A Case Study example, "How does Central Austin, TX SPEC Home building work?"

 Here is a real-life, real world, capitalist example of  how SPEC HOME BUILDING in CENTRAL AUSTIN works. 

So, around 11/30/2020 Austin Silent Market and Broker Associate George Vance McGee was able to successfully sell  a property located on Richcreek Drive in the CRESTVIEW neighborhood of North Central Austin as the listing, seller's agency. The asking price of the CRESTVIEW LOT and property was $450,000. At the time of sale in the year 2020, this $450,000 asking price was considered "retail or top dollar" for a Crestview LOT of this size. It was sold via the "Austin Silent Market." This specific lot and property had a tiny livable 2/1 basic rental home on it. The highest and best use for the land and immediate area was for New Construction to be implemented. Per TCAD the Lot Size of the Richcreek Lot is;

0.1557 acre6780.61 lot land square footage

Once the Richcreek CRESTVIEW LOT, was successfully signed, closed and funded, the new buyer and owner was a prominent, proven and successful Central Austin SPEC building company. The new builder company ownership, then proceeded to get all permits required to demolish and remove the small aging cottage home. The LOT had zero existing heritage tree issues. Once cleared, the new building company commenced new single family home construction. The new home built was a 4 full bedroom, 3 bathroom, 2,576 sq. ft brand NEW Home with a 2 car garage. Per ABOR MLS, here was the public property description in the MLS listing;

"Richcreek is a modern farmhouse offering both space and charm in the center of the Crestview neighborhood. This New Home offers numerous upgrades such as an open Kitchen, high ceilings, large windows bringing in wonderful light throughout, wood flooring, tranquil covered porch & private fenced yard. Only blocks away from the Brentwood Park and several local favorites on Lamar and Burnet including Barley Swine & Yard Bar and Crestview Station where you can hop on the Metrorail into downtown. Upstairs features a large central den, perfect for a relaxing media lounge, with three bedrooms and two well-appointed bathrooms. The spacious backyard has plenty of room for entertaining. (Completion Date Mid-September 2021)"

Per ABOR MLS this brand New Crestview single family 4/3 2,576 sq. ft Home with a 2 garage, was placed Active in MLS For Sale, with an asking price of $1,449,990. The Newly Built Home showed as active in the ABOR MLS for 20 days, then shows as successfully sold, closed and funded to a new buyer & owner.  

Because Texas is a non real-estate sold price disclosure state, I can not advertise nor disclose the final exact sold price, yet if your interest is still piqued, as a real estate broker and ABOR MLS member, we have access to a wide variety of helpful, current real estate information, if asked and wanted. GVM georgevance@gmail.com Austin Silent Market 512.657.9281 Broker Associate

Here are some of the ABOR MLS publicly advertised Photos of the New Crestview SPEC home that sold. 

The Case Study summary, written by Broker Associate George Vance McGee of www.AustinSilentMarket.com

This case study is an example of how privately owned real estate and basic capitalism works. All parties in this transaction were happy, pleased and got what they wanted and perhaps deserved. The sellers' of the Crestview LOT were able to convert an aging, outdated, old small rental cottage and lot into hundred of thousands of dollars in new income. The builder/buyer of the Lot was able to acquire an excellent Lot and location for their company to build and work upon. Ultimately, once the 4/3 2,576 sq. ft Home with 2 car garage was completed, the brand new home owner and buyer, acquired a professionally built brand New Large Single Family home, in a friendly, bike-able, diverse, and welcoming Central Austin neighborhood with a high quality of life. 

This property is an excellent Case Study in "How Central ATX SPEC Residential building works."

All working parties ended up happy and kept the local economy working. Sellers = Check, Buyer/Builder = Check, Austin Silent Market Real Estate Brokerage = Check. Brand New Home Buyer and New Construction owner = Check. 

Got any follow up questions? Thoughts? Are you thinking about buyer, building, leasing, or selling real estate in Austin and Central Texas? If so, contact Austin Silent Market's working Broker Associate; George Vance McGee @ 512.657.9281 georgevance@gmail.com