#1 Answer to the Housing Shortage: New Construction

The biggest challenge to today’s housing market is the shortage of housing inventory for sale. A normal market would see a six-month supply of homes for sale. Currently, that number is below four months. This is the major reason home prices have continued to appreciate at higher levels than historic averages.

The good news is that builders are now starting to build more homes in lower price ranges.

Builder Confidence is Up

The Housing Market Index from the National Association of Home Builders (NAHB) reveals that builder confidence increased last month. HousingWire quoted NAHB Chief Economist Robert Dietz about the reason for the increase in confidence amongst builders.

“The HMI measure of future sales conditions reached its highest level since June 2005, a sign of growing consumer confidence in the new home market. Especially as existing home inventory remains tight, we can expect increased demand for new construction moving forward.”

Builders are Meeting the Needs of Today’s Purchaser

Builders are not only jumping into the market – they are doing a better job of matching current demand. The Wall Street Journal recently reported:

“In a shift, new households are overwhelmingly choosing to buy rather than rent. Some 854,000 new-owner households were formed during the first three months of the year, more than double the 365,000 new-renter households formed during the period, according to Census Bureau data.”

The WSJ article went on to say:

“Home builders are beginning to shift their focus away from luxury homes and toward homes at lower price points to cater to this burgeoning millennial clientele.”

The graph below compares 2016 to 2017 new construction sales by price point. As we can see, builders are slowly beginning to shift to prices more favorable to the first-time and non-luxury buyer.

#1 Answer to the Housing Shortage: New Construction | Simplifying The Market

Bottom Line

There is a drastic need for a larger supply of home inventory to meet the skyrocketing demand. Builders are finally doing their part to help rectify this situation.  If you are exploring the real estate market for a new build or a resale home, give me a call for more information – J.P. Cook – 602-320-4253.

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16647 W Stoneridge Court Surprise, AZ 85387

$875,000
2 Beds
2.5 Baths
2,627 SqFt
Status Active Under Contract
MLS # 6762525
Property Type Single Family Residence
Price Type --
Stunning 2,627 sq.ft. home in the desirable community of The Grand. 2 bdrm, 2.5 bath + office & flex/craft room. 550 sq.ft. addition to create a master bath spa-like retreat, complete with a multi-head steam shower & fireplace. This home has been upgraded to the nines. Kitchen has quartz counters, painted cabinets & a new oven (2/24). Interior ceiling & walls painted 2022. Two closets in master. 3 fireplaces. A very private Grotto like backyard with a large pergola covered patio (textured & painted 2024) with water feature & built-in BBQ. Sparkling pool & gorgeous sunsets. All landscaping on a timed drip system. Pavers on driveway and front courtyard. Oversized 1/3 acre lot. OWNED solar. Newer HVAC. See Documents tab for complete list of upgrades & features. This home is a MUST SEE!

3902 W Ruby Way Queen Creek, AZ 85142

$875,000
4 Beds
3.5 Baths
2,900 SqFt
Status Active
MLS # 6762536
Property Type Single Family Residence
Price Type --
Step into model-quality elegance and come see this stunning SINGLE LEVEL home in Queen Creek, AZ! This immaculate property is just over a year old and boasts 4 bedrooms, 3.5 bathrooms, and a 4-car garage. Situated on a corner lot bordering green space, this home offers the perfect blend of privacy and access to nature, with nearby hiking trails and shopping just minutes away. Inside, you'll find ceiling-height cabinetry, quartz countertops throughout, and no carpet, providing a sleek, modern look with upgraded lighting and smooth-finish drywall. The open-concept kitchen is a chef's dream with its spacious layout and modern finishes, perfect for entertaining. The large flex space offers versatility for a home office, gym, or media room. The outdoor space is an entertainer's paradise, featuring a brand new pool, outdoor kitchen, fire pit, and low-maintenance turf. Whether you're relaxing by the fire or hosting a summer barbecue, this backyard has it all. Move-in ready, this home is your opportunity to enjoy Arizona living at its finest. Don't miss out on this incredible homeschedule your showing today!

