1977 HOMEBUYERS GUIDE

HOW FIND YOUR BLUE CHIP HOME



A house in certain parts of Greater Dallas is like a blue chip stock on the big board: steady value with almost certain appreciation, but at a higher initial cost.

A house in some other areas is like a speculative issue on either board: a good buy with likely appreciation but there’s no way to tell how much or how long it will take.

And we have houses in some areas which must be regarded as over-the-counters: good to excellent potential, but at the mercy of the market’s mood.

In a nutshell, Dallas housing – new or existing, townhouse or converted apartment condominium – is a good investment. And it performs well as a shelter, a place to raise children and in some instances, a status symbol.

This Homebuyers Guide of 1977 is written to give you some tools to use in acquiring a blue chipper and set you to thinking about making a good buy in the futures market.

Dallas will be increasingly affected by the “Sunbelt” phenomenon which is bringing people and industry almost daily to the South, to Texas and particularly Dallas. Companies and their people are leaving the Northern and North-eastern “Snowbelt” areas to migrate south for a variety of reasons. As more and more people move here, they need homes.

There can be no doubt that this migration has contributed to record sales by Dallas area real estate brokers and home builders. During late 1975, and through 1976, almost one half of the total home sales were made to people moving into the area rather than cross-towners.

The largest residential real estate broker in North Texas, Ebby Halliday Realtors, reported a 41.9 percent increase in gross sales volume in the firm’s 1976 fiscal year over the previous year. Now in its 31st year in Dallas, Miss Halliday’s company had an all-time record of approximately $165 million in gross sales.

“This truly phenomenal year comes partially as a result of our . . . service above and beyond the call of duty to corporations and their corporate transferees moving to the Dallas area,” the veteran real estate broker declared when announcing the sales results.

Miss Halliday singled out the Associates Corporation of North America as one of the firms which her company assisted in re-locating its personnel. “This and other corporate moves to theGreater Dallas area reflect the continued healthy business climate here,” emphasizes Maurice Acers, Miss Halliday’s husband and board chairman.

Halliday / Acers, Henry S. Miller, Artha Carza and Paula Stringer remain the top Dallas independent residential brokers; their sales efforts have complemented the industry-seeking efforts of such groups as the Dallas Chamber of Commerce and the NCTCOG.

In addition to its everyday business in the Dallas/Fort Worth area, the real estate industry gives another shot in the arm to the Dallas economy with the National Association of Home Builders convention. The 1977 NAHB convention, which meets here January 23-27, is the third of four slated for Dallas. Last year’s convention resulted in more than $190 million worth of business for the Dallas area.

The count of houses actually occupied for the first time exceeded 3,000 units in the third quarter of 1976 in the Greater Dallas area. According to MP/F Research Inc., a Dallas market research company, this is the best rate experienced in the last three years.

Dallas County builders will close out the year with about 7,300 new house starts. Briley and Associates, another Dallas research firm, reports this will represent the greatest level of house building in the county since 1973.

Briley predicts that 1977 will have between 7,500 and 8,000 new house starts in Dallas County – close to the annual average of 8,300 units built here over the past 10 years. At about the middle of this 10-year period, the market became severely overbuilt. “It was in 1970 that we started the upward swing which was to burst the top off all the charts and set a new record for home building for the entire history of the county,” the research specialist points out.

In 1970, 8,800 new houses were built – an increase of 20 percent over the previous year. This was followed by 1971’s record of 12,811 units. The next year came close with 12,385 new houses. Briley feels that while there was a large market awaiting these new houses, “we simply overbuilt the market’s ability to absorb 25,000 new homes in 24 months.” He also notes that about this time the vibrations of increased material and construction costs began to be felt in the prices of new houses. As a result, new house starts dropped to a low of 5,965 units in 1975.

Fewer new units and higher initial costs forced more buyers, particularly second timers, into the existing home market than ever before. The U.S. Sav-ings and Loan League, whose members account for a majority of all home mort-gages made annually, reported that a total of 1.5 million mortgages were made by its members during 1975. About one million of these were issued on existing single family houses. Another 220,000 were on other resale units, primarily condominiums. The remainder, about 280,000, were made on new units.

