Close to Home: Military, tech jobs help Huntsville, Ala.
“Huntsville is in a world of its own,” says Cindy Henson Allen, president of the Huntsville Area Association of Realtors. Its world is bolstered by the high-tech and aerospace industries.
Among the local businesses are Boeing and PPG Aerospace. And it is home to NASA’s Marshall Space Flight Center. The area also will greatly benefit from the military base realignment that will relocate about 4,700 military jobs to the Army’s Redstone Arsenal over the next two years.
Still, unemployment has gone up slightly, says Ahmad Ijaz, economic analyst at the University of Alabama’s Center for Business and Economic Research. And the recession has caused fear and anxiety. Consumer spending has declined, and home sales fell 22.7% in May in Huntsville, compared with the same month last year. Fewer multiple offers are being seen this year than in 2008.
But homes are still selling, especially those priced at $300,000 and less. Slower-selling high-end homes are maintaining prices. In the past, the housing market has been resilient.
“Huntsville always has been very diverse and transient,” Allen says. Even though sales are down, that is not Allen’s major concern. “I’m worried that we’re not going to have enough home inventory when a lot of people are moving here for the … realignment. With all of the people we’re expecting, that’s a huge possibility.”
The most expensive
Daniel Klibanoff is selling a contemporary home patterned after Frank Lloyd Wright designs atop Monte Sano Mountain with panoramic views. Price: $11.9 million Median-price home
This ranch home is on the market. Price: $157,000 |
10 ways to come up with down payment money for your next Huntsville Alabama Real Estate purchase!
- Lotto tickets. Well, maybe not. If you’re truly lucky you might be able to buy a home and skip the mortgage. But odds are against it. Big time.
- Tax refund. This is what usually gets the Spring market going. You’ve received your W2s by now, and refund checks will be in the mail shortly. Your refund might be just enough to get you into a home.
- Stocks, savings bonds. Do you have any savings bonds that are tucked away? Many people have stocks and bonds from gifts years ago. A good use for them might be to buy your first home,
- Gift from a relative. Many programs allow the down payment to come from a gift from a relative. If you have a generous relative who is willing to help, this could be just what you need.
- Cash out your 401k. If you have money in your company retirement plan, you can liquidate it and use it for your down payment. Because you didn’t pay taxes on it up front, you will have to pay taxes on the amount you liquidate as well as a penalty for withdrawing it early. This can still be a good option in some cases, but a better option might be -
- Take out a loan against your 401k. The advantage here is that you are paying your self back and you still have your retirement account. Most plans will let you borrow up to half the value in your account, and the interest rate and terms are set so the payment (to yourself) will be affordable.
Sell something – If you’re like most people, you probably have more stuff than you know what to do with. Some of this stuff may have value, if you are willing to part with it. Do you have a boat or a motorcycle? How about baseball cards or other collectable’s? EBay makes it easy to convert stuff, to cash, and this could be just what it takes to get you into a home.- Down payment assistance programs. Nehemiah and AmeriDream are two versions of these programs. These are non-profit groups that, in a sense, launder a credit you negotiate from the seller in a way that you can use it for your down payment. These are usually used in conjunction with an FHA loan. I’ll post more on these later. If you have questions on how they work, give me a call.
- Government grant programs. There are programs like the Alabama Bond Program http://www.ahfa.com/ , which provide you with a grant at closing for the money you need for the down payment and closing costs. You need to meet the guidelines, but if you qualify it is often the best way to buy.
- Look at the long range. Maybe you don’t have the cash to buy what you are looking for, but this might be the time to put yourself on a savings program so you will have it down the road. What can you do now to get extra cash? Can you take on a second job? How about cutting your expenses? You might be surprised at how much you can save if you have a goal and a plan.
There are lots of ways to buy without having a lot of cash. Use your imagination and you can come up with some more ways to come up with the down payment.
Park Place
Park Place offers a quite, friendly community with a downtown location!
Home prices range from $225,000 to $330,000 and lots start in the low $40k”s.
