Abstracts & Observations: Texas real estate market remains an alluring target for national lenders.

As you know by now, the sky is falling on the mortgage industry. It has been for a few years. Nobody’s borrowing. Fewer still are lending.

But I have a secret to share. They will be borrowing (and lending) again soon. And when they do, you’ll see more business than ever in Texas. Why, you ask? For a few reasons. First and foremost, home equity may not be a big product nationally at the moment. But historically, it’s a strong line of business for any lender. In Texas, however, the market is virtually untapped. In fact, home equity loans were illegal in Texas until late 1997. (Hollerbach & Associates is proud to have been a significant and active proponent for the change.). A fortuitous combination of strong population growth and relatively stable home markets in our beloved state during the past decade has resulted in a market just waiting for good home equity products.

It’s not just the home equity product that has a future here in Texas. Our relatively young population, influx of new American homeowners and transplants from other cities in our urban areas make Texas a coveted market for any strong mortgage lender. But be careful! Before you drive your flag into the soil here, keep in mind that the great state of Texas is unlike any of the other 49 when it comes to mortgage lending and title insurance regulation. You’ll need an experienced guide to make sure you’re compliant—and efficient—as you grow your markets here. Give me a call when you’re ready. I’d be delighted to show you around.