Thus, mortgages on resale units of all kinds were issued at a rate of more than four for each new unit sold. In an average year, the ratio of existing house sales to new house sales is between 2.5 and 3 to 1. The National Association of Realtors’ Department of Economics and Research estimates the ratio will be at least 4 to 1 when 1976 totals are tallied.

The median price of a new home in the Dallas/Fort Worth area registered $45,043 on the MP/F Research scale at the end of 1976’s third quarter, an increase of more than $4,000 from the median price at the end of 1975. The National Association of Realtors’ research department found that the median price of an existing home nationally was about $5,000 lower than that of a new one.

This higher “new” and lower “existing” situation helps the seller because in the past 10 years existing housing in the Greater Dallas area has appreciated at healthy rates. Location is the primary factor in determining how much appreciation takes place. It has been possible for owners to earn as much as 25 percent return on their initial investment.

Local savings and loan sources say 12 to 25 percent appreciation is about average during the first 10 years, then, it begins to taper off, settling somewhere in the 5 percent range. In a high-demand location like the area south of Northwest Highway, east of Webbs Chapel, west of North Central Expressway and north of downtown Dallas, annual appreciation remains closer to 10 percent.

The appreciation, values and sales prices are especially good in houses with three or four bedrooms, one and one half to three baths, den and/or a living room which can be converted to an entertainment area, two-car garage, kitchen with built-in appliances, a fire-place and an attractive yard.

The single family detached house will continue to be the most attractive buy for shelter and investment for the foreseeable future. Mid-to-high density housing – townhouses, condominiums and line houses with gardens, patios, or courtyards instead of large yards – so far constitute a very small percentage of the total. For example, in 1975 8,603 single family houses were occupied for the first time in the Dallas area, as opposed to only 106 townhouses, reports MP/F Research.

However, builders/developers and owners of townhouses and condos in the Dallas area have been trying to attract the young and the single market. They stress building equity and income tax advantages as major points. This approach has been particularly effective in the $45,000-and-under price range.

No doubt there will be more mid-to-high density housing in the Greater Dallas area, particularly in areas close to where people work. But the single family detached house will continue to be the major market far into the 1980’s.

It will be some time before builders will run out of flat, easy-to-build-on land all around Dallas County, particularly to the north. Ten years from now builders and their advertising agencies will be trumpeting the”North Dallas Lifestyle” for houses actually located in South Wylie.

Tree-lined, creek-bordered house sites will be readily available, too, but at a much higher cost. Such a landscape will encourage more mid-density housing, since by getting more units per acre, a developer can make a profit even though his initial land and development costs were higher. No lender in his right mind will advance funds on land lying in a flood plain, no matter how big the trees are, until the developer provides over-sized sewer lines and land fill.

Another development in land usage which has taken place, particularly south of LB) Freeway, is conversion of land with multi-family zoning to single family zoning. In some cases, these tracts are passing from the hands of speculators to those of actual users – a healthy situation.

Economically, almost one-half of the households in the Dallas Standard Metropolitan Statistical Area earned $15,000 or more in 1976. Sixteen percent earned $25,000 or more, a figure which has tripled since 1969, when only 5.2 percent of the households earned that much.

Data compiled by MP/F Research also shows that even with the severe 1974-75 decline in business, Dallas has averaged an annual 20,000 job growth since 1970; Fort Worth has averaged about 6,000. These levels of growth are projected to continue through the remainder of the Seventies and into the Eighties as new and existing firms continue to take advantage of the area’s favorable economic climate.

The Closing Costs



In the saga of home buying and selling the final chapter is the meeting at the title company over closing costs. Simply stated, closing costs are those cash payments from, and credits to, both buyer and seller which make the sale final.

The following is an example of the closing costs on a $75,000 house, furnishedby Mike McKenna of Pioneer National Title Insurance Company of Dallas, thenation’s largest title company.



