NACOGDOCHES, TX (KTRE) - To buy or sell a home takes a leap of faith. According to the Real Estate Center located at Texas A&M, buyer confidence is still low nationwide, but here in Texas there's reason to pick up the pace.
"Texas is fully recovered in terms of lost jobs and job recovery," said Dr. Jim Gaines, a research economist who addressed the Nacogdoches County Chamber of Commerce on Friday. "Our home prices, actually last year, we had a record high median home rice in the state and last month we had a record monthly median price."
Yet some home sellers are reducing their asking price. That may change too.
Longtime realtor Gay Roach disagrees with Gaines that a lack of consumer confidence still remains.
"I think I see a level of confidence in our town that I have never seen in an election year before and I don't know exactly why that is," said Roach. "But I think there is a great level of confidence and people buying and people being optimistic in Nacogdoches."
The Real Estate Center statistics do show the housing market remains stable in Nacogdoches County. The research facility is a non profit service supported by realtor fees.
Gaines pointed out the search for oil and gas is returning to Deep East Texas, after a brief absence. "That will help the local economy significantly," said Gaines.
The curb appeal for home buyers is a mixed bag. It's a great time to buy.
"Mortgage rates are historical lows. You can get now under 4, almost 3 1/2 percent for 30 years," reminded Gaines.
But it's also a difficult time to obtain loans. "The mortgage lenders, particularly the national ones, the Wells Fargo, the major banks, as opposed to the local banks, they're being very tight with the credit underwriting, so the loans are not as easy to get as they were about 4,5,6 years ago," explained Gaines.
Gaines says not to expect much economic growth until well after the election.
The researcher's presentation can be viewed at www.recenter.tamu.edu .