Traditional Neighborhood Development (TND) Port Marigny in Mandeville

They say that “imitation is the sincerest form of flattery” and that is the plan Steve Oubre, Project Designer at Architects Southwest, says about the lakefront traditional neighborhood development (TND) Port Marigny on the Mandeville lakefront. Port Marginy will be patterned after the “historic character” of Old Mandeville. The 78-acre project site is located on the former Pre-Stressed Concrete

Products plant just east of Lake Pontchartrain Causeway.

The waterfront development’s updated figures and renderings were presented to the Mandeville Planning and Zoning Commission July 28, 2015, and the project will only be allowed to proceed with the City Council’s approval. The City Council will hold several more meetings to allow Mandeville’s resident’s opinions to be heard before voting their final approval.
Mandeville’s residents, who attended the standing-room-only, meeting July 28, 2015, were able to ask important questions about the project’s density and potential traffic problems the new development could create. Many believe the developers of Port Marigny plan to build too many housing units which will cause traffic congestion in the area. The proposed development plans include building 429 “New Urbanism” new

homes for sale which include apartments (multi-family housing), condominiums and single-family homes on large home sites. In addition to the new construction housing units there will also be 60,000 square feet of commercial space, a 150-slip marina, a 120-room boutique hotel, a park and a town center that would feature a statue of city founder Bernard de Marigny. Traffic Consultant Rich Hall will address these concerns and has already taken preliminary traffic counts. He plans to take additional counts once school begins in August.

Richard Muller’s, attorney for Marcus Pittman owner of the property which the abandoned concrete plant sits on and who is providing guidance for the proposed project, described the focus of the project is to “facilitate the development of a vibrant, walkable, mixed-use, waterfront development that provides strong fiscal benefits for the city.” Residents who will own a new construction unit in the residential community will have narrow setbacks, large lots, sidewalks, service alleys with back access garages, streets no longer than 650 feet, and the multi-family homes will be four stories high including commercial space on the first floor.

Oubre is confident in the project. Oubre stated that his goal was to “build to the historic character” of neighboring Old Mandeville. “Old Mandeville was done right,” Oubre said. “We’re trying to replicate it.”

Click Here to View This Article on Our Website.

Housing Market is Still on the Rise

The housing market is still on the rise and continues to improve according to the findings by the NAHB/First American Leading Markets Index (LMI).  The LMI was developed to record and monitor the recovery of select markets throughout the United States due to the Recession. There are three components (average permit, price and employment levels) that are scored in more than 360 metro areas over a 12 month period.  The scores for these components are then divided by each of their annual averages over the last period of normal growth.  The three component averages are then averaged together giving the overall score for each market.  For single-family permits and new home prices, 2000-2003 is used as the last normal period, and for employment, 2007 is used for the last normal period.

What all of this means in a nutshell is that major metro cities throughout the United States are being monitored for an increase or decrease in real estate activity following the Recession.  The percentages are calculated each month by the National Association of Home Builders and distributed amongst the public and real estate markets so that investors have an idea of how the real estate recovery is progressing nationwide.

Baton Rouge, Louisiana is one of the top recovering cities on the list of major metros on the LMI and is doing 47 percent better than the last findings recorded for the normal market level.  Southeast Louisiana shows an 85 to 92 percent recovery to the normal market level.  In fact, 75 markets out of the 360 metro areas beat their last normal levels of economic and housing activity during the second quarter this year which showed a year-over-year net gain of 13 markets (66% of markets have shown an improvement year over year).  This quarter’s LMI shows that more than half the markets nationwide have reached a 90% or above their normal market level. We are almost back to 100% of normal economic and housing activity that we had before the recession.

“The markets are gradually improving and economic and job growth continue to strengthen, which bodes well for housing for the remainder of the year,” said NAHB Chairman Tom Woods.

Out of the three components of the LMI, housing prices have shown the strongest recovery with 345 markets at the same or above their last normal level. Behind that is the economic level where 64 markets are at their normal market level or have exceeded their normal market level. Housing permit level is lagging behind with only 26 markets at normal or above normal market level.

