New research by Redfin, as reported by the National Association of Realtors, reveals that newly constructed single-family homes now constitute almost 30% of the nationwide housing inventory, a significant increase from the typical 10% market share of new-home sales. Builders are expected to intensify construction efforts and introduce additional incentives to entice buyers. With the historically low availability of existing homes, more prospective buyers are turning to the new-home market for a wider range of choices. Many current homeowners are hesitant to sell and forfeit the low mortgage rates they secured a few years ago in favor of today’s higher rates.
There are four primary reasons behind the surge in interest among buyers towards newly constructed homes:
- A scarcity of home construction in the past 14 years.
2. Existing homeowners are reluctant to relinquish their current homes due to the record-low mortgage rates they enjoy.
3. Homeowners stay in their home longer.
4. The allure of incentives for new home buyers.
The most significant factor is the availability of incentives offered by builders, which may include price discounts and financing perks that make new homes an attractive proposition for today’s homebuyers. At Davis Homes, we have a compelling interest rate program that can help turn your dream home into a reality. We are currently offering 6% of the purchase price toward either better interest rates or a lower purchase price. Instead of waiting for further price increases, let’s have a conversation today about your situation and the advantages of owning a newly constructed Davis home. Learn more.