John Angell – John Angell – Paragon Realtors

Vague Specifics – September 2024

I may be the only Realtor in America not super-excited by the fed rate cut, mainly because we’ve known for almost the entire year this was a foregone, political conclusion. It doesn’t matter if the red or blue M&M is in the White House, the Federal Reserve was going to cut rates regardless of whether or not inflation, which is still 50% higher than optimal, was under control. They’re focusing more on jobs, and lower interest rates mean more of them, but tell that to people barely able to afford groceries.

If there’s some positive news to stem from the market slowing down, it’s home affordability. A home affordability rating of 100 means the median income buyer in a market can afford the median-priced home. In January 2013 the rating was 200, it steadily dipped over the next 5 years until it reached 120 in mid 2018. It the slowly trended upward until it high around 156 in January 2021 and then it collapsed all the way to 80 in October 2023. It’s since then hovered somewhat but has taken a slight turn upwards to 90 in August 2024. It’s not ideal, but as close to 100 as we can be is welcome.

Expect the next couple of months to be relatively quiet in the real estate market. Interest rates are just below 6%, don’t expect them to drop all that much before the next rate drop as the current rate was based on anticipation of this cut. Inventory is up but median days on market is still pretty low, couple that with rates and you have the most buyer-friendly market in the last 5 years. This may carry into next year, from what I’m hearing it’s going to be a somewhat sideways market but I haven’t done a lot of research.

I want to thank everyone for their well-wishes and prayers. Kacie’s surgery last month was successful and she’s doing well. She has a few procedures in the future, but we’ll handle them in-stride. I appreciate all of you more than I can articulate.

Architectural Corner: Carriage House

Also called a coach house, the term describes a house that served as an 19th century garage, sheltering horse-drawn carriages, tack & other equipment. They were typically two stories with quarters on the second floor.

Small, utilitarian and typically only large enough for one carriage, they were nonetheless part of larger,Coachmen or caretakers typically occupied the second floor quarters.

While the need of horse carriages has oddly dwindled since Henry Ford, many of these homes have been converted into either residences, restaurants, garages or workshops. Quite a few still exist in Manhattan and outside of North America’s older large cities.

Getting Your Yard Ready for Fall

This may be jumping the gun a little, but it usually takes me a month or so to I know, I’m obsessed with lawn care. Please bear with me.

Before 2021, I always believed here in Texas we didn’t have to worry quite so much about preparing our lawns for winter. Now I realize we need to fortify them as much almost as much as the northern states, because we’re just one massive freeze away from years of progress being destroyed.

1) Continue Usual Maintenance – Don’t stop mowing and weeding, and keep raking leaves up through the fall. It will allow the waning sunlight to reach the grass, and there will be less leaf to turn brown during the winter. And for God’s sake, don’t stop watering, even in the winter.

2) Ready the Pre-Emergent Herbicide – The early fall (now) is the perfect time to apply an herbicide to stop the spread of weeds and dandelions. Recent EPA regulations have outlawed weed killers that kill man stubborn weeds in North Texas (don’t get me started on why…). A preemergent herbicide will sterilize the weeds so they won’t grow back in the spring… provided we have a nice, cold winter.

3) Additional Fertilizing – When mid-late October approaches, it’ll be a good time to apply additional high-nitrogen lawn fertilizer to your lawn. It’s about to experience what could be an extended period of dormancy, but you need to make sure the roots are strong and run deep. I use Scott’s Bonus-S at the advice of my local Home Depot guru, but I can’t say that’s the best.

4) Know What’s Best for Your Lawn – Without going into details, there are pre-emergents and fertilizers that work great for bermuda grass, but kill St. Augustine on contact, and conversely. Also be mindful of the forecast. Some treatments do not work properly above certain temperatures, and if there is a heavy rain in the forecast it’s pointless to sprinkle anything on your lawn.

Architectural Corner: Modernist

Also called modern architecture, modernism is a style that came to prominence in between WWII & the 1980’s, between the Art Deco and Postmodern movements, although it can be traced as early as the 1890s. Based on innovative technologies such as glass, reinforced concrete and steel, it embodies function, minimalism, and a rejection of the ornate. (Given all the glass it could embody exhibitionism, but I digress…)

There are many subdivisions of modernism, such as Bauhaus, Expressionism & Mid-century Modern.

