Living the American dream New homes continue to be built in Austin, despite weak housing economy By TRISHA MARCZAK trisha.marczak@austindailyherald.com
Eleven families set out in 2010 to build their dream homes in Austin. While that number may be down from previous years, there are still some out there making their dreams come true. Community Development Director Craig Hoium said new homes built in Austin are typically designed for the family at hand, rather than those designed by companies seeking to build and sell new “spec” homes. “Most of our homes that were built were custom built,” Hoium said. “Other communities might build 20 spec homes, but that was never the case in Austin. We have a more conservative approach with new home construction.” In 2009, 13 new homes were built — down from 15 constructed in 2008. That’s comparable to surrounding communities, even those that were known for building spec homes. In 2010, Hoium said Owatonna came in with around 14 new homes. That’s down from the town’s previous average of 100 new homes, prior to the economic downturn. Even when times were good in the housing market, Austin averaged around 40 homes. The high for Austin was set with 67 new homes in the early 2000s.
Trisha Marczak/trisha.marczak@austindailyherald.com Eleven new homes were built in Austin this year, including a handful of houses in the new Nature Ridge housing project, located near the Hormel Nature Center.
The sizes of the homes has also decreased along with the multitude of homes. “I would say, back when times were good, homes
constructed ranged more from $300,000 to $500,000, where now it’s more in the $25000 to $300,000 range,” Hoium said.
Making a home in Austin
Trisha Marczak/ trisha.marczak@austindaily herald.com
TOP: A view from the side of a home built recently in the Nature Ridge development area.
Trisha Marczak/trisha.marczak@austindailyherald.com
RIGHT: A view of the same home from backside of the house.
A new development in Austin is included in the city’s new housing project this year. The Nature’s Ridge Housing Project is located on 21st Street NE near the Hormel Nature Center. The houses built in this development area are among the 11 new homes built this year in Austin.
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A vacation dream home come true ARA Content
For those who've ever dreamed of buying a vacation home in the mountains, on the beach, or in the big city, it's becoming easier and more common for people to make that dream a reality. In fact, Americans bought more than half a million vacation homes last year, according to the National Association of Realtors (NAR).
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Low mortgage rates, median sale prices that were down more than 15 percent, and the potential for generating substantial rental revenue are among the reasons many have made their dreams of a second home come true. While baby boomers have historically led vacation home purchases, nearly half of the buyers in 2009 were under the age of 45, and the median household income of vacation home buyers was $87,500 — down from $99,100 just two years ago. “An increasing number of younger buyers are getting into the market, seeing a vacation home as a long-term investment and a source for ongoing personal enjoyment and memories,” said Tom Kelly, author of “How a Second Home Can Be Your Best Investment.” Kelly points to the NAR Investment and Home Buyers Survey that found vacation home owners plan to own their homes for an average of 16 years, up from 12 years in 2008 and 10 years in 2007. Offsetting the cost of vacation home ownership More people are able to afford a vacation home due in large part to the potential revenue stream that comes with Photo provided renting the home to travelers — something that's become especially easy thanks to the rapid growth of the online Buying a home away from home is now being looked at as a more realistic option. vacation rental industry in the past few years. 1. Carefully review the destinations HomeAway, Inc., which operates online bookings online,” says Brian where you enjoy vacationing, and before vacation rental sites HomeAway.com, Sharples, founder and chief executive you buy, consider the areas where consumer VRBO.com and VacationRentals.com, has officer of HomeAway. "We literally de- demand for vacation rentals is high. grown dramatically since it was founded liver millions of rental inquiries each in 2005. The company now boasts more year to our owners who list their homes 2. Talk to an accountant about the tax adthan 540,000 vacation home listings. vantages of owning and renting out a secfor rent on our sites." “Our goal is to make it as easy as posThose inquiries can lead to substan- ond home. sible for vacation home owners to adver- tial revenue. Sharples says the average tise their properties and manage their 3. When you're ready to rent out the propsecond home owner rents out their property to travelers about 20 weeks a year, erty, be sure to market the availability of the generating more than $35,000 in rental vacation rental to travelers by advertising it on sites like HomeAway.com or VRBO.com. income annually. “The rental income that our home 4. Check out other similar vacation owners generate can help cover a typiLic. #20218786 cal second home mortgage as well as rentals in the area to determine what rates basic home maintenance and repairs,” they're charging, and price your home competitively. he adds.
Tips for generating rental income from a vacation home For those in the market to buy a vacation home, Kelly offers the following tips for where to buy, what to consider and how to maximize rental income.
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For more information on buying a second home and effective strategies for maximizing rental income, visit HomeAway's online community for vacation rental owners at www.ownercommunity.com.
FRIDAY, JANUARY 28, 2011 3
Hardwoods in unlikely places ARA CONTENT
The no-no's about using hardwood near a water source are vanishing. And while allowing water to rest on a wooden surface for extended periods will always be a no-no, the American Hardwood Information Center, finds that more design professionals are saying yes to client requests for the warmth, charm and richness of natural wood no matter where it's used — in the bath, the kitchen and even the basement. “I recently designed a bathroom that was all hardwood,” reports Douglas Wright of Miller & Wright Architects in New York City. “The only place we used stone was in the shower. Everything else was maple floor, walls, ceiling.” What about the inevitable splashing that baths are prone to? But remember — it's important to always dry splashes immediately. With normal use and proper cleaning, these surfaces should last indef-
initely. Wright adds that for greater dampness protection, “We applied several coats of matte polyurethane. If water splatters out of the sink or shower, it doesn't stain anything and with that low-luster finish, the wood looks completely natural.” For a New Hampshire kitchen, Wright designed a maple backsplash and counter. Wood as a kitchen work surface “seemed kind of crazy at the time,” he says, “but it turned out beautifully.” His only caveat: Use a cutting board to avoid possible scratches or scars. To extend the durability of any work surface, a protective sealer is always wise. “Applying three coats of polyurethane to hardwood allows the rich, warm color to come through and you don't have to worry about the surface,” Wright says. “It resists water and cleans easily — just wipe up the splashes and spills.” Other pros agree. Indianapolis kitchen and interior designer Janice Pattee had no
qualms about specifying a walnut countertop for the peninsula in a kitchen makeover. “The cabinets were white-painted maple. For contrast, the client chose grained wood.” She particularly loved the doubleogee edge that made the peninsula look like fine furniture. Though it's mainly a breakfast bar, it often serves as auxiliary work space. In another kitchen remodel, Mark T. White of Kitchen Encounters in Annapolis, used another elegant hardwood to create the circular extension to a stone countertop and the top of a rectangular island. “The clients chose cherry because of its color and grain,” he says. “The surfaces were lightly stained for color uniformity, then a top coat and sealer were applied — four coats in all. Of course we urged using cutting boards and trivets, to prevent possible damage from sharp knives or hot pots.”
ARA CONTENT
A walnut vanity is the focal point in this bathroom makeover captured by Tripp Smith.
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