20480 N 272nd Avenue Buckeye, AZ 85396

$875,000
2 Beds
2.5 Baths
2,489 SqFt
Status Active
MLS # 6762558
Property Type Single Family Residence
Price Type --
Welcome to a Stunning Property on Copper Canyon Golf Course. This COMPLETELY REMODELED Endeavor is a RARE FIND! The 2,489 sq ft home sits on a PREMIUM ELEVATED LOT overlooking the Vista 5 Green. Views from this 10,252 sq ft lot are amazing and the outdoor living area space provides your own private BACKYARD PARADISE. Step into an impeccably maintained home providing LUXURY LIVING at its finest. Elegance begins at the gated courtyard with seating area and water feature. An EXQUISITE INTERIOR boasts Wide Plank European Oak Wood Flooring throughout, w/5'' Baseboards and a Chef's Dream Kitchen with quartz countertops, tiled backsplash, & granite sink. Shiplap walls and tastefully placed wallpaper add modern charm in all the right places. The Dining Room and garage both have 2' Extensions and the Owner's Suite graces a Bow Window Extension showcasing the Backyard Oasis. Every detail of this Dream Home has been mindfully created: Owner's Suite w/ tiled shower, dual sinks & large closet, Guest Room w/Ensuite, Den w/ Custom Barndoor, a 7' x 9' air-conditioned Storage Area accessible within the garage space, Updated Landscaping w/New Built-in BBQ, Extended Travertine Pavers, Gutters, 2 Soothing Water Features, Patio Sunshades, Amazing Sunsets and SO MUCH MORE. This unique home located in the heart of an Exclusive age-restricted golf community with world-class amenities is a MUST SEE!

4276 E Meadowview Drive Gilbert, AZ 85298

$875,000
3 Beds
2.5 Baths
3,259 SqFt
Status Active
MLS # 6764114
Property Type Single Family Residence
Price Type --
***Veterans - Assume This 2.75% Interest Rate***Welcome to the epitome of luxury at Seville Golf & Country Club! Imagine stepping into a single-level sanctuary where elegance and comfort blend effortlessly. Sunlight pours through the open floor plan, highlighting a gourmet kitchen made for culinary adventures and a spacious living area, perfect for gatherings, laughter, and peaceful mornings spent sipping coffee. Outside, a sprawling half-acre invites unforgettable outdoor moments or a serene private retreat. With a three-car garage, there's room for all your passions & projects. Seville's resort-style amenities await for members: golf, sparkling pools, tennis courts, & vibrant clubhouse for relaxing or brunching with friends. This isn't just a home; it's the lifestyle you've dreamed of.

394 W Azalea Drive Chandler, AZ 85248

$875,000
5 Beds
3.5 Baths
4,115 SqFt
Status Active
MLS # 6765610
Property Type Single Family Residence
Price Type --
Luxury, Space, and Unbeatable Value—Your Dream Basement Home Awaits! Discover over 4,000 sqft of pure elegance and value in the coveted Avalon at Dobson Crossing. This rare basement home, priced over $100K below comparables, offers everything you need for ultimate living and entertaining: 5 spacious bedrooms, 3.5 bathrooms, a private office, and a fully equipped basement kitchen with a projection screen for epic movie nights. Dive into your private pool with a stunning waterfall and enjoy the convenience of a 3-car garage. Zoned for top-rated schools like Basha Elementary, Bogle Junior High, and Hamilton High, this is a rare find you don't want to miss. Come check it out TODAY!!!!

