The real estate market has taken an interesting turn in the last year or so. New homes are going up everywhere, while existing Coppell home sales, although certainly rebounding nicely from the effects of the recession, just aren’t selling like new homes. In fact, take a turn or two onto any Dallas suburb street and you will likely see new homes popping up around you. Here’s why:
- Interest rates are low, low, low – Most homebuyers are now able to buy more home for their money, thanks to low interest rates and exciting and attractive home loan programs. In other words, the buying power of most home buyers has increased significantly.
- New home prices are reasonable – Many home builders have shifted their strategy regarding new home building. Just a few years ago, builders were putting up million-dollar homes faster than ever, while today’s new home communities are much more affordable and understated. Most homes these days are smaller than their pre-recession counterparts, and the bells and whistles have also gotten less “blingy” and more utilitarian. That means that buyers can now better afford new homes. If a new home is $250,000, and an existing home is in the same price range, it only makes sense that most buyers will head to the nearest home builder.
- New homes allow buyers to take control – Unlike an existing home that already has the previous owner’s stamp on it, a new home allows the buyer to create a home that’s perfectly them. From the kitchen countertops to the color of the carpeting and the style of the faucets, new homes provide buyers with the luxury of designing and building a home that their stamp on it; not the previous owner’s stamp.
- New home construction loans are better than ever – If you have the credit and income to back up a new home construction loan, then lenders are ready and willing to work with you. Some of today’s construction loans provide buyers with the flexibility they need to build a home and live in another home without going broke, which, of course, is very attractive to most home buyers.