Momentum Is Building for New Home Construction

If you’re looking for a home right now, you know that the number of homes for sale is low because you’re already feeling the effects of having few choices. And if finding something you like is your biggest problem right now, don’t forget that a newly built home is a great choice.

The home wood toy in living room for property or building concept 3d rendering

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According to a recent article from the National Association of Realtors (NAR), “Home buyers continue to have few housing options during what is usually the busiest season for the real estate market.” The number of existing homes on the market is about half of what it was in 2019. The market for new building, on the other hand, is a bright spot.”

The number of new homes built has gone down, and builders haven’t built enough homes to meet the average (shown in red) of the past. Because of this, the housing market had a shortage of homes for sale for many years. And this imbalance is part of the reason why there isn’t much in stock right now.

Here’s the good news, though. The green on the right shows that, according to the most recent report from the Census, builders are doing about the same amount of work as they have done over the long run. And that means they are putting on the market more newly built houses than they have in the past few years.

Residential building starts and building permits are also going up. Starts are homes where the building process has begun. Permits are for houses where builders want to start building soon. Since both are up, it means that there will soon be even more new houses.

How this affects you

With more newly built homes in different stages of the building process, you now have more choices. If you want to move right away and time is important to you, talk to a real estate agent in your area about the new homes that have been built lately. If the building is done, you should be able to move in right away.

But if you can wait a little while and like the idea of building a home from the ground up, ask that same person about the homes that are being built in your area. If you buy a house that is still being built, you can help choose the features and finishes as they are being added. And if none of the homes you’ve looked at so far are what you want, it may be best if you can make one to your satisfaction.

In either case, a real estate person you can trust is a key part of the process. They’ll know exactly what’s available in your area and can make suggestions based on your specific needs, where you want to live, and other factors.

Bottom Line

So, if you’re having trouble finding a home you like because there aren’t many of them, it might be time to look into building a new one. If you want to start that chat, talk to a trusted real estate agent in your area who knows all about what’s available.