Are You Thinking About Investing in a Newly Constructed Home

If you’re in the market for a new house, don't limit yourself to pre-owned properties. There are few homes currently available on the market; however, why not give newly built residences some consideration? You could potentially snag your dream home and get more bang for your buck!

Newly built homes come with the advantage of having everything up to code and in top shape. This means you can be certain that your home is up to safety standards and needs no major renovations. Plus, new construction often includes modern amenities like modified insulation, updated electrical systems, spanking new appliances, and more.

Plus, you can customize the property to your liking. Many builders create models that you can choose from and they’ll even make slight modifications or upgrades depending on what you wanted. For example, if you want a specific type of flooring or kitchen countertops, it's likely something they could accommodate.

On top of all this, newly built homes come with warranties that protect you should any of the construction or appliances malfunction. It’s a great way to get peace of mind and ensures that your money is well spent.

If you’re looking for a home, consider investing in newly built properties. You could be rewarded with more amenities, a safe and up-to-date structure, and plenty of warranties. Don’t overlook the advantages that come with newly constructed homes!

The construction of new homes is on a steady rise

Despite the current surge in housing offerings compared to last year, there is still an unusually low number of homes available on the market. One possible cause for this can be attributed to years of inadequate construction--not meeting homeowner demand with sufficient fresh builds.

This graph starkly illustrates the limited production of newly constructed homes for the past 14 years. But there is an indicator that buyers can be optimistic about: a steady incline in newly built dwellings each year, as per Chief Economist at First American, Mark Fleming. Therefore, this projection bodes well for those searching to purchase a home!

“While existing-home inventory remains limited, the silver lining for home buyers is that new-home inventory is on the rise, and a new home at the right price is a pretty good substitute.”

Taking Advantage of Builder Incentives Can Give You an Instant Boost!

As the number of new homes for sale continues to swell, builders are reducing their construction rate until they get rid of more of their current stock. Logan Mohtashami, Lead Analyst at HousingWire, remarked:

“The builders have to work off the backlog of homes, but instead of 3%-4% mortgage rates, they’re dealing with 6% plus mortgage rates, which means they have to provide many incentives to make sure those homes sell.”

To make their new homes more accessible, many builders are now offering buyers attractive incentives. According to Fleming:

“The National Association of Home Builders reported that nearly two-thirds of builders were offering incentives, including mortgage rate buydowns, paying points for buyers and price reductions, which could entice potential home buyers.”

If a builder is willing to pay for you to have a lower mortgage rate, it could be the game changer of your financial future. Ksenia Potapov, economist at First American states:

“A one percentage-point decline in mortgage rates has the same impact on affordability as an 11 percent decline in house prices.”

Are You Ready to Invest in a Brand-New Home?

When it comes to selecting the perfect dwelling, enlisting a reputable realtor is indispensable: they can assist you in comparing and contrasting all available options. Moreover, realtors are informed of all houses on the market - plus any special benefits that builders might be offering - so you don't miss out on great opportunities.

Fully built homes offer numerous rewards: you have the opportunity to immediately move in and customize it to your liking with up-to-date features, appliances and warranties. With builders now providing attractive incentives, there has never been a better time to invest in a brand-new home!

So if you’re in the market for a new home, consider taking advantage of newly constructed dwellings and all the benefits that come with them. With the right realtor and some savvy shopping, you could find yourself living in your dream home sooner than you think!

Even though there aren’t a lot of homes for sale today, new home inventory is on the rise, and many builders are offering incentives. Let’s connect so I can help you weigh the pros and cons of shopping for a new home versus an existing one.

2-17-2023