The list of amenities for Park Place are as follows.
-Underground utilities
-Sidewalks
-Curb and gutter
-Brick privacy fence for neighborhood
-Strict architectural covenants
-Downtown location
-Walking distance to Julian Newman and Athens Middle schools
-Homeowners association
http://www.kiplinger.com/magazine/archives/2009/07/2009-best-city-huntsville.html
No. 1: Huntsville, Alabama
By Jane Bennett Clark, Senior Associate Editor
From Kiplinger’s Personal Finance magazine, July 2009
FLYING HIGH
Population: 378,057
Income Growth: 9.7%
Cost of Living Index: 91
Median Household Income: $51,275
Percentage of Workforce in Creative Class: 40%
Talk about a bulletproof economy. This northern Alabama city represents critical mass for the nation’s missile-defense and aerospace industries. The medical and life-sciences industries are thriving, too. Thousands of new jobs are pouring into town. With a few exceptions, business in Huntsville is so healthy that Mayor Tommy Battle has a pleasant problem: “We have more jobs than we can fill.”
Huntsville owes much of its red-blooded vitality to the U.S. Army, which employs more than 14,000 people, mostly civilians, at the 38,000-acre Redstone Arsenal. “If a soldier drives it, eats it or shoots it, we’re involved — beans to bullets,” says Dan O’Boyle, arsenal spokesman.
As part of an ongoing consolidation of army bases and personnel — known as BRAC, the 2005 Base Realignment and Closure process — the arsenal will hire 5,000 more people over the next few years, and another 5,000 jobs will be added indirectly to the area.
As for aerospace, Huntsville isn’t called Rocket City for nothing. The giant rocket replica that pierces the Huntsville skyline not only makes a handy reference point for out-of-towners but also represents Huntsville’s storied — and still strong — role in space exploration. The site of the historic test launch of the Saturn V rocket, which put the U.S. space mission one step closer to the moon, Huntsville houses an original Saturn V at the U.S. Space & Rocket Center and hosts thousands of students each year at the center’s Space Camp. The Marshall Space Flight Center, part of NASA, employs 2,500 scientists, many of whom are working on the next moon launch.
All those scientists and engineers create a bubbling brew of brainpower that attracts other intellectuals. Says Rick Davis, director of Cummings Research Park, “Smart people come here.” Huntsville encourages the influx by offering companies below-market real estate prices and room to grow at Cummings, which encompasses 3,800 acres. The HudsonAlpha Institute for Biotechnology, a recent arrival, represents Huntsville’s foray into the next frontier. HudsonAlpha translates the results of the Human Genome Project into the development of new, targeted medicines. Says director Richard Myers, “In five years, we will all be taking our genomic sequence with us to the doctor’s office.”
Not every sector in Huntsville is booming. Car sales have plummeted in recent months, and home sales have slowed, especially for houses priced at $300,000 and up. Still, Huntsville’s otherwise strong economy, combined with a scenic, mountain-view setting, a historical downtown, top-quality museums and a 110-acre botanical garden, encourages residents to stay put and newcomers to stream in. Says Battle: “This place never misses a beat.”
www.canebrakeclub.com
Belong to something special. Something extraordinary. Something lifelong. Canebrake Club offers an 850-acre meticulously master planned community rich in great neighbors, active lifestyles, and good living on one of the most beautiful, unspoiled tracts of land in North Alabama. Our club memberships offer 18 holes of championship golf, swim, tennis, and a full calendar of club activities. You’re certain to find a home or a homesite in one of our neighborhoods that is perfect for you, whether it is a Club Cottage, Golf Villa, Executive Patio Home, or a Custom Estate Home, it’s the good life for every stage of life. Canebrake Club is an exclusive community that brings recreation to life. Designed by a team of professionals dedicated to recreational developments, Canebrake Club is the ideal playground for people of all ages. 18 challenging holes of championship golf. Beautiful Swim & Tennis facilities. Invigorating surroundings. All beckon you to take part in activities only Canebrake can offer.