Click Here to View This Article on Our Website.

Strong Custom Home Building Numbers in Louisiana

Custom home building is going strong in Louisiana and at Ron Lee Homes in West St. Tammany Parish. The 2014 Census Bureau’s Survey of Construction (SOC) reports that 34 percent of the homes built in the South Central Region were custom built.  This means the home was built for you the owner, by a custom home builder, who will either build on your lot or build on a lot owned or purchased by the builder in the area of your choice in St. Tammany Parish. The other 66 percent were spec homes (speculatively-built homes) meaning they were houses built for sale or houses finished on a builders’ lot, ready for a home buyer to purchase. The house was sold to the potential buyer at one total sales price instead of selling the house and selling the land separately.

The SOC defines new home starts into several different categories which include houses built for sale, houses built by contractors, homes built by owners and for rent houses.  Not only does the SOC report if the houses are built for sale, by contractors, owners or for rent, they also report if the new home starts are being built in a community development with a homeowner’s association (HOA).  The HOA is created while the development is being built, and then ownership is turned over to a homeowner board which enforces private deed restrictions and maintains common areas.  In 2014 it is reported that 58 percent of single-family homes were built in a community with a homeowner’s association.
Why the uptick in the custom home market?  Many speculate that the limited builders’ means to borrow money via Acquisition Development and Construction (AD&C) loans have put a damper on their ability to purchase land, build a home on the land and sell the house to a potential buyer. Borrower restrictions are not new, so custom home building is the logical route to take for any builder that has vast experience and “comfort” in being able to build custom.  It was estimated that in 2014 one in four new home starts were custom homes. The custom home market is still on the rise and has reached levels above 2012-2013 but is still below the 2008-2011 levels.

At Ron Lee Homes, we build custom homes in many different subdivisions in the area including Terra Bella Village, Bedico Creek Preserve, Maison du Lac, and many more.  These communities also have established homeowners associations as well, and have lots available to buy and build a new custom home.  If you are interested in designing and having the home of your dreams built in St. Tammany Parish, Contact Ron Lee Homes at 985-626-7619 or e-mail Info@RonLeeHomes.com.

Conventional Mortgages for New Homes Increase for the 5th Month in a Row

When the bottom dropped out of the real estate market, the biggest indicator that the economy was in trouble was that home owners and new home buyers found themselves paying more for their home than what it was worth.  One of the biggest indicators that the housing economy has been in recovery has been the increase in house pricing regionally nationwide.  These home prices went up steadily during the end of 2013 and 2014, so much so, that investors were concerned that they would cause a housing bubble and throw the entire economy back into a Recession.  Once again, though, supply and demand allowed for free market commerce to dictate the real estate market, and prices started to stabilize in the 1st quarter of 2015.

For the 5th month in a row, conventional mortgages for new homes have increased to an all-time high of $352,500 in June, and this is also a record for the average loan amount which has not yet so far been above $350,000 after the Recession.  In addition to the average amount of a loan going up, home prices also increased in June to $462,100 from $447,600 which is a 3% increase.  Also a record-breaking statistic, this is the first time that new home prices have been above $460,000 since the Recession as well.

Even though the average initial fees and charges on loans decreased by 3 basis points to 1.08%, the effetive interest rate on conventional mortgages went up to 3.98%.  Home buyers and people interested in refinancing their homes have been “spoiled” with the phenomenally low interest rates over the past 5 years, but an average overall interest rate in the 4% range is still a historically low rate and will probably not be seen again for quite some time.  The Fed was set to increase interest rates in September, but this is not a guaranteed move and has been in limbo for over a year.  Interest rates are still low, credit is easing allowing higher borrowing amounts for conventional mortgages, and Ron Lee Homes is building new, custom homes in St. Tammany Parish for interested home buyers.  Contact Us today to help you start building the home of your dreams.  Call 985-626-7619 or e-mail Info@RonLeeHomes.com.

Click Here to View This Article on Our Website.