Settlement Charges on a $75,000 home



Paid by Buyer Paid by Seller

Broker’s Commission, 6% of sales price $4,500.0

Loan Origination Fee 1% $600.00

Loan Discount 1 1/2% $900.00

Credit report $18.50

Photos $10.00



Required by lender to be paid in advance:

Interest paid from day of closing

to first day of following month $255.00

Hazard insurance premium for 1 year $389.00



Reserves deposited with lender for:

Hazard insurance for 2 months $64.84

City, school and property taxes $560.64

for 4 months

County property taxes for 4 months $141.28



Title charges:

Closing fee $15.00 $15.00

Document preparation $30.00 $40.00

(Buyer – Deed of Trust & Note)

(Seller – Warranty Deed & Release)

Title insurance $30.50 $405.00

(Lender’s coverage: $60,000

= $30.00)

(Owner’s coverage: $75,000

= $405.00)



Government recording and

transfer charges:

Recording fees:

Deed $3.50

Mortgage $10.00

Releases $2.50 $13.50 $2.50



Additional settlement charges:

Survey $65.00

Pest inspection $15.00

Home inspection firm $60.00

Total Settlement charges $2,252.76 $5,877.50



Then, the entire transaction is mapped out in this way:



Summary of Buyer’s Transaction:

Contract sales price $75,000.00

Settlement charges to buyer $2,252.76

Adjustments for items paid for by

seller in advance:

City and school taxes for the balance $73.72

of the month



County taxes for balance of month $18.57

Gross amount due from buyer $77,345.05

Deposit or earnest money $ 1,500.00

Principal amount of new loan $60,000.00

Total $61,500.00



Cross amount due from buyer $77,345.05

Less amounts paid by buyer and loan company $61,500.00

Cash required from buyer $15,845.05



Summary of Seller’s Transaction:



Contract sales price $75,000.00

Adjustments for items paid by

seller in advance:

City and school taxes for balance

of month $ 73.72

County taxes for balance of month $ 18.57

Cross amount due to seller $75,092.29



Reductions in amount due to seller:



Payoff first mortgage loan $43,298.31

Settlement charges to seller $ 5,877.50

Total reductions $49,175.81



Cash to seller from settlement:



Gross amount due to seller $75,092.29

Less total reductions in amount due

to seller $49,175.81

Cash to seller from settlement $25,916.48



All that’s required on these settlement forms is your signature and the trans- action is legal.



The Future for Dallas Housing

There’s good news and bad news, as they say, in the Dallas housing outlook for the future. The prophets and ’pun-dits at the Texas Real Estate Research Center, a highly respected source of facts and figures at Texas A&M University, have some startling predictions for 1985.

The good news is that the average household income in Texas in 1985 will be $32,284. Using the formula that a household can afford to pay twice its annual gross income to purchase a home, the average family would be able to afford a home costing $64,568. Such a deal!

The bad news is that the price of housing is expected to rise 80 percent by 1985. The average home sold by the Multiple Listing Service in 1975 cost $34,700, a 21 percent increase over the year before. Between 1968 and 1975, the simple average annual rate in the price of existing homes rose 7.2 percent in Dallas. With the expected population and inflation trends, an average appreciation rate of 8 percent would seem reasonable. Therefore, houses that sold for $34,700 in 1975, could sell for nearly $62,500 in 1985.

Fortunately, by 1985, the Bigger-Is-Better syndrome will fade because of the increased requirements for energy. Conservation and money-saving devices of all kinds will change the lives of most Dallasites. Homeowners will be more concerned with the monthly expenses of maintaining a house than with the initial cost. Families who are able to afford a house will use nearly 35 percent of their income in housing costs, as compared to 20-25 percent today. You’ll be adjusting thermostats and using appliances wisely in an effort to reduce utility bills. There will be a greater acceptance of smaller automobiles, families, acreage and garages.

Dallas population is projected to increase by about 900,000 by 1985. The percentage of people in all age groups above 24 years is expected to rise. One-and two-person households will increase rapidly. Dallas will have a larger but older population.

Although there will be nearly two million more dwellings in 1985 statewide, only 72 percent of the population will be able to afford single family homes. Others will rent apartments, or buy condominiums or mobile homes.

