|
NAREI Newsletter
Huntsville Duplex - Check this out!
Huntsville Duplex For Sale
The Huntsville market is still in the Expansion cycle. Please read the attached 'Huntsville updates for 2007' Word doc.
Each unit is a 3 + 1 of approximately 1,100 sq ft per unit. One unit has a tenant with 1-year left on a 1-year lease at $485.00 per month. The other unit has 8-months left on a 1-year Section-8 lease of $450.00 per month.
Late Summer '06: New air conditioning unit
Fall '06: New carpeting & paint in unit 'A'
Spring '07: New stove/oven in unit 'A'
Price is $102,850 (Just for starting computations, an 80% loan on that price, at 6% interest, FULLY Amortized over 30 years, would equal a payment of approximately $493 per month! A 15 year loan would be slightly higher. An interest only loan, and/or a larger down payment, and/or a lower interest rate would equal a lower payment than calculated!)
There is much appreciation left to go in this market, at least several years by all indications.
Please contact Bob Harkins at 661.609-2269, or at rharkinswillflyforfood@yahoo.com
Thank-you
 Bob If you live not risking, you risk not living
if you are unable to see the photos - this email is located under "latest news" at NAREI.COM
Here is an article and some updates from a Huntsville investor regarding the market in Huntsville. It shows the trend through 2007. It indicates the predicted direction as of the beginning of 2007, and the actual move of the market in the predicted direction throughout the year. It also indicates that direction to continue for several more years.
Feb. ’07:
Alabama population moving on up, study says
State among four in Southeast with high inbound rate
Monday, February 05, 2007
By BOB LOWRY
Times Staff Writer bob.lowry@htimes.com
MONTGOMERY - Alabama is one of only 13 states to show a net gain of residents in 2006, according to United Van Lines' annual "migration" study.
Experts say the non-scientific study reflects Alabama 's economic growth, the fact that the state has a low cost of living and its taxes are the lowest in the nation.
Alabama was among four southeastern states that had high inbound rates.
North Carolina was the top destination in the nation for the company's customers, with an inbound rate of 64 percent versus 36 percent who left the state. South Carolina was 60.6 percent, and Alabama was at 57.5 percent.
The statistics are among the findings of United's 30th annual study that tracks from where its customers in 2006 moved and the most popular destinations.
Niles Schoening, an economist at the University of Alabama at Huntsville , describes Alabama as a "pull state."
He said people are moving to Alabama because of job opportunities and because it's a popular destination for military retirees who live near bases in Huntsville , Montgomery and Dothan .
Also, many people are retiring on the Gulf of Mexico in Baldwin County and around the state's major lakes, such as Guntersville Lake and Lake Martin , Schoening said.
"We're not losing the rural population like we were in the '40s, '50s and '60s," he said.
Dan Bogie, director of the Center for Demographic Research at Auburn University Montgomery, said the van line's figures reflect the most recent U.S. Census numbers.
From 2000-2005, Bogie said the census reported Alabama had a net immigration gain of more than 36,000 people. From 2004 through 2005, the net gain was 17,000.
"If these numbers are any way close to correct, it looks like the net migration is picking up," Bogie said.
He attributed Alabama 's gains to its robust economy, low unemployment and growing job opportunities.
It's always about the economic situation and the availability of jobs," he said.
Alabama's unemployment rate has hovered below 4 percent for the past year.
Bogie said the influx of jobs moving here through the Base Realignment and Closure Commission decision "should give a pretty good boost" to the population of Huntsville and Madison County over the next several years.
"One thing I've noticed about Madison County in the net migration is that, as a core county, it's not losing people rapidly like Jefferson, Mobile and Montgomery counties," he said. " Madison County continues to attract people rather than the outlying areas."
In contrast, Bogie said newcomers to Montgomery tend to prefer the contiguous counties of Autauga and Elmore, or even Lee County - a 50-mile drive.
Lee Sentell, director of the Alabama Bureau of Tourism and Travel, said there may be a tie-in between business and leisure travel in the state, which he described as "strong" in 2006.
"Because travel within Alabama increased by 33 percent during the past four years, it follows that some people who sampled our state on vacations are going to want to relocate here," he said.
Sentell also said many people are moving to Alabama to fill jobs being created by the automotive and high-tech sectors.
"The North Alabama region is expecting strong growth for the next several years because of the thousands of military jobs being shifted from the Pentagon to Huntsville ," he said. "New construction along the Alabama Gulf Coast increased the condo inventory by 10 percent during 2006, which should prompt move-ins in 2007."
Though Tennessee saw less people move in during 2006 than 2005, it still captured a spot on the high inbound list at 55.8 percent.
The only southern state reporting a high outbound rate was Louisiana , and that was attributed to Hurricane Katrina. The rest of the southern states, including Florida and Georgia , were static.
Many Americans moved to the West and Southeast, while the central Northeast region had the biggest losses.
United Van Lines says real estate companies, financial institutions and others who analyze relocation trends regularly use its data in business planning and analysis.
Summer ’07:
“Speaking of the market, rents are going up as there is just no where for people to rent – especially in north east county. There is only one small apartment complex in the area, and people are wanting to rent houses – there just aren’t many available. Katie and I just rented out our 3bed/2bath house off Doug Hill Road just around the corner for $870/mo – a whole $110 higher than we rented it out for just 4 months ago. We had the ad run for a few days and got nearly 15 calls. It’s a good-sized house, but this means (our) patio homes are in a prime spot to benefit from this demand, which is continuing to increase. So in addition to having another 10 prospects for our patio homes from the ad Katie and I ran for our home, already a patio home has been successfully leased at $700 (which includes one of the mini-storage units, $40 value).”
Fall ’07:
“And for a market update, I have been speaking with several previous Huntsville buying tour students (from the 5 buying tours in Huntsville) ………... and from these discussions investors/students have told me their research has shown appreciation of their properties anywhere from 10% in the first year to as high as 17% to 20% for one student who bought 5 houses across Huntsville. Rents are beginning to slowly creep up but we anticipate the real growth in rents and appreciation to begin sometime early next year when the first of the relocations really begin to start for the Redstone Arsenal. In the next ….. update I’ll try to include some photos of the new developments going up around the city, new malls, buildings and retail strip centers.”
Winter ’07:
“As you’re probably aware, the subprime market has taken a substantial hit in the last several months due to increasing rates, a slowing national housing market, as well as the closure of a few lenders, among other factors. While this may give the media a chance to instill fear and panic in high-priced equilibrium and decline markets across the country, Huntsville and other absorption or expanding markets are relatively well isolated from any effect this might normally cause.”
| 