Why Now is Truly a Great Time to Buy a Home
Today, not several months down the road, is the ideal time to buy a home. Demand for houses is sky high, which is why AV Homes is busy constructing new homes in Central and North Florida. At AV Homes, we understand that a passionate desire for homeownership today is a nationwide trend. The U.S. Department of Housing and Urban Development just reported that housing starts rose 3 percent in February across the nation.
Builders respond to demand, and it’s clear a fast-growing number of buyers keep jumping into the market. So there’s unlikely to be a better time to start searching than today. At AV Homes, we have beautiful new home designs at developments like Stone Creek, a gated community on 44 wooded acres in Jacksonville; and at Black Lake Preserve in Winter Garden, featuring more than 91 over-sized home sites and a variety of floorplans that have fantastic features. Both communities have become highly desirable locations for new home buyers.
A Red-hot Market
Last month, sales of newly constructed homes shot up 6.1 percent. That represented a 12.8 percent gain from February 2016. Sales of existing homes also rose, up 5.4 percent from a year ago. But as new homes get built, prices are not falling. The National Association of Realtors notes that a low supply of available homes for sale has been pushing prices up. Single-family home construction has increased 6.5 percent to 872,000 units this year, the highest in nearly a decade.
The National Association of Home Builders issued a statement noting that they expect to see single-family home production keep growing this year. A shrinking number of lots available to build on in most regions of the country, combined with potential manpower shortages confronting builders, might temper that. In the meantime, every indication points to the housing market remaining red hot. The supply of homes for sale is now at the lowest level since NAR first started tracking inventory 18 years ago, and what gets listed is selling fast.
Rush to Buy
Tight inventory means not only rising prices, but also that competition is fierce. And the competition isn’t always between first-time home buyers. As NAR noted, investors have been purchasing millions of properties, sometimes to fix them up and resell them, or rent them out. The vast majority of those properties were considered starter homes. Now the investors are getting a solid cash flow from the property, so they are sitting back and riding out the price increases.
A new survey by Trulia indicates that the more a local housing market has recovered from the 2008 market crash, the larger the drop in inventory there. Trulia noted that even residents in these markets with plenty of equity in their homes are staying put because they’re concerned about how expensive it will be to buy another home.
Affordable New Homes
AV Homes continues to provide great options for buyers looking to settle in some of Florida’s most attractive and appealing communities. Winter Garden remains one of Central Florida’s most charming cities, and the downtown area, along Plant Street, continues to draw visitors for its upscale restaurants and renowned Garden Theatre. That’s why AV Homes not only built Black Lake Preserve in Winter Garden, but also located it across from Sunridge Elementary & Middle Schools, two top-rated and very desirable schools – which residents’ children can walk or bicycle to. At the same time, Black Lake Preserve is a quick drive to downtown Orlando and Walt Disney World. The home sites in Black Lake Preserve offer a wide variety of larger floorplans, some with 3-car garages. Others are situated on the water or conservation areas.
Another very desirable community to live in today is Jacksonville. Forbes magazine recently named Jacksonville as the number 2 city in the nation to move to in 2017. Stone Creek is a gated community of 44 oversized homesites in St. Johns county offering new home designs with up to 4,400 square feet of air conditioned space, as well as expansive front porches. Stone Creek is located close to the beach, the popular restaurants, attractions, and nightlife in this beautiful city.
Builders are constructing more new homes because of high demand among buyers. Rather than rolling the dice on the hope that new homes coming onto the market will stabilize or even reduce prices, prospective buyers would be smart to buy now. Prices are anticipated to keep heading up, which will make them much higher than today. The time to act is now.