo City, please use the realty research and information features available at our sanantoniohomequest.com website or call us at (210) 863-2661 (Randy Kelley, REALTOR®) or (210) 867-8743 (Stephanie Kelley, REALTOR®). 

January 2015 Home Sales Report For Lackland AFB and Randolph AFB

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FROM THE BEST REALTORS® REPRESENTING THE WORLD’S FINEST MILITARY FAMILIES

January 2015 – Homes Sales Report For Lackland AFB and Randolph AFB, Texas 

For home sales in the communities near Lackland AFB and Randolph AFB and the entire Joint Base San Antonio (JBSA) community, last year (2014) was the most active year since 2006.

In 2014, residential sales in San Antonio’s military communities were comparable to the aggressive home sales environment in the overall San Antonio market.  According to a recent article at sanantoniohomequest.com, “2014’s impact was impressive. Compared to 2013, closed single family home sales increased 4.23% (from 23502 to 24541), the average home for sale list price increased 4.72% (from $215,075 to $225,729), and average sales price increased 4.92% (from $208,040 to $218,805). The area ended 2014 with the lowest inventory of available homes for sale seen in the last decade.”

The story for San Antonio’s large retired and active duty uniformed services community is this.  Driven by it’s booming economy,  San Antonio has one of the nation’s most active and successful home sales markets.

What does the good news mean to Lackland and Randolph area families looking to buy or sell a home in 2015?

There should be fewer sellers who owe more on their mortgage than their homes are worth.  The probability of their at least breaking even is much higher.

Because there’s a shortage of homes for sale around the military bases, home prices will rise and, like it’s been for many months, sellers will continue to have the negotiation advantage over buyers.

The best prepared homes will sell quickly, bidding wars will become more common and buyers can expect to have stiff competition for the most marketable homes.

That said, there may be a economic cloud on the horizon for the housing markets around Randolph AFB and Lackland AFB.  Quoting sanantoniohomequest.com, ” Now, entering 2015, there is the possibility of a significant change in the area’s economic circumstances. Gas and oil field development and the refinery and sale of petroleum products have traditionally been the most significant industries contributing to Texas’ economic success. Although good for America’s motoring public, the recent collapse of crude oil and gas prices might bode ill for Texas’ most significant industry. Economists are watching the situation warily, cautioning a wait and see attitude regarding the long term impact of low petroleum prices on the economies of both San Antonio, specifically, and the state in general.”

Subdivisions near Lackland and Randolph lay close to the area’s shale oil production centers.  A significant downturn in oil field development and production could cause home sales and prices to fall in those communities.  That will be good for buyers but not so good for sellers.

As we have so often pointed out in this column, home buyers should take heart in knowing that, historically, San Antonio has a consistent record of moderate but steady home value appreciation (3% to 5% yearly) and residential sales market stability. Also, San Antonio area homes are still very affordable when compared to homes in the nation’s other large metropolitian markets.

This concludes our January 2015  home sales report for Lackland AFB and Randolph AFB .

The members of the SanAntonioHomeQuest Realty Solutions Team, Keller Williams Legacy, San Antonio, Texas, specialize in representing home buyers and sellers in San Antonio’s active and retired uniformed services communities. If you have questions, need San Antonio realty or mortgage loan advice or assistance, or just want to learn more about our wonderful Military City USA, please use the information features available our sanantoniohomequest.com website or call us at (210) 863-2661 (Randy) or (210) 867-8743 (Stephanie).

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