I want to hate modernism. It’s cold, soulless, reminding me of Cameron’s house from Ferris Bueller’s Day Off, but they’re just so cool.

Preparing For Fall Weather

We all have our plans of home improvement and maintenance tasks to do once the weather cools. If you’re not already buried in honey-do’s, here are some ideas.

Plan – We only get a few months in Texas between unlivable heat and unbearable cold. Make sure to prioritize your tasks.

Apply Pre-Emergent to Your Lawn – Of course I start with the lawn. You want to apply a root-inhibiting pre-emergent around the time your soil reaches 70 degrees. I’m not suggesting you put a thermometer in the dirt… but it would work.

Clean Your Chimney – Nothing is more fun than lighting a roaring fire and your house ends up burning down. Guidelines state that wood-burning fireplaces should be cleaned every year, but I suspect that guideline comes from the International Brotherhood of Chimney Sweepers and all their lobbying dollars.

Service Your Heater – Nothing is more fun than starting your heater on the first chilly day of the fall and you dying from natural gas suffocation. Make sure your gas heater is in shape for that 24-hour period when the high is 82 and the low is 11.

Check Sprinkler System – In August, there isn’t enough water to keep our lawns alive. When We hit October, make sure you adjust your watering schedule to save money.

Clean Your Gutters – From now until December your gutters need to be monitored. If you have long gutters and lots of trees you may want to have them cleaned out twice a month.

Take Inventory of Holiday Decorations – It’s right around the corner, and it’s best to test and replace them now.

Your HVAC: A Brief Tutorial

Most of us don’t think about our HVAC (Heater, ventillation & air conditioner) until there’s a problem with it, even fewer of us know it’s components. I’m limited by space here, my goal is to give you a 101-level understanding so you can keep up with I won’t go over the 1) thermostat or 5) vents.

Furnace – The core of the heating system. Fueled by gas or electric coils, your furnace keeps you warm during the 3 weeks of winter through which we suffer.

Evaporator Coil – A heat exchange device that absorbs the heat from the air in your house. It uses tubes/channels where refrigerant is circulated, fins that increase the heat transfer area, a source of heat such as a natural gas or a heating filament directed over the tubes and a distillation of vapor into an outlet pipe.

Condenser – It’s the thing outside that either releases or collects heat depending on if the system is on cold or hot. I contains the condenser coil (made of copper or aluminum), a compressor, fan that facilitates heat transfer, and controls.

Refrigerant Lines – The insulated lines that go between the condenser and evaporator coils.

“I Think I’ll Get My Real Estate License

Real estate is the fantasy of many a 9-to-5er, stay at home mom, or anyone who wants a reason to abuse alcohol full-time. “I can make my own schedule!”, “The income potential is unlimited!”, and my favorite, “I love houses!” have been led to many ephemeral real estate careers. But what does it take, and why is the rate of attrition over 90% in the first 2 years?

Getting your license takes time and dedication but it’s not arduous. Why do so many fail? Ask yourself: Why am I doing this? Your answer may decide your fate as a top producer or just another inactive licensee.

Money – This isn’t derogatory towards people who like the money. I like money. No Money No Funny. That said, every agent goes through dry spells. When weeks stretch into months without paychecks, those in it for a buck tend to lose focus and move onto the next “unlimited income potential” Job.

I Like Helping People – When working with great people, it’s the best job in the world. You’re making a difference and being well-paid. But you’re not going to always work with great people, and you’ll soon find out the depths to which some will stoop for money. I’ve seen people I respected turn do dishonorable things – it’ll make you question human nature altogether.

I Love Houses! – Some agents specialize in certain niche homes, in fact I’m trying to break into the mid-century modern market. However, they ain’t Frank Lloyd Wrights and you’ll see your share of unimpressive homes.

I Can Make My Own Schedule! – Yeeaahh… In reality, a Realtor’s schedule is whenever a client has time and needs them. That includes nights, weekends, while you’re on vacation, etc. Making private time is a challenge.

If you are considering a career in real estate, call me. I’ll give you what insight I can, we’ll discuss your situation, and I’ll give you what advice I can. Plus I’m looking to grow my team. If that interests you and we seem like a fit, I’d love to explore the idea, but regardless I promise you to give you the best advice I can.

