|
||
| According to Redfin, 31.8% of U.S. single-family homes for sale nationwide were new construction in Q4, comparable to 31.9% last year. For perspective, 34.5% is the highest share of any quarter on record in Q1 2022. | ||
| Not only are home builders offering below-market mortgage rates right now, but they’ve also increased the price of starter homes. In 2022, 42% of new single-family homes sold for $500,000 or more, up from 30% in 2021 and 18% in 2020. | ||
Our take |
||
| Just look at the graph. Ten years ago, newly-built homes barely accounted for 10% of the homes sold. Even before the Great Recession, during the housing boom peak, they topped out at around 17% or 18%. Now they account for nearly a third of the homes sold in the nation. That’s a staggering amount. This just demonstrates why every agent needs to incorporate a developer and homebuilder component into their overall strategy. Otherwise, they’re leaving massive amounts of commissions on the table. |
James and David, The Blueprint
February 02, 2024