Meet Lori Lane, the esteemed President of the New Homes Division at Berkshire Hathaway HomeServices Georgia Properties. With an illustrious career in the real estate industry, Lane is a seasoned expert who possesses a deep understanding of trends in new home construction. As a thought leader in the field, Lane’s insights into the current state of the housing market and the opportunities presented by the new home construction boom are highly sought after.
In this exclusive Q&A interview, Lane shares her candid perspective on why now is the perfect time for homebuyers to explore the world of newly built homes and how the surge in construction is transforming the real estate landscape. Join us as we delve into her expert views, combining her wealth of experience with statistical data and market trends to provide valuable insights for aspiring homeowners looking to make their dream a reality in Summer 2023.
Q: What’s happening in the housing market this summer that makes it an exciting time for homebuyers?
A: This summer, the housing market is experiencing significant changes that present both challenges and opportunities for prospective homebuyers. Limited options, high mortgage rates, and tough competition have made it difficult for many to enter the market. However, there’s hope on the horizon with the emergence of a new home construction boom reshaping the real estate landscape. This surge in construction offers an alternative for buyers looking to purchase their dream homes. Builders’ increased confidence are making it an attractive time for buyers to invest in newly built homes. According to Business Insider, the rising number of new home construction projects has injected optimism into the industry.
Q: How are builders addressing the housing shortfall and increasing production?
A: Builders are working diligently to bridge the gap between supply and demand. Despite facing constraints like higher interest rates and labor shortages, they are determined to increase production. In May 2023, groundbreaking on U.S. single-family homebuilding projects surged, indicating a potential turnaround for the housing market after the impact of Federal Reserve interest rate hikes. Builders’ confidence is growing, and permits for future construction are on the rise, indicating upward momentum in the housing sector. These efforts are crucial in addressing the housing shortage and meeting the increasing demand for homes. As noted in Reuters, the surge in housing starts signals hope for the market.
Q: What are the predictions for the housing market in 2023?
A: Experts predict a sluggish housing market recovery. The 30-year fixed mortgage rate remains high at 6.81%, and existing-home sales prices have slightly declined. However, overall nationwide price drops are not anticipated. Affordability remains a significant concern due to strong demand and limited inventory, resulting in elevated prices. The Fed’s rate hikes may impact long-term home loans, potentially affecting the cost of borrowing. Forbes highlights that buyers should be prepared for challenges, but the surge in new single-family home sales indicates that buyers are embracing the opportunities presented by new construction.
Q: What are the advantages of buying a newly built home amid the new construction boom?
A: Amid the new construction boom, the increasing number of new homes on the market offers an alternative for buyers. Builders are incentivizing purchases with perks like cheaper loans, making it an attractive time for buyers to invest in newly built properties. Moreover, the surge in new single-family home sales indicates that buyers are embracing the opportunities presented by new construction. While affordability remains a concern, the growing confidence in new construction and an optimistic outlook for U.S. economic growth indicate a positive trajectory for the housing market. Realtor.com reports that the number of homes for sale has increased compared to the previous year, offering more options for buyers.
Q: Why should buyers consider making their dream of homeownership a reality now?
A: This summer has presented a promising landscape for prospective homebuyers with the emergence of the new home construction boom. Despite challenges like high mortgage rates and limited inventory, the increasing number of new homes on the market offers an alternative for buyers. Builders’ efforts to address the housing shortfall and meet the demand for homes indicate a positive trajectory for the housing market. While affordability remains a concern, buyers willing to invest in newly built homes may find the perfect opportunity to make their dream of homeownership a reality. With growing confidence in new construction and an optimistic outlook for U.S. economic growth, now is the time to seize the opportunity and make informed decisions in the current market conditions.