There is more good news, however. TRERC says we can look forward to 40 year mortgages in order to bring the cost of housing within reach of the average family.

Inflation will have a significant impact on home financing. The projected 7 percent inflation rate seems like a conservative estimate in view of all the proposed government regulations, programs and deficit budgets.

Traditionally, real mortgage rates on single family homes have been about three percentage points above the inflation rate. Therefore, when inflation was at the 2.5 percent level, contract mortgage rates were around 5.5 percent. The real mortgage rate seems likely to continue near the same general level – meaning that mortgage rates in the future will probably be in excess of 10 percent. In those instances where market interest rates exceed the legal limits, the usury laws will reduce the supply of available funds.

The assumption of existing first mortgages will also be more difficult because the previous owner’s equity will rise so quickly that few of the later buyers will be able to buy into the previous owner’s position. Secondary mortgages held by the seller will increase, but not to a large extent, because sellers will generally insist on short maturities and modest dollar amounts.

At present, most home mortgages are written with 25-30 year maturities. However, many lenders expect the repayment period to be extended to 35 years within the next three years and to 40 years before 1985. This is an attempt to keep the monthly payments from becoming too burdensome on the homeowner.

Longer maturities and constant inflation combine to threaten the lender’s real yield. Lenders will insist on higher rates to protect themselves from inflation and the additional uncertainty associated with longer maturities. Even then, there is a very real possibility there will be a reluctance on the part of savers to supply enough funds to meet the industry’s future needs.

The problem is compounded by the fact that the federal government has been taking a growing proportion of all the new capital raised each year. As this happens, the real estate industry will be hurt, since it tends to be a residual user of funds.

Although no crowding-out of private industry occurred in 1975 because the federal government used roughly 60 percent of all the new capital generated, the private sector was still penalized by having to pay the highest interest rates ever recorded in a recessionary period. As the private sector recovers, there will be a substantial increase in the competition for funds. However, since the government always gets its share first, the smaller and weaker firms will feel the effects most.

It seems inevitable that lenders will insist on some type of Variable Rate Mortgage (VRM) arrangement in the future – perhaps before 1985 – as a means of greater protection against inflation. Variations of the VRM are presently being tried to a limited extent on both coasts and are proving acceptable, if not desirable, to borrowers.

The acceptance of VRM would mean higher costs of borrowing an adequate supply of funds. However, the alternative is to pay lower interest rates, but then be unable to obtain an adequate supply of funds. If VRM becomes commonly accepted, savings and loan associations will probably continue to be the major supplier of mortgages for single family homes. If they are not implemented, the federal government will probably be forced to step in and become the major lender.

In terms of construction, the sizes of houses will decrease, but not by much. The average size of houses built in 1975 was 1,650 square feet. This compares to 1,692 in 1974. As building costs and utility bills rise, and the size of the average household continues to decline, the size of the house will probably be further reduced. With these projections, the average size of houses built in 1985 will be about 1,500 square feet.

In 1985, houses will have heavier insulation and fewer windows and the house will be oriented on the lot to use the sun, shade and other natural factors. Storm windows and doors will be commonplace. Solar heating and cooling technology will be available, but TRERC experts doubt it will be affordable for most families by 1985.

The movement to government regulation, financing and control will not be reversed, says TRERC. Zoning laws will become more detailed and some degree of zoning authority will be extended to counties and possibly to state agencies. Land planning will be imposed by zoning for a variety of purposes, including some very emotional ones such as the razing of existing houses for urban renewal.



Where Is the Growth?

During the past decade, the northern and northeastern areas of Dallas County have experienced the greatest new single family detached building activity, a trend which should continue through the 1970’s.

Dallas County is the center of just about everything in the Dallas Standard Metropolitan Statistical Area. However, Piano in Collin County, just north of Dallas County, and Lewisville in Den-ton County have shown strong activity over the past couple of years with every indicator pointing to its continuation.

Briley and Associates, a Dallas market research and feasibility firm, provides a close look at the growth patterns in Dallas County since 1966. jack Briley is president of the firm.