Architectural Corner: Second Empire

Popular in the later half of the 19th century, Second Empire was influenced by bot the renaissance and Napoleon III’s Second French empire.

Characterized by mansard roofs (two slopes on each side, the lower slope at a steeper angle, often featuring dormers), boasting emphatic pavilions and being of enormous size, Second Empire buildings were solid and flat in their facades, projecting both an air of decor and formidability. They were almost always cubic or rectangular, sometimes featuring interior courtyards, adopting themes from Italianate floor plans. They were symmetrical, often with a tower in the center.

Vague Specifics: May 2024

I got an email from the National Association of Realtors (NAR). The subject line read: Dallas/Fort Worth ranks second in key statistics. Intrigued, I opened it and scrolled down. The first article read, “DFW Market ranks second in pet-friendly rentals”. Thanks NAR. Annoyed, I continued to scroll down and found “DFW Market ranks second in sales volume”. No idea why the pet article was first… Point being, the US is in an erratic market. People are dealing with interest rates fluctuating from 6.5-8%, personal debt is at an all-time high and inflation continues to hinder everyone. But DFW is as good as it gets for real estate, and for that I’m thankful. Looking at page 2, we certainly have more inventory, up a whopping 35% from 2023, which admittedly was a very low inventory market. That said, sales prices are ticking up a bit, median days on market is still a brisk 50 days, and although pending sales are down a bit sales volume is actually up 5% from April 2024.

I’ve interviewed a younger agent to join John Angell Real Estate Group. Seems like a good guy, ambitious, smart, self-starting. He may come on as an assistant for the time being, which makes me nervous. I could always use someone willing to research social media marketing, hold open houses and do little things I don’t want or don’t have the time to do, but the notion of employing someone and being responsible for their livelihood is kind of terrifying. People who have never had an employee tend to think “bosses” whimsically fire workers, but I’ve noticed the opposite, especially with small businesses. Don’t get me wrong, I’d have no problem firing someone who was lazy/disrespectful/incompetent, but it’s a bit terrifying being responsible for the livelihood of a subordinate. That said, I’ve been in this business 20 years and it’s time. The first question I asked him was, “Why real estate?”, one of his two reasons was what I wanted to hear. “It’s a booming market in DFW” was the first, “I want to help people with the biggest financial decision of their lives” was the second and it was spot-on. There are people who get into real estate for the money, the “flexible schedule”, their appreciation of houses/architecture, but there are long spells where the money is bad, the schedule is inflexible and you’re touring crappy houses. To me, the “Big Why” has always been helping. Don’t get me wrong, that’s no fun when you really don’t like the client, but that’s an uncommon thing.

Buying a Backup Generator

Why John,” you may ask, “is this newsletter late because you decided to center the front page article around Tuesday’s storm?”. Why yes, dear reader. I was prepared to write something relevant to the market or coming summer, but this was a chance to research something fresh in everyone’s minds.

It’s rare that we need a generator, but it would appear that “extreme weather” in Texas is increasing in frequency. The topic of generators is pretty big in options, so rather than giving you an insufficient view of all of things I’ll give you two options.

1) The Essentials – According to Consumer Reports, a 2,000 watt generator is enough to power your fridge, TV(s), 5-10 lights, a computer, charger and security system. There are portable, gas-powered generators. If you’re prepared to chance the elements and make a few concessions, you can live in relative comfort (sans HVAC) for $300-400. You’ll need to get gas every couple of days, but those steaks in the freezer will stay frozen, you’ll have light and TV, and the all-important internet will function.

2) All the Bells & Whistles – It’s Texas. The odds every outage won’t be followed by 70 degrees, and if you’re going to drop some coin on a generator you may as well have something even The Omega Man would envy. If you have natural gas, a 4-ton air conditioner (servicing 2,000 sqft) requires 17,000 watts. Stack on top of that the comforts you are willing to pay to maintain (TVs, internet, most-all of your lights, chargers, computers, stove/oven, everything except probably your dryer) and you’re up to roughly 22,000 watts. A permanent, wired into your electric panel and plumbed into your gas line is going to set you back $5,000-8000 PLUS installation. At this time I’m not sure the cost of the plumbers and electricians fees, but if I was to guess I’d add another $1,500 to that. Now this system is big, roughly the size of a table, but it will also increase the value of your house (not dollar-for-dollar) or you can take it with you when you move.