Greater flexibility, area expertise and traditional customer service drive sales for one Austin builder

It seems like every week brings more headlines of bursting real estate bubbles and national homebuilders posting significant losses. Despite the shaky ground in many areas across the country, Austin’s real estate market is holding steady, thanks in part to a foundation of superior local homebuilders. While the number of home sales nationally continues to slide, Austin has shown a month-to-month increase so far this year. In total 12,072 homes were sold in the first six months of 2008, with a single-month high of 2,410 homes sold in June. In that time, the average sales price in Austin has actually increased over last year, in part because of the quality of new homes on the market.

One such local builder is Buffington Signature Homes. The company is the newest venture from long-time Austin builder and investor, Tom Buffington, whose list of credentials includes Buffington Capital, a leading area acquisition and development company, and Buffington Homes, which became the second largest builder in Austin before being sold to a national firm in the late 1990s.

Today, Buffington Signature Homes represents a shift back to the roots of Austin homebuilding, with a locally-owned, locally-managed company that specializes in building distinctive communities throughout the Austin area. Many of the national volume builders are pulling back their productions throughout the region, allowing companies like Buffington to step in and hand-pick prime locations in the best communities.

The key to this ability is the leadership team’s unprecedented knowledge of the Austin area and eye for the factors that make a community succeed. “There’s a big difference between market research and market expertise,” explained James Giddens, President of Buffington Signature Homes. “Lots of communities look good on paper, but it takes an understanding of local tastes, needs and lifestyles to know which ones will truly succeed.”

The same holds true for home designs. While many volume builders simply rearrange layouts or change the exterior colors from location to location, Buffington’s design team carefully crafted each floor plan to best suit the needs and style of the Austin market. As those styles and needs change, the company can also adapt more quickly to better meet their customer’s expectations.

“Since all of our communities are within a few minutes drive of our corporate offices, the leadership team has a much better understanding of how our products are selling and what our customers think about their homes,” said Grant Whittenberger, Vice President of Sales for Buffington Signature Homes. “If there’s any problem with a design or feature, we can correct it immediately to ensure that our customers remain satisfied. And if one design is particularly successful, we can find out why and develop new designs that will appeal to our clients for the same reasons.”

This flexibility is another key factor in Buffington Signature Homes’ continued growth. A recent report indicates that the price of building materials increased by more than 10% from 2007 to 2008, with no signs of slowing. The flexibility to change designs and features or to develop relationships with new vendors, allows Buffington to maintain prices in a volatile market. Additionally, most of those materials come from vendors right here in Austin, so customers aren’t footing the bill for the shipping company’s diesel.

In their effort to keep costs as low as possible, many volume builders use a practice called “value engineering.” More often than not, that’s a nice way of saying “cutting corners.” But Buffington’s homes utilize quality materials and traditional building practices that were phased out by most national builders long ago. Each home features engineered foundations and frames, as well as full wind-bracing and half-inch OSB wrapping to protect against cracking walls and sticking doors or windows. The roofs are all traditionally framed and the interiors feature deep floor trusses. The three-quarter-inch sub-flooring is attached with screws and glue to create incredibly solid floors that are less likely to squeak or bounce.

“The key is to make sure we do it right the first time,” explains Whittenberger. “A little extra work during the construction stage means less work for us in the long run and less daily maintenance for our customers after they move in. Most of our leadership team has worked with the national firms, so we understand where their processes fall short. We spent a lot of time on product development, making sure our designs and our features picked up where the others guys left off.”

As part of that commitment to quality, every Buffington Signature Home comes with something they call Signature Features: more than 90 high-end fixtures, finishes and features that are included standard in every home. Signature Features include a 3rd car garage (homesite permitting), island kitchens with granite countertops and custom cabinets, rounded corners, energy efficient appliances, covered patios and fully sodded yards, all standard in the price of the home. Customers can also choose from a collection of Signature Options, optional designs and features to further personalize their homes.

And there’s one more factor that’s often overlooked by the national builders: the importance of community interaction. More than simple advertising or branding, local builders are active members of their community. From the ball fields to school activities, Buffington Signature Homes strives to help the community organizations around them.

“Obviously, when you work for a company, you’re invested in its success,” said Whittenberger, “but since we live here, we’re also invested in the success of the community and the city. That makes a big difference in the way a company operates.”

Buffington Signature Homes currently offers homes in several highly sought-after communities in the Austin area: Silver Leaf, located just off Gattis School Road in Round Rock; Forest Oaks, located near 183A and 1431 in Cedar Park; and two premier South Austin communities, The Bridges at Bear Creek and Southpark Meadows. Later this year, Buffington will also launch sales in Teravista, located in Round Rock, and Belterra, located just minutes west of Austin on US-290.

For more information on Buffington Signature Homes, visit www.BuffingtonSignatureHomes.com or stop by their model homes in Silver Leaf or Forest Oaks.

The Forest Oaks Sales Center

1200 Shiloh St.
Cedar Park, TX 78613

Silver Leaf Sales Center
209 Aspen Trail
Round Rock, TX 78664

Hours of Operation
Monday - Thursday & Saturday, 10am to 7pm
Friday & Sunday, 11am to 7pm

About Buffington Signature Homes
Buffington Signature Homes is dedicated to building homes that will last a lifetime. A locally owned company with a wealth of experience, Buffington Signature Homes combines innovative floor plans, skilled craftsmanship and an exceptional buying experience to deliver homes with value that each and every customer is proud to live in. Proudly building fine communities and new homes in South Austin, Round Rock and Cedar Park.  Home prices vary per community, from the $210’s to the mid $300’s, ranging in size from 2000 to 3700 sq ft with new plans in development to go over 4000 sq ft.

