There are several big name real estate sources such as National Association of Home Builders (NAHB), Keeping Current Matters (KCM) and National Association of Realtors (NAR), that have recently gone on record stating,
"Newly built homes are becoming an increasingly significant part of todays housing inventory."
Specifically 31% of total homes for sale in the month of November were new builds! Compared to the historical average of 12%. Talk about taking over the market...that means newly built homes account for more than double what they used to!
What this means for you:
Since the current housing inventory is low, the uptick in new-home construction can broaden your options!
And some of you might be thinking, "I can't afford a newly built home." However, it might be more possible than you think, more builders are offering mortgage rate buy-downs for homebuyers right now! A mortgage rate buy-down is a financing arrangement that gives a borrower a lower mortgage interest rate for a certain number of years or for the life of the loan. This can help offset financial challenges while getting you into a brand new home!
In a recent article, Patrick Duffy, Senior Real Estate Economist at U.S. News, explains:
“Builders have been using mortgage interest rate buydowns for many years as a sales incentive whenever interest rates are relatively high, . . .Today more builders are offering rate buydowns for the entirety of the loan, allowing buyers to finance more home for the same payment amount.”
Conclusion: With all of that to keep in mind, it's also important to emphasize that buying a home from a seller is a different process than buying from a builder so it's important to partner with a trusted real estate agent. The Keefer Fischer Real Estate team has great experience working with builders and buyers! We're currently working with tmrbuilders.com to find buyers for some of their beautiful new builds. Please reach out if you're interested in viewing new build homes! Our office number is 269-633-9243.
Virtual tour of new build listing: 10768 Mystic Heights Trail, Mattawan, MI 49071