PORT ARANSAS, Texas - The question on everyone's mind is whether or not now is the right time to buy. Will prices go lower? Will mortgage rates go down? There is one undeniable truth. Nobody knows where the bottom of a market is, until it has passed. Trying to time the market is exceedingly difficult.
The Port Aransas real estate market continues to outperform most other markets. Prices have come down in some cases, but condos and homes have not seen the sharp declines experienced in other communities. Many properties continue to appreciate. The only segment that is undergoing a market correction would be in residential lots and unimproved land.
It is a buyer's market with a large inventory. On Mustang Island, there are currently 290 condos & townhomes, 124 detached homes and 282 lots on the market (MLS 8/22/09). 30-Year fixed rate mortgages are still in the historically low range at just under 5.25% Let's take a look at The Big Picture.
Supply
They're not making any more coastline. Why is Port Aransas a growing community? Part of the reason is that Mustang Island boasts a large portion of the total Texas coastline available for development. Of the 375 miles that make up the Texas coast, 293 miles are unavailable for development, 56 miles are fully developed, and 26 miles are available for development. Many of those 26 miles lie on Mustang Island.
Demand
All the long-term trends show that the population of Texas will grow significantly. The Real Estate Center at Texas A&M published "Looming Boom - Texas Through 2030" which shows the population to grow by ten million people, from about 23 million in 2005 to 33 million by 2030, a 43.5 percent increase. A June 2009 article in the Austin Business Journal illustrates the projected robust growth in the Texas major metropolitan areas. Released earlier this year, "The Texaplex" sums up these forecasts in an impressive video that is a must see.
The increasing Texas population coincides with a growing number of baby boomers planning their retirement. There are countless studies indicating that it is the desire of many to retire to the coast. I hear and read this trend daily in phone conversations and emails from prospective buyers. Most are trying to get a foothold in the local market with retirement still on the horizon.
Timing
Mortgage rates are low, inventory is plentiful and long-term trends are frankly a bit overwhelming. This may not be the right time for some, but it sure looks good when you consider The Big Picture. If you missed any of these recent posts, you might want to check out: Why Port A? Condos And Homes What Are The Costs? and stay tuned for more information.
Take a little time and explore Port A
Thank you for visiting the Port Aransas real estate blog.
Keith McMullin – Broker/Realtor
Keith - I only see allot of good growth happening in your area. Where better to live in the Great State of Texas. Canyon Lake and Port A. Had to give Canyon Lake a plug.
Great blog! Well stated! Makes me want to buy...maybe I will!
I have neighbors who have owned a condo down there for years. They tell me it is very pretty. We have never been.
Howdy there Keith
I sure do hear from a lot of folks, that Port A is a real fine place to have a home. Mighty fine post about your area.
Thank you for the positive comments. I love Port A and it shows :)