Real Estate – Why is it a good time to buy new construction? Myrtle Beach
Everyone is aware of the state of the real estate market throughout the country. How can you not be? Every newspaper and expert is telling you why it is not a good time to buy or why the nation is going to go into a recession because of this real estate downturn. Maybe I am biased because selling real estate is my profession, but I feel like there is no time better than now to buy real estate. Today we will discuss why new construction can offer you a better opportunity than resale property!
We have all read the articles comparing new construction and existing homes. I really believe in today’s market that new construction properties will offer you the best deal and investment for your money. Builders need to keep building to make money, so what does this mean to the buyer in these slow times??? Incentives, and lowered prices!
That’s right, many builders are piling on the incentives to get these properties moved. I recently visited a neighborhood to take pictures for a client and the house I photographed was recently reduced by $80,000. Not only was the property reduced by this much, but the builder was also going to pay up to $9,600 in closing costs. Reducing a property this much is a lot even for a million dollar home, but this house was $390,000 before the reduction almost cutting the price by 25%.
These price reductions are bringing the prices of homes close to what they were selling for 2-3 years ago. Not all builders are reducing prices this drastically. Many local builders that focus on the custom home market are starting to offer discounts, pools, closing costs paid, etc… The cost to build homes are also slightly lowering with many of the subcontractors that build these homes reducing their bid prices just to stay busy. So why not take advantage of this market downturn and buy today?
Another reason why I believe new construction is a better choice than existing homes is the happiness of having something new. When you go shopping for furniture, clothes, etc., do you buy new or slightly used? Personally, I think everyone would like to have new clothes and furniture if they can afford these things.
Like clothes and furniture, the style and construction of homes has also changed over the years! Today’s homes have higher ceilings, open floor plans, upgraded trim packages, home automation, pre wiring, exotic hardwood floors, granite, stone, etc… It is a lot less expensive and not as complicated to have all of these upgrades at the beginning instead of trying to make additions and upgrades to existing homes.
The next question you are going to ask yourself is when is the right time to buy? Personally, I think this question should be answered by you, not by CNBC or by market experts. Current interest rates are at historic lows, and the amount of inventory and selection is high. So why not start searching for your next home while prices are lower?
The question you should really take into consideration (whether it is new construction or an existing home) is what can you afford? If you love the property and it is affordable than why not make the move? Like many of the articles featured in my blog, this is just my opinion being offered. You may agree or disagree; either way feel free to comment and let me know what you think! If you would like to search for Myrtle Beach Real Estate, then visit my advanced search.