Houston residential real estate now has the lowest inventory of single-family homes on the market since January 2004. In comparison to January 2008, Houston has seen a 20 percent drop in overall number of homes on the market and a 26 percent drop in new listings taken. New listings taken in January were the lowest ever taken since January 2002. This is good news amid a nationwide overabundance of homes on the market and an economic stimulus plan targeted at mitigating the rising tide of inventory. Houston never experienced a bubble and its' economy is one of the strongest in the nation:

Here are a just a few reason why Houston, TX., is an ideal place to live and work:

1. You couldn't be in a better city for selling real estate than Houston, TX. TX A&M Research Center Data 1/12/09

2. More than 2 million jobs were lost between Nov. 2007 – Nov. 2008 in the nation; representing 1.2 percent of its labor force. The Texas economy gained 222,900 jobs during the same time period; an increase in labor force of 2.1 percent. Real Estate Center RECON 1/13/09

3. Houston has the strongest job market in the country. Metrostudy 1/12/09

4. Houston's inventory of homes is 5 to 6 months on average. This is the lowest average days on market in the US. TX A&M Research Center Data 1/13/09

5. Houston has the most affordable median home price of any MSA. TX A&M Research Center Data 1/12/09

Slow housing start in January
Despite the good news amidst the bleak national economic scene, Houston got off to a slow start in January. There were 2,827 single-family home sales, a figure 23 percent below January 2008. Contracts initiated during January 2009 experienced a 23 percent decline over last year. The median sales price of sold homes in January 2008 was $127,850, representing an 8 percent decline over January 2008.

The average sales price was $164,922, or 13 percent lower than found in January 2008. Home prices in Houston are not depreciating; there is simply a different demand in home prices classes. Last year, million dollar home sales in January were up by 58 percent over the previous year and anything over $600,000 experienced double-digit increases.

This year, those same home price classes have experienced double-digit declines as high as 61 percent for $600,000-$699,999 and homes over $1 million experienced a 57 percent decline over January 2008. This change in price class demand directly affects the average sales price overall. This year price classes under $60,000 are in positive territory whereas all others experienced a decline over January 2008.

It is interesting to note all price classes that are over $80,000 were in double digit decline last year. In short, Houston has experienced an aberration in sales by price class over the last few years. We see buyer demand returning to atypical price classes seen during normal Houston markets.

While normal is not as much fun as exuberance, any Houstonian gladly accepts our market as it is because it is currently the best that it gets.

Opportunities are ripe for Houston real estate. Houston does not need an economic stimulus package to stop home price depreciation or to absorb excess inventory, but the city will benefit from national stimulus programs designed to do so. The biggest boost residential real estate could receive would be a boost in confidence and certainty about the future economy.

Toni Nelson is Director of Strategic Initiatives for Prudential Gary Greene, Realtors.

The Senate yesterday approved an $838 billion economic stimulus bill that includes a $15,000 homebuyer tax credit. In addition, U.S. Treasury Secretary Timothy Geithner unveiled a multitrillion-dollar financial stability plan that includes $50 billion for foreclosure prevention programs.

Officials hope that the $15k tax credit – with no repayment required – will inject some much needed life back into the housing market. The Associated Press reports that the homebuyer tax credit offered by Sen. Johnny Isakson, R-GA., would apply to any home purchased as a main residence and would cost taxpayers $19 billion.

How the tax credit works
The proposal would allow a tax credit of 10 percent of the value of new or existing residences, up to a $15,000 limit. Current law provides for a $7,500 tax break but only for first-time home buyers. People could claim the credit on their 2008 tax returns and it would apply to any home purchased for one year after the recovery plan becomes law.

Proponents of the new tax credit proposal believe it will encourage more people who are standing on the sidelines to purchase a home and it will help put people back to work in the housing sector building homes.

Give the people what they want
According to a recent nationwide survey conducted by the National Association of Home Builders, two-thirds of Americans support the $15,000 home buyer tax credit. The survey of more than 1,200 registered voters found that one-third of all respondents and 61 percent of renters would be more likely to buy a home if the $15,000 home buyer tax credit were to be enacted into law. David Crowe, chief economist of the National Association of Home Builders (NAHB), had said in a press release last week that in order for the tax credit to be fully affective, 'Congress must make sure that the full $15,000 tax credit remains in the final stimulus package.'

Got hot local housing tips or a story you want to share? Contact Amy Le at openingdoorsblog@HomeFinder.com.

Call me old-school, but I like to listen to radio talk shows when I'm in my car. Over the last few years, the housing market boom then bust has been a topic that's dominated the airwaves. And for one new radio show, there's still plenty more to talk about.

Real Estate Today, which is backed by the National Association of REALTORS (NAR), will cover the benefits and challenges of homeownership, from expert advice on buying and selling, to remodeling and landscaping, to the state of the current market and home financing issues. The show will air online at RETRadio.com. You can also visit the site any time after the premiere to listen to current or past programs. Hosted by award-winning radio broadcaster Gil Gross, the show will offer a fast-paced format that includes provocative experts, listener call-ins, field reports and a customized segment on local market conditions. Show producers plan on creating an interactive experience that offers listeners an opportunity to exchange information and learn from some of the nation's most recognized experts on a variety of real estate related topics such as landscaping, gardening, carpentry and general contracting, as well as mortgage experts and respected members of the media.

