There are few things more exciting, or more nerve-wracking than buying your own home. Buying or building a house is likely the largest financial commitment most of us will make in our lifetimes, so it makes sense to be picky. However, you should be particular not only about what you buy but also when you make your purchase.
One of the best times to build your own home is during a construction boom, a boom like the one we are currently experiencing. Low home supply, low mortgage rates, and the general benefits of building your own home have combined to create a great opportunity for home builders.
Read on to learn more about the current state of the market, as well as what the market might mean for you.
Fewer Homes for Sale
According to Realtor.com, the national inventory of homes on the market has been on a decline in 2020. In comparison to 2019, properties on the market have decreased by more than a quarter. This means that building a home may be a good option right now simply because there are fewer homes available for you to choose from.
Furthermore, new listings have gone down by roughly 20 percent, meaning that for every five newly listed houses on the market in 2019, there are now only four. There are many benefits to owning a new home, but you may not be able to find one that meets your needs.
Building your own house ensures that you find your dream home every time.
Mortgage Rates Are Down
The National Association of Home Builders reported that mortgage applications increased this year due to decreasing mortgage rates. In fact, this summer, rates hit historically low levels dipping to 1.99% for a 30-year loan.
Low mortgage rates and a thin market caused building permits to jump to a 30-year high in June. The good news is the same factors that made building so attractive in June largely remain.
If you’re looking to build your own home using credit in the form of a mortgage, now might be a good time to start the process.
Building Means Flexibility
There are countless benefits to building your own home.
First, you have complete control over the design of your home, within budget and construction constraints. This can save you money in the long run because you won’t need to redo any parts of the home after purchasing. Buying older homes often entails bathroom and kitchen remodels which can be quite costly.
Next, new homes have all new and modern appliances and fixtures. The potential for hidden costs and unexpected renovations is considerably lower. Newer homes also tend to be better for entertaining due to their open floor plans, but even that can be adjusted to your preference.
Older homes, on the other hand, tend to bring with them certain annual costs. Repairs, renovations to heating and cooling systems, and other unexpected necessities can quickly add up.
Finally, building your own home can sometimes mean better financing options. Those seeking traditional home loans should consider the benefits of building. Local financial institutions often are deeply invested in the development of their communities, largely through residential development. They may be more willing to provide credit or be able to approve mortgage applications more quickly for those wishing to build their own homes in the community.
One of the largest benefits of building your own home is the ease of integrating smart technology into the build. Smart homes are inarguably the way of the future, so it makes sense to invest in the technology if you’re planning on moving into a new home.
Building your own home, especially with the help of experienced smart home builders like those at Smart Home Construction, means that you can easily add smart technology that will not only make your life easier and more cost-effective, but also increase the value of your home in the long run.
Building Your Dream Home with Smart Home Construction
If you’ve been considering buying or building your own home, now is an excellent time to act. While building is a particularly good option right now, the state of the market is favorable for homebuyers in general. Your dream home could be just around the corner.
If you’re looking to put down roots in Harlingen or the surrounding area, Smart Home Construction can help. Whether that means buying one of our gorgeously built homes or constructing one from the ground up, our expert smart home builders have the know-how to make your dream home a reality.