Permits, Starts, and Confidence in the Building Industry

Despite the frustration of finding lots on which to build and labor (employees and sub-contractors) to use to build new, single-family homes, the housing market is on an upward trend.  An increase in permits, starts, and confidence in the building industry by builders was reported by the National Association of Home Builders for the month of June, 2015.  New home permits rose in all 4 regions of the United States from the Northeast, Midwest, South, and West at 2.8%, 2.9%, 10.4% and 9.5% respectively.  The South gained a huge percentage jump in new home housing permits during June, and overall, single-family home permits rose .9% to 687,000 compared to previous months.

New home starts went up mostly for multi-family  building which went up by a huge 9.8% to over 1 million total units – 1.174 million to be exact.  Overall multifamily construction was up 29.4% for a total of 489,000 units.

“The multifamily gains this month are encouraging and show that the millennial generation continues to be drawn to the rental market,” said NAHB Chairman Tom Woods, a home builder from Blue Springs, MO.

Builder confidence is also the highest it’s been since November, 2005.  While any number above 50 means that builders are thinking positively about sales conditions, sales expectations for the next 6 months, and buyer traffic; builder confidence rose in June to 60 averaged out over all three survey results.
“The fact that builder confidence has returned to levels not seen since 2005 shows that housing continues to improve at a steady pace,” said NAHB Chairman Tom Woods. “As we head into the second half of 2015, we should expect a continued recovery of the housing market.”
Buyers are actually seeing a little bit of a seller’s market because of the lack of inventory of new homes for sale.  A dearth of lots and a shortage of construction labor has contributed to a shrinking inventory of supply for homes to buy nationwide.  However, the strong numbers for new home permits in the Southern and Midwest regions signal that new home buyers will soon have homes from which to choose.  If you would like to build your home instead of buying an inventory home, Contact Ron Lee Homes at 985-626-7619 or e-mail Info@RonLeeHomes.com.

Click Here to View This Article on Our Website.

10 Reasons to Buy a New Home

With the house market in full recovery, and home inventory tightening up nationwide, you as a home buyer have a very significant choice to make when deciding the type of home that you would like to buy.  Location is always important, and price is normally a deciding factor, but there is one other huge consideration you should make when purchasing your home – choosing to buy a new home vs. buying an existing home.  Below are 10 reasons to buy a new home vs. an existing one.

1. Tax Benefits:  Each month as a renter, you spend about the same amount of money as a mortgage and get none of the benefits while your landlord pockets your rent, increases equity, and writes of property tax costs.  As an owner of a new home, you will receive all of the tax benefits of owning your own home PLUS, if you have savings from a retirement IRA account, you can pull out $10,000 from this account – tax free – as long as the money is used for a down payment on your home, and you are a first time home buyer.

2. New Home Warranty: Buying a new home vs. buying an existing home gets you brand new everything – windows, doors, paint job, carpet, appliances, and all of your lighting and trim.  When you buy an existing home, you may have the unwanted chore of constantly replacing worn out parts of your home.  Also, your new home comes with a 1, 2, 5 warranty per Louisiana law which protects the home in its entirety the 1st year, all major structural components for 2 years, and framing and infrastructure for 5 years.

3. Repairs and Maintenance: In addition to replacing components, existing homes come built-in with a honey-do list.  You could be repainting the interior and exterior, upgrading / renovating the kitchen cabinets and countertops, and replacing door knobs, hinges, and other pieces and parts of the home.  With a new home, you don’t even have to worry about things falling apart for a few years at least if you have purchased a quality-built home in St. Tammany Parish.

4. Energy Efficiency: Green building has become standard for many home builders in St. Tammany Parish, and Ron Lee Homes is a Certified Green Builder by the National Association of Home Builders.  By installing all green building features, you will not only get the benefit of owning a brand new home, but you will save money in the long run with lower energy bill as well as the environmental satisfaction of reducing greenhouse gases.  With previously owned homes, especially homes older than 1980, you will be dealing with less efficient home openings, insulation, and HVAC systems which will increase the cost of heating and cooling your home.