Let's just hope that NAR doesn't try to filter out controversial topics surrounding more contentious real estate issues. Honest dialog can only exist if transparency is permitted.

Where to tune in to Real Estate Today:

• In the Washington, D.C., area, Real Estate Today will air on the show's flagship station, 630 WMAL AM, every Sunday from 1-3 p.m., EST.

Satellite radio subscribers can hear Real Estate Today on:

• America's Talk, XM Channel 158, Saturdays 5-7 p.m. EST
• Talk Radio, XM Channel 165, Saturdays 1-3 p.m. EST
• Stars, Sirius-XM Channel 102, Saturdays 6-8 a.m. and Sundays 9-11 a.m. EST

Got hot local housing tips or a story you want to share? Contact Amy Le at openingdoorsblog@HomeFinder.com.

What kind of community can be sustained if friends or family cannot visit our homes? 'Visitability', a cousin of universal design, ensures that they can. The visitability movement focuses on providing accessibility at ingress/egress points and to common rooms within single-family homes. Visitability is a growing trend nationwide. The term refers to single-family or owner-occupied housing designed in such a way that it can be lived in or visited by people who have trouble with steps or who use wheelchairs or walkers.

Unlike American Disability Association (ADA) legislation, it does not focus on multi-family or commercial enterprises. Nevertheless, municipalities such as Bolingbrook, IL and Pima County, AR, as well as a Habitat for Humanity affiliate in Atlanta are joining the movement.

It's not just a matter of an unsightly ramp at the front of the house; entrances can also be on the side, rear or garage. Eleanor Smith, a pioneer behind the visitablity movement, recommends increasing the landscape up to the house as another alternative to unsightly ramps. Furthermore having wider ingress/egress apertures and/or corners is an amenity that allows homeowners to more easily bring in and out large pieces such as couches, refrigerators, pianos, etc.

Visitability in the mainstream
What gets in the way of Visitability? According to Smith, people's fear of aging and disabilities has held the visitablity movement from gaining momentum in the mainstream. The building industry has also been slow to adopt these new design philosophies into their buildings. The problem is further compounded with the recent American trend of moving to a different housing type with each life stage – certainly not a sustainable practice.

Studies show building visibitability into a house costs $500 max, according to Katherine Austin, a Northern California architect. She recommends visitability as a means for developers and GCs to create a niche over their competition. One point that may convince them: LEED ND, the Leadership in Energy and Environmental Design's Neighborhood Development program, gives points for the implementation of visitability.

Listen to a full free podcast about visitability at the American Institute of Architects' Architecture Knowledge Review.

View more blogs by Nichole Reber at Spacedesignjournal.com

Houston housing is currently the most affordable it has been since 2004. The affordability index graph below measures housing affordability for the Houston Metropolitan region. The higher the number the more affordable housing is. From December 2007 to November 2008, the average Housing Affordability Index (HAI) for Houston has been 150, meaning that the median household income was 150 percent of the necessary income to qualify for the median priced home under prevailing interest rates. In November 2008, the HAI reached 169 and if interest rates continue to trend downward, that figure could go higher. Houston unemployment is at 5.5 percent – much better than national levels and a fairly-healthy-figure.

While Houston is not immune to the national economy, it is precisely this type of market when those that invest in homeownership can see appreciation over the long run. A recent review of national Web site traffic viewing homes in Houston indicates that Houston's future potential is no secret and the world has its eye on this growing metropolitan.

*HAI for Houston provided by Human Resources Information System, Inc. (HRIS)

Houston real estate market statistics and yearly comparisons
Who could have predicted a mortgage meltdown, a national financial and economic crisis and a devastating hurricane could all occur in one year? While last year is a year many would like to forget and yet throughout 2008, Houston came very close to matching sales found in 2005.

We often look at 2005 as the beginning of a very positive real estate trend in Houston. Home sales reached levels that were the best historically and every metric was positive. Home sales continued an upward trend from 2005 until the third quarter of 2007. When 2007 showed signs of slowing, many prognosticators felt Houston would return to 2005 sales levels in 2008.

Summary of the market:
• While sales are down 16 percent from last year and down 10.6 percent from 2005, the dollar volume of sales is the same as 2005.
• In 2008, average sales price is up 10.64 percent over 2005.
• The median price of a home is up by 7 percent over 2005.
• It takes three more days on average to sell a home today than it did in 2005.

One of the most positive signs in the Houston real estate is that there are fewer single-family listings than those found in 2005. Not only are listings down by 15 percent from 2007, they are also down from 2005 levels. This places the market in a healthy supply and demand position that most national markets would envy.

Although Houston fell short of 2005 sales levels, the majority of homeowners were better off owning their homes from 2005 to the present. Houston home values have weathered a hurricane and a national downturn far better than one's stock portfolio.

There is no question that some parts of Houston have experienced pockets of decline in areas stricken with foreclosures, however, there are also areas of Houston that are in high demand and home values continue to appreciate. As we enter 2009, it is hard to predict what the world will bring to Houston's door step, but the city enters 2009 in a far better economic position than the nation.

Housing Affordability Index and Houston market statistics provided by HRIS, Inc.. Toni Nelson is Director of Strategic Initiatives for Prudential Gary Greene, Realtors.