Briley has divided the county into five basic areas: The city of Dallas by itself, then the county cities combined in sections – Northeast, Northwest, Southeast and Southwest. About 89,000 single family houses and townhouses have been built in Dallas County since 1966, through the third quarter of 1976.

The city of Dallas, once the leader in new house starts, has lost this position and will continue to have less activity as available land disappears. In the last half of the Sixties, Dallas accounted for from 43 to 45 percent of the total of new houses built in the county. This share has dropped to an average of 25 percent.

The latest big push is to the northeast suburbs. For example, Richardson and Garland built only 1,064 homes in 1966. Last year these cities (and Rowlett) saw the construction of 2,541 new homes, 43 percent of the county’s total.

Through the third quarter of this year, 2,100 permits have been issued in this northeastern sector or 37 percent of 1976’s total construction. Briley projects about 3,000 units in 1977 for the sector.

In picking a likely hot spot for future growth in the county, Briley advises that the southwestern sector will bear watching. Composed of Duncanville, DeSoto, Cedar Hill and Grand Prairie, this area has been getting more attention from developers and home builders.

However, the southwest sector had a 1966 total of 560 houses or 10 percent ofthe county’s total. During the past five years, building has increased in the area and in 1975 totaled 968 homes or 16 percent of the county total. This trend is expected to continue and Briley pro-jects about 1,200 units for 15 percent of the county’s total in 1977.

The northwest sector – Irving, Car-rollton and Farmers Branch – in 1966 accounted for one fourth of the county’s total. Then it began to drop on the charts, with 563 houses last year or 9 percent of the total.

Through September, 1976, the north-west was experiencing a rebound, with 645 homes or 11 percent of the total. Several new subdivisions are open or will be open soon in Carrollton and Irving, which should encourage more building for this sector.

Construction in the southeastern suburbs – Mesquite, Balch Springs and Lancaster – has remained almost constant over the past decade. It accounted for 5 percent of the county’s total in 1966, 6 percent in 1975 and 5 percent through the third quarter of 1976.

One event which will alter this percentage of total for the southwest was the announcement in October that Fox and Jacobs Inc., the largest volume single family detached home builder in the Southwest, purchased 1,000 lots in Mesquite. It will be mid-to-late 1977 before the effect of F&)’s entry into Mesquite will be registered on the building permit scale, but it promises to be substantial.

Outside Dallas County, building activity is strongest in Collin County, where Piano ranks first followed by Allen. In fact, Piano had more building permits authorized in 1975 than did the city of Dallas.

A study prepared by the North Central Texas Council of Governments (NCTCOG) shows that the number of single family units in Piano has almost tripled since 1970. As of April 1,1970, it had 4,444 units compared with 11,540 as of January 1, 1976. A recent check of new home sales prices shows virtually nothing under $60,000.

This year, even newer housing records are being set in Piano. Through September it had permits authorized for 1,840 units, an increase of 83 percent over 1975’s 1,007 units.

Allen, which is located a few miles north of Piano, has more than doubled its number of single family units during the same period. It had 579 single family houses in the beginning and registered 1,197 at the beginning of 1976.

In Denton County, which is located slightly northeast of Dallas County, Lewisville was very active. Its number of houses more than doubled during the period. It had 2,404 units in 1966 and 5,307 units by the first of this year.

The Condo Boom



At last, a one bedroom house. That’s what the condominium has brought to the Dallas area.

Actually a condominium is a form of ownership of real property. The purchaser receives title to a particular unit and a proportionate interest in certain common areas.

Condominiums emerged on the Dallas living scene in the early 1970’s largely through the conversion of existing apartments from monthly rental to a monthly mortgage payment. The first conversions occurred behind the pink wall at the corner of Northwest Highway and Preston Road.

A conversion normally involves a company buying out the owner of an apartment community. The new owner then offers the individual units for sale to their residents and/or outside investors. The latter would be buying for possible re-sale or long-term leasing income.

A third market is the general public. Specifically, those persons who are single and the “empty nesters.” Some of the most successful conversions have taken place in apartment complexes with heavy concentration of one or two bedroom units.

