Newly Built Homes May Be Less Expensive Than You Think

Do you think a brand-new home means a bigger price tag? Think again.

Right now, something unique is happening in the housing market. According to the Census and the National Association of Realtors (NAR), the median price of newly built homes is lower than the median price for existing homes.

You read that right. That brand new, never-been-lived-in house may cost less than the one built 20 years ago in a neighborhood just down the street. So, if you wrote off a new build because you assumed they’d be financially out of reach, you could be missing out on some of the best options in today’s housing market.

Why Are Newly Built Homes Less Expensive Right Now?

1. Builders Are Building Smaller Homes: Builders know that buyers are struggling with affordability. So, instead of building big harder to sell houses, they’re building smaller ones that will. As size goes down, the price often does too. Smaller homes use fewer materials, making them less expensive to build. That helps builders keep prices lower so more people can afford them.
2. Builders Are Offering Price Cuts and Incentives: In May, according to the National Association of Home Builders (NAHB), 34% of builders lowered their prices, with an average price drop of 5%. That’s because they need to sell the inventory they have before they build more.

On top of that, 61% of builders also offered sales incentives – like helping with closing costs or rate buy downs. These are all ways builders are making their homes more affordable, so these homes sell in today’s market.

Your Next Step? Ask Your Agent What’s Available Near You: Talk to your agent to find out what builders are doing in and around your area. They can find new home communities and builders who are offering incentives, discounts, and hidden gems you might not uncover on your own.

Plus, buying a newly built home means there are different steps in the process than if you purchase a home that’s been lived in before. That’s why it’s so important to have your own agent who can explain the fine print. You NEED a pro in your corner to advocate for you, negotiate on your behalf, and make sure your best interests come first. Remember the agent that represents the builder has their best interests in mind.

Bottom Line:

Let’s talk about what you’re looking for and see if a newly built home is the right fit for you.

Questions about buying or selling a home in Beaverton? Contact me! 503.583.3200 or email donna.meeuwsen@exprealty.com.