This Houston Texas Home Builder Just Released Their Biggest Incentive Program Yet [BUT WILL IT LAST] 

By my account, the Houston Market has now turned into a buyers market. I’m seeing tremendous incentives from builders and they’re buying down interest rates at the same time. If you’re in the market for a home, it’s hard to overlook new construction.

I just bought a new-build home a week ago in Houston area and everything he said is correct...BUT there are some major flaws in his financial calculations. In fact, it's blatantly misleading. 1. Property taxes. Most new build home communities have regular property taxes PLUS MUD taxes which range 3.0 to 3.6%. So for a property that is worth $500,000 at 3% property tax, you'll pay $15,000/annually. That adds $1,250 to your monthly mortgage!!! Instead of $3,700/month as he quoted, your monthly payment would be around $5000/month. There are a few tax relief programs like the Texas homestead tax law which knocks off $40,000 from property taxes. If your house is valued at $500,000, then only $460,000 is taxable. In November 2023, Texans will vote for another property tax incentive which would deduct $100,000 from property taxes. So for a $500,000 home, only $400,000 would be assessed as taxable property. And if you're a disabled veteran with any type of disability rating, then you get additional property tax deductions starting at $5000/annually. Veterans with 100% disability rating PAY NO PROPERTY TAX EVER. Anyone who turns 65+ will also not pay property taxes in Texas. 2. Don't forget your HOA fees on top of your mortgage. Depending on the community, I've seen annual HOA fees range from $450-2000/annually. Master planned communities will have pools and gyms and all sorts of fancy amenities, hence, they'll charge a higher HOA. Just be on the look out for that. Do you really want/need a community blue lagoon pool that you'll use 1-2 times/year? 3. His property insurance number is extremely low. Costs might be higher if you have to pay flood insurance and wind storm insurance. In this part of Texas, it floods a lot plus we get a lot of hurricanes from the Gulf of Mexico. It's not a matter of IF but WHEN you and your home will experience severe weather. 4. If you're only putting down 5% on a conventional loan (as he calculated), you're going to pay PMI (private mortgage insurance). You need to make a down payment of 20% of the home's purchase price to avoid PMI (that's $100,000 cash down payment). PMI on a $500,000 home adds another $400 to your monthly mortgage payment. Ouch. So you'll pay mortgage + property tax + PMI + HOA + home insurance!!! Overall for this house, with little to no down payment, your monthly mortgage would average $5,500-6,000/month at 5.99 interest rate. That's not including utilities, food, furniture, basic living necessities, and upkeep. Most of us regular folks can't afford a $5,000+ mortgage. It's true that the incentives are great, and you can use it to "buy down" the interest rate, but those incentives are usually reserved for available quick move-in homes. Sellers try to get rid of current inventory so offer these amazing deals. It's rare to see 3.99% offers but they are out there. It might just be a home with a smaller backyard, undesirable location, or some ugly interior design (quick move-ins are sold "as is" and you cannot make changes). No one knows what the market will look like in two years, but hopefully you'll be able to refinance your mortgage with better interest rates. That's the gamble.

This house is incredible. I won’t be house shopping for a while but, when I do I’ll be moving from Cali to the Dallas area to be closer to my friends and cost of living.

Looking forward to next week's video

Hi JOJO , is this a model home? , Can we come and see? Where can I find a blue print like this. Thanks

Which floor plan was this? Can’t find it on their site. It’s awesome. I noticed a hiccup with your tax settings in the calculator but I don’t pay taxes so it’s fine (VA benefits).

These are really beautiful houses. I lice here in california and these are so beautiful

Double doors hidden behind narrow pillars....makes perfect sense 😅

Will they bring that house the midland/odessa Tx at that price point!🤔

thank you

How can I get this

I just found your channel. I really love what you guys are doing....GREAT VIDEOS! I am in Atlanta GA looking to make some content for my area. Would you mind sharing with me the wireless mics you guys are using? I love the sound quality. :-)

~ Thats a Cool Floor Plan. 👍

3.99 % for first year ?

200k? Where did the 200k savings info go?

WHO PUT A OUTDOOR TV ABOVE A OUTDOOR GRILL? SO WRONG!

For $600,000 you can have a flimsy box of sticks with just enough space for a family about an hour commute from your $30 per hour subpar job that can barely pay the mortgage with two earners.

Interest rate for 3.99% is only in the first year. These scammers are taking the first year mortgage savings and multiplying through the entirety of the 30 year mortgage. They're either stupid for making this misleading calculation or shady AF trying to mislead a shopper. Either way, I wouldn't trust this realtor team.

Nice houses for sure, but don't get your self into a balloon payment because you'll regret it when you go refinance your loan after the 3rd year and find out your under water because the value of your house dropped and the bank wont's 10% down. Thank me later 😊

Those staircases are such a waste of space imo..

Curved staircases are terrible for older people, I dont know why they even design such things like that.

الله اكبر وصل علي سيدنا محمد سبحان الله العظيم واتوب اليه استغفر الله العظيم واتوب استغفر سبحان الله العظيم ❤😊❤😊❤

Nobody cares about these giant homes. Build more small starter homes for families or GET OUT. Houston is not affordable for families anymore.

Hhaha @14:18 u have the down payment at 5% and conveniently @14:35 u have the down payment at 20%, all this to just show ur monthly mortgage payment is not much for a $500k or $700k but there is a huge difference. On top of that u got the property taxes at $320 a month I absolutely doubt that is even true. Total click bait!

I can see my neighbors from every window so I’ll have to have my curtains drawn all the time which makes the large windows pointless. It’s a huge turn off!!

click bait most of this channel is click bait with 2% being some valuable info....this is my consensus after watching 10 of his videos.. unsubscribing now

I do,them small ass houses they are trying to rip you off for is bs.

Jackson give me your cell let’s chat