The reasons for condominium buying are expressed in statements such as these: “I am one of those ’empty-nes-ters’ whose children have gone and I don’t need anything except a one-bedroom condominium. Where could I find a one-bedroom house”?

A Dallas professional woman explains, “I’ve always lived in an apartment and I am used to it, but I wanted something I could call my own. Something that I could use for a tax write-off and could do with what I wanted to do. Condominium living was the answer for me.”

One couple entered a condominium sales office and left an hour later with a signed contract. “We have retired and want to travel, yet Dallas is our home and we have to have roots somewhere. We bought a condominium so that we would feel that our possessions would be safe and in a place we could alwayscome home to.”

The tax deduction feature is one definite attraction to a condominium. Interest and taxes are deductible just like those on a single family detached home.

One advantage a condominium buyer in Dallas has had over the single family detached buyer in the under-$50,000 price range is good location to the center of the city. Until recently all successful conversions have been made within LBJ Freeway.

’Some conversions have met with good sales results in the Cedar Springs/ Oak Lawn area. Another area, west of North Central Expressway from Walnut Hill to Royal Lane, has experienced excellent results. One of the major converters was the American Condominium Corp. which found ready takers for the large, well-proportioned apartments originally built in this sector.

Another firm which is very prominent and relatively new to Dallas is International Housing Systems of San Diego. International is presently selling units in the giant former University Gardens Apartment community at North Central Expressway and Mockingbird Lane, a Park Cities location.

International also has plans for the two luxury apartment complexes built by the late Pollard Simons in North Dallas in the vicinity of Hillcrest and Arapa-ho. There are 483 units involved in this transaction making it the most ambitious condo conversion in Dallas in the last two years.

Another feature attracting condominium buyers is the reduced maintenance and upkeep required from the owners. When a project is “sold out” (normally 75 percent of the total units), the managing and decision making for the entire complex is put into the hands of an elected board. This board is usually made up of residents of the project who know – first hand – of the problems and, for that matter, the advantages of a particular property.

This group of homeowners acts like a board of directors for the complex and individual homeowners can complain to them, if necessary, and get something done. This includes, in many cases, hiring a resident manager for the complex so that the board will have someone on the property at all times to handle any problems that arise.

The cost of such a manager, plus the cost for outside maintenance, utility bills, exterior insurance, upkeep of swimming pool and other amenities is paid in a monthly maintenance fee by all homeowners. If there is to be an increase in monthly maintenance fee, all homeowners are contacted and the board acts on their recommendation.

“It’s a very democratic way to handle things,” one young business woman said. “In our condominium project, we have an attorney who is one of the board members. She knows the ins and outs of real estate law and all those things that I frankly know nothing about.”

Virtually all of the apartments converted to condominiums have had extensive refurbishing – including new paint, carpet and kitchen appliances – before their sale to individual owners.

Buying

Your Dream

Home

Owning your $100,000 dream home may be closer to reality than you think.

In fact, one North Dallas custom builder, when queried on how many houses in the $100,000 range he’s built lately, emphatically stated: “There’s nothing unusual about a $100,000 house these days. You’ve got to get near the $200,000 mark to really get something unusual and different.”

This builder knows that inflation and appreciation have caused the sales prices of existing houses in the Dallas area to go up so that more people than ever before are his potential customers. This is particularly true of houses purchased around 1968 or before, which will have doubled replacement value by now.

Even homes which were built and sold after 1968 have increased by at least 40 percent despite the dramatic increases in building costs. For example, the North Dallas builder cited a home he sold in the Preston Green addition in 1973 for $60,000. The very same house now carries a price tag of $81,600.

If the owner of the house has made certain improvements, such as installation of a lawn irrigation system, landscaping and exterior lighting, a swimming pool or even a fence, the re-sale value should increase in proportion to the cost of the improvement.

So what’s needed to get you into your $100,000 dream home? A combination of things, beginning and ending with Money. You will need a conventional loan in the amount of at least $80,000. Best source for such a loan is a mortgage banking firm or savings and loan association.

