Are All the Good Lots Taken?

Green Escrow | New construction, housing

The National Association of Home Builders reports that housing builders are becoming increasingly concerned over the limited number of lots available for new development. Restrictive regulations, a shortage of financing for development, stricter zoning laws and buyers’ preference to live in or near cities – where there is very little unused land left – are cited as the prime reasons behind the lot shortage problem.

Economists also say that tighter supplies are increasing the costs to build homes.

It bears watching. Clearly, it is limiting the number of new homes for sale.

Builder Confidence Continues to Rise

Green Escrow | New Construction

According to a recent survey by the National Association of Home Builders, builder confidence in the market for new single family homes rose two points in August, bringing the index to it’s highest mark since the beginning of 2014. The survey showed increases in each of the three major components: sales expectations over the next six months; confidence in current single family sales; perception of potential buyer traffic.

Analysts cited sustained job growth, continued low interest rates, and (reasonably) affordable home prices as the prime reasons for the sustained confidence.

To Buy a New or Existing Home?

Green Escrow | Real Estate

A basic question facing all home buyers is whether to buy a new or existing home. New homes, of course, will be more modern and should come without need of repairs. Existing homes, however, often mean a more rapid transaction and a better short term price appreciation. Newer homes may be in more remote locations and have smaller yards. On the other hand, you won’t be shelling out big dollars for a new roof or furnace in a brand-new home. Finally, newer homes should cut your energy costs as modern construction is approximately 30-40% more energy efficient according to industry analysts. and if you do decide to buy new, buy early as developers tend to raise prices as the number of new homes increases, particularly if the development proves popular.