5. Smarter, Safer, Well-Built: New systems installed in new homes now come with smarter and better working fire alarms, security systems, and smoke detectors.  There is even certain types of primer boards, plywood, and sheetrock that is fire resistant to withstand a fire event.

6. Credit and Financing: Buying a new home allows your mortgage company, lender, or banker more options in choosing the right loan for you.  Especially if you are investing wisely, your home may appraise for a higher amount allowing more equity and better interest rates.

7. Low Interest Rates: With all of the worry that the Fed is about to increase interest rates, rates are historically low and are still at record-breaking lows compared to any previous year of buying a new home.  Because you get to write the interest off on your taxes, it is a win-win situation when buying a new home.

8. Holding Its Value: Because you are buying new instead of previously owned, your home is in better shape and will last longer as long as you chose the right builder.  No matter how wonderful a previously owned home is, it will still “fall apart” eventually faster than a new home because it is older and more worn out.

9. Avoiding Health Risks: With the new information about lead paint and its effects as well as asbestos, many people are very aware that older construction can contain these hazards.  As long as you have hired a quality builder to build your new home, you will never have to worry about hazardous construction materials that could drastically affect your health.

10. Fun Choices: When building a new home, you get to put part of your personality into it by making selections such as cabinetry, countertops, paint, siding, flooring and much more.  In addition to being a part of building your own home, you can take comfort in knowing that you are making the biggest financial investment of your life – one that will give you equity and security for the future.
If you are ready to build your new home in St. Tammany Parish, Contact Ron Lee Homes, a custom home builder, at 985-626-7619 or E-mail Info@RonLeeHomes.com.

Click Here to View This Article On Our Blog.

New Home Sales are Still Going Strong

Even though statistics show a lull in new home building permits and starts, new home sales are still going strong. Both May and June have seen a positive outcome for the housing market and new home buyers.

U.S. Department of Housing and Urban Development and the Commerce Department reported that nationwide housing dropped 11.1% in May, but building permits rose 11.8% (the highest it has been since August 2007).  This almost equal fall and rise was predicted by economists because of lack of inventory in the housing market. Current new home starts are down, but building permits are up because builders are getting geared up for a big push because of this lack of inventory.  It has dropped to around a 4-month supply, the lowest it’s been since the Recession. “The uptick in permits shows our builders are optimistic that more consumers are returning to the housing market,” said NAHB Chairman Tom Woods.

June’s readings are the highest since September 2014. NAHB/Wells Fargo Housing Market Index (HMI) reported that single-family homes rose 5 points to a level of 59 (a score of over 50 indicates a good housing market).

“The HMI indices measuring current and future sales expectations are at their highest levels since the last quarter of 2005, indicating a growing optimism among builders that housing will continue to strengthen in the months ahead,” said NAHB Chief Economist David Crowe.
 
The National Builders Association of Home Builders (NAHB) developed the NAHB/Wells Fargo Housing Market Index (HMI) by taking the monthly survey they have been conducting for 30 years and estimate the builder’s insight of the current housing market.  The survey asks the builder to rate the sales expectations and current single -family home sales for the next 6 months as good fair or poor, and the traffic of prospective buyers as high to very high, average or low to very low.  They take these scores and calculate the index.

“Builders are reporting more serious and committed buyers at their job sites and this is reflected in recent government data showing that new-home sales and single-family construction are gaining momentum,” said NAHB Chairman Tom Woods. This is great news for those who are looking to buy a newly built home and for builders who are in the business of new home building or custom home building. This coupled with an increase in pending home sales, new home sales and mortgage applications make it a great time to purchase a new home.

In St. Tammany Parish, in Louisiana, if you are interested in building a new home for your family in Mandeville, Madisonville, Covington, or Abita Springs, Contact Ron Lee Homes to begin discussing designing your floorplan to either build on your lot or buy a lot in an existing subdivision.  At Ron Lee Homes, we strive to make your new, custom home building dreams reality!  Call 985-626-7619 or E-mail Info@RonLeeHomes.com.


Click Here and Here for the Sources of the Information.