Austin Real Estate Scene

Entries from January 2006

The American Dream

January 30, 2006 · No Comments

January 30, 2006

The American Dream

America is a democracy and we believe in free enterprise.
Let's look at that for a moment: Democracy is majority rule. Groupthink. "United we stand, divided we fall." But the key to business – free enterprise – is to have an absolute dictator.Let's look at that for a moment: Democracy is majority rule. Groupthink. "United we stand, divided we fall." But the key to business – free enterprise – is to have an absolute dictator.In America's system of free enterprise, the person whose money is at risk is the person who gets to decide. Wrong or right, foolish or wise, whoever has the gold makes the rules. And that's the way it should be.

So while America's social system is a democracy, individualized financial dictatorship is the foundation of our economy.

Apply democratic principles to a business economy and what do you get? Socialism, if you do it softly. Do it for real and you've got Communism, the biggest economic disaster of the 20th century.

Strange, isn't it? A democracy will have an economic system based on Darwinian survival-of-the-fittest, "It's a dog eat dog world and I'm about to wolf your poodle, pal." But a society ruled by a dictator will usually have an economic system of financial democracy, "Everyone will work for the good of all and everyone will share alike."

Strange, isn't it? Social democracies have financial dictators and social dictators have financial democracies.

The American Dream requires that businesses be controlled by two financial dictators. One of these dictators is the business owner. The other is the customer.

Employees: If you don't like the rules of your dictator, you can go to work for someone else. Heck, you can even go to work for yourself. But if you're an unwise financial dictator, the bank and the IRS will come and haul away your stuff. Welcome to America.

Customers: If you don't prefer the person you bought from yesterday, buy from someone else tomorrow. God Bless America: Land of the Free and Home of the Brave.

I share these untidy and discomforting thoughts with you only as a warning: Don't introduce democratic principles into your business. I've seen it done too many times to count, and always by the kindest and best of my clients. And it has always ended badly.

A strong business requires a strong dictator.

Hey, don't get mad. I don't have a social or political agenda here, I'm just sharing an observation that's been tumbling through my head.

"The American Dream" isn't the dream of a great society. It's the dream of personal wealth.

I'm not saying that's the way it should be.

- Roy H. Williams  http://www.wizardacademy.com/

P.S.  Now what the heck does this have to do with Real estate? well the wealthiest people own most of the real estate in this country. Don't believe me? Just drive around and you'll see for yourself.

Categories: Rants

Make Sure you love the home you are buying!

January 26, 2006 · No Comments

I recently have worked with a couple of buyers who didn't fall in love with the homes they contracted to purchase. They did it because they thought it was the best one they could find. Guess what? they didn't complete the purchase. They changed their minds before the Option period because they weren't emotionally excited about buying it. It was tough for them. The lesson learned here is make sure you are emotionally excited about the house before you make an offer on it. Don't buy something because you think that's all that's available unless you are an investor. A home is something you are going to spend a lot time in. Make sure you love it! I can usually tell when a buyer is going to buy a home. They get it the moment they walk in the house. That's just my opinion mind you but it's happened everytime so far. If you have a question about how you will know it's the right home…trust yourself… you will!

For free reports on how to buy a home…http://www.terrillspeakshomes.com/free_reports.shtml

Categories: Rants

2006 to be strong year for Austin real estate

January 26, 2006 · No Comments

Published: January 25, 2006

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The coming year will bode well for various real estate sectors in the  Austin area, according to market experts.   Four experts, one each from the office, industrial, retail and  residential sectors, spoke earlier today at a Central Texas Commercial Association of Realtors luncheon at the Austin Country Club. The local office market has roughly hit an equilibrium with an occupancy rate of around 85 percent, says Doug Dwyer, senior vice president at Transwestern. That means demand has about caught up with supply, giving way to developers moving ahead with a number of new projects, he says.    Dwyer also anticipates rental rates will rise in the coming year, as will construction costs associated with new development Large blocks of contiguous space are beginning to get scarce in the local industrial sector, says Dick Anderson, partner and co-founder of Austin’s Hill Partners Inc. He anticipates that to cause rental rates to go up later in 2006. Much of the industry’s success, or lack thereof, has been and will continue to be tied to Dell Inc.’s presence here, he says.  The retail sector, which has been strong throughout the tech bust  earlier this decade, is finally seeing local retailers come together in  projects with the regional and national big-box types, says David Simmonds, senior vice president in the local office of The Weitzman Group. He anticipates more square feet of retail space will be addedthis year than last year, pointing to projects like the new IKEA home furnishings store in Round Rock.     John Doyle, director of land acquisitions for KB Homes in Austin, says 2006 will go another good year for residential real estate. He also says land prices have been increasing, adding KB Homes has recently begun expanding out of its start-home niche and into the move-up markets. He attributes much of the increase to the number of Californians entering this market.  Most panelists agreed future growth for all sectors will be contingent on job growth and creation in the area. Copyright(c) American City Business Journals Inc.  All rights reserved. 

You can view this article on the web at: 

http://austin.bizjournals.com/austin/stories/2006/01/23/daily35.html 

Categories: Uncategorized