Media Contact:
Grant Whittenberger
Vice President of Sales & Marketing
512.762.1315

Across the nation, headlines continue to paint a gloomy picture of the current real estate market. Experts speak out in despair about mortgage rates, housing markets and foreclosures. And while much of what they say is true, the slowing market offers a silver lining for many potential homebuyers.

“A down market can offer plenty of benefits to homebuyers,” explains Grant Whittenberger, Vice President of Sales for Buffington Signature Homes. “With low interest rates, higher rents and lots of great homes to choose from, it’s actually a great time to consider buying a new home in Austin.”

To help potential buyers understand how they can benefit from the current market, Mr. Whittenberger shared these important factors that could make it the perfect time to buy a home.

Increasing Rent
With more people moving out of their homes and more potential homebuyers opting to wait, renters find themselves facing fewer options and higher prices for apartments and leases. Apartment complexes, rental agencies and rental property owners are facing higher costs for maintenance and upkeep, forcing a rise in their rates across the country. As rental rates continue to climb, the price stability of a fixed mortgage payment becomes a much more attractive option.

Low Interest Rates
Interest rates are still at near-record lows, making monthly mortgage payments considerably lower than what they would have been in the height of the real estate boom. And despite tighter standards on lending practices and requirements, lenders are still eager to work with buyers who have good credit. First-time homebuyers today can lock-in at considerably lower rates than those who bought in a few years ago, and existing homeowners can move up to a bigger or better home with substantially lower interest costs.

Competitive Prices
Many production builders are facing a surplus of inventory homes with a declining number of potential buyers, and they are cutting prices in response. “The last few years saw home prices rise at their fastest pace in history,” explains Whittenberger, “and it didn’t take long before they reached levels that a lot of buyers couldn’t afford. As builders adjust to the current market, prices are returning to normal levels and many new buyers have a chance to enter the market again.”

Great Selection
Along with lower prices, an overabundance of homes on the market can also provide buyers with plenty of opportunities to shop around for the perfect home. New community developments have been popping up throughout the region, with great new homes in Austin, as well as Round Rock and Cedar Park, offering buyers more choices than ever before. Buffington’s newest communities include Silver Leaf in Round Rock, Forest Oaks in Cedar Park, as well as two premier South Austin communities, The Bridges at Bear Creek and Southpark Meadows. The wide variety of homesites and options available in these communities means any buyer can find a home that fits their unique style and needs.

Energy Efficiency & Innovative Features
Every year new developments in appliances, construction techniques and green technologies help make homes use less water, gas and electricity. “New efficient construction techniques and Energy Star appliances help Buffington’s homes significantly reduce your monthly utility bills, potentially knocking hundreds of dollars off of your expenses,” explains Whittenberger. “We’ve also designed our homes around the way people live today, with contemporary features like additional wiring for internet and cable, specially-designed computer spaces and pre-wired setups for HDTVs.”

Investment & Appreciation
Despite the ups and downs, there is virtually no other investment or purchase that carries the same track record for value appreciation as homeownership. On the national level, home appreciation has historically risen 5 to 6 percent each year. And from 1991 to 2007 the median price of a new home rose from $120,000 to $246,900, more than doubling in value. Compared with the drastic potential for loss in the stock market, investing in a home is safe and profitable.

Tax Incentives
Added to the increased value of your home each year, significant tax incentives are in place to make owning (and eventually selling) that home more affordable. In most instances, any money you spend on interest and property taxes can be fully deducted from your income, saving thousands on taxes. Collectively, homeowners save almost $100 billion on mortgage interest and property deductions each year. And when it comes time to sell you home, more tax breaks help to ensure you make the most of your home’s appreciation.

The Economy in Austin & Texas
Despite the national downturn in the housing market, the economy in Austin and throughout Texas has remained comparatively strong. Thanks to Austin’s thriving business and technology industries, and large defense and oil industry influences across Texas, the housing market has remained relatively insulated from the extreme highs and lows found in other areas. In fact, Entrepreneur magazine recently placed the Austin/Killeen/Round Rock area at the top of its “Best Places to Buy” list, citing low prices and high job growth as key indicators. While that may insulate the market from the extreme low prices found in other parts of the country, it also means your home will likely be a more secure investment with a greater resale potential.

The time is NOW
Production builders continue to adjust their business to meet the conditions of the market, cutting back on their new supply of homes and cutting prices on their existing inventory. Many experts believe the production and inventory of homes on the market will return to normal levels by later this year. “Then the opportunity will be gone,” says Whittenberger. “As builders adjust the market, there are great chances for buyers to come out ahead, but once the adjustment is over, most of those chances will have passed.”

For those hoping to “time the market” and make the most of current conditions: The time is NOW.

For more information on the best new homes in South Austin, Round Rock, and Cedar Park, visit www.mybuffington.com/aas.

About Buffington Signature Homes
Buffington Signature Homes is dedicated to building homes that will last a lifetime. A locally owned company with a wealth of experience, Buffington Signature Homes combines innovative floor plans, skilled craftsmanship and an exceptional buying experience to deliver homes with value that each and every customer is proud to live in. Proudly building fine communities and new homes in South Austin, Round Rock and Cedar Park. Home prices vary per community, from the $210’s to the mid $300’s, ranging in size from 2000 to 3700 sq ft with new plans in development to go over 4000 sq ft.
www.mybuffington.com/aas

Media Contact:
Grant Whittenberger
Vice President of Sales & Marketing
512.762.1315