The money lenders don’t make 90 or 95 percent conventional loans in this price range. So this means you must raise the $20,000 down payment through the sale of your present home or by some other means.

Add to the down payment about$2,000 for basic closing costs which include one-half month’s pro-rated interest (this varies depending on what dayof the month the loan is closed). Thetitle policy, figured at rates prescribedby the State Board of Insurance,amounts to $507. The 1 percent loan origination fee on $80,000 is $800 so thegrand total cash needed has risen to anestimated $3,307.

To give you an idea of what is involved in the closing of the sale of a $75,000 house on which the seller realized cash proceeds of $25,916.48, see closing costs table on page 77.

Next comes the monthly payment. Figured at the rate of 8 3/4 percent interest, $630 a month is needed to retire principal and interest over 30 years. There is no mortgage insurance on an 80 percent conventional loan.

Next comes taxes and insurance on the house. If it is located in the North Dallas/Richardson area, they will amount to about $160 a month. So, your monthly payment now totals $790, which will not vary unless taxes or insurance rates go up.

And finally the annual income requirement. The money lenders want you to have least $40,000 a year coming in, subject to existing debts.They take a long, hard look at your job stability, ability to pay and past credit experience.

Assuming you can meet all the previous points, it’s now time to start looking for the $100,000 abode. If you want a new one, there are a score or more additions where home builders are offering new houses in this price range for sale (called a speculative house in trade jargon).

If you lean toward a pre-owned house, call a real estate broker. Lots of people are trying to get into that $200,000 price range.

But, if you want a new one, they are out there in North Dallas, North Dallas County, Denton County and CollinCounty. And they are within an hour’s drive or less from downtown Dallas.

North Dallas additions include Highlands North, Northwood Hills, Peyton-wood Estates, Highlands of McKamy, Tioga East Phase II, Bent Tree, Preston Trail, Brookshire Park Estates, Royal Park Estates, St. Marks Circle, Town Creek, Piano, Prairie Creek Estates III, Whiffle-tree and Kimberlea.

Most of these North Dallas additions are fairly well established and contain many fine houses. They are located within Meadow Road on the south, Dallas North Tollway on the west, North Central Expressway on the east and the city limits on the north.

Additions outside this concentration include Spring Park in Richardson/Garland, University Hills in Irving, Seis Lagos on Lake Lavon, Cottonwood Creek in Richardson and Trophy Club in Den-ton County.

The latter is the newest and largest of the additions outside of Dallas County. It covers 2,600 acres and has a private country club with two 18-hole golf courses designed by Ben Hogan.

Stan Mclver, Trophy Club sales manager, says about two thirds of the lots sold since the community opened inOctober 1975 have been bought by in-dividuals. The remainder by builders, two of whom will have spec houses costing over $100,000 underway by the first of the year. All homes must be approved by an architectural committee which is true in other additions such as Spring Park and University Hills.

Mclver says 30 homes are under construction now with 30 more expected to start within the next three months. These include many contract jobs with values ranging up to $200,000.

Trophy Club is located about 13 miles north on Highway 114 from the Dallas/ Fort Worth Regional Airport while University Hills is located about the same distance to the south.

All of the $100,000 or better additionshave distinct advantages. You’ll justhave to check each of them out and decide yourself. As for home builders,those who are known to be buildingspeculative homes at present in thisprice range include J. Stiles Inc., EdMullins, Pat Patterson, Richard Lane,Bob Bates, Jim Keinast, Shaddock-Cook,Oscar Ponder, Talmadge Tinsley, Bourgeois Construction, Harold Tomlinson,W. Brown, Jo Patterson, Cordon Harris,Jim Harrison, D.C. Oliver & Son, B.R.Summerford, Bob Felton, Mike Morgan,James Keahey, Larry Howard, KenHodge, Ray Smith, John Worrell, RayWilliamson, Ken Jordan, J.L.Humphrey,K-John Inc., Al Small, John Eastwood,Howard and Sammy Rosenzweig, RobScott, David Moore, Major Ginsberg,Robert Edelman and Billy Keller.