3853 N Sidney Street Buckeye, AZ 85396

$875,000
4 Beds
3.5 Baths
3,203 SqFt
Status Active
MLS # 6766418
Property Type Single Family Residence
Price Type --
A Rare Gem in Verrado's Main Street District - Discover the perfect blend of desert charm and modern convenience in this beautifully maintained T.W. Lewis home. Offering 3,203 sq. ft. of living space, this single-story home features 4 bedrooms, 3.5 bathrooms and is ideally located within walking distance of Verrado's amenities. Situated on an exceptionally private lot with only one adjacent neighbor, this home directly borders the Lost Creek wash, providing serene wildlife views and direct access to Verrado's extensive walking and biking trails. This home has been meticulously cared for and thoughtfully upgraded. The HVAC system was replaced in 2021 and a new gas hot water heater was installed in 2020. In 2024, the roof underlayment was replaced and comes with a 10-year transferable.... warranty. Additionally, the home features a fully owned solar system installed in 2017 that is grandfathered into APS's favorable billing program, offering significant energy savings with no transfer fees. The exterior exudes curb appeal, complete with mature landscaping, a real grass lawn, and a stunning stone facade. The paver driveway, charming patio, and a distinctive speak-easy style front door complete the inviting exterior. Inside, the spacious living areas are highlighted by premium Italian wood-look tile, combining elegance with easy maintenance. The eat in kitchen is a chef's dream, boasting rich wood cabinetry, high-end appliances, and a large granite island perfect for gathering. Adjacent, the family room features a custom media wall with stone accents and a gas fireplace. A large Pella sliding glass door was added in 2021 to seamlessly connect the living area to the resort-style backyard. The primary bedroom suite offers a peaceful retreat with a large bathroom featuring a walk-in shower, soaking tub, dual vanities, and a generously sized walk-in closet with custom built-ins. The guest bedrooms provide exceptional versatility, including a secondary primary suite with a private bath, walk-in closet, and sitting area. Another bedroom also includes an ensuite bath, while the fourth bedroom is fitted with a California Closets Murphy bed and desk, perfect for dual functionality. The thoughtfully upgraded backyard is truly the highlight of this home, offering the perfect space for both relaxation and entertainment. The heated pool allows for year-round enjoyment, with multiple areas for sunbathing or retreating into the shade. A built-in gas BBQ island adds space for outdoor dining, while a productive citrus grove provides fresh fruit right from your yard. The large, covered patio is equipped with a misting system that will keep you cool during the warmer months. Surrounded by natural desert landscaping and native plants, the space creates a peaceful, serene environment that truly embodies the beauty of the desert. Homes like this don't come up for sale often. Don't miss your chance to make this one yours. Buyers are responsible for verifying the accuracy of all information and should investigate the data themselves or retain appropriate professionals.

8414 E Stella Lane Scottsdale, AZ 85250

$875,000
3 Beds
3 Baths
2,471 SqFt
Status Active
MLS # 6766891
Property Type Single Family Residence
Price Type --
Seldom found Ambassador model by Hallcraft who featured it in the ''Showcase Series'' introduced in 1967 as an upscale home. As a 1 owner home it has has been lovingly cared for and beautifully maintained. This 3-bedroom, 2.75-bathroom home is priced to sell and situated in the heart of Scottsdale, near SCC, Salt River Fields, top shopping destinations, restaurants, the 101 Freeway, and Old Town. The unique, multi-level floorplan offers four distinct levels of living space, great for any lifestyle. The formal dining room is perfect for entertaining, while the large living room boasts a cozy fireplace for relaxation. Additionally, the open-concept family room flows seamlessly into the kitchen for easy, everyday living. Enjoy a second fireplace in this fantastic finished basement ideal for a family game room, home office, or even additional sleeping quarters. The low-maintenance backyard is complete with a sparkling diving pool and a covered patio perfect for Arizona's sunny days. NO HOA Don't miss out on this gem

8401 E Monterey Way Scottsdale, AZ 85251

$875,000
3 Beds
3 Baths
2,139 SqFt
Status Active
MLS # 6767330
Property Type Single Family Residence
Price Type --
Beautifully remodeled 3 bedroom 3 bath home with vaulted ceilings and curved wall features throughout. The inviting layout includes a living room and open concept family room/kitchen. The gourmet kitchen is a chef's dream with custom maple cabinets (under cabinet lighting), high end appliances including pot filler and custom quartz counters with full back splash. The stylish primary suite has custom crown molding, carpet flooring, built in dresser, and custom walk-in closet w/ security safe. The primary bathroom has dual sinks, jetted tub and walk in glass shower. Backyard features 40 foot covered patio w/pressurized misting system and outdoor kitchen which includes a BBQ grill, sink, pizza oven & fire pit. Garage has AC mini split and RV access is thru back alley. New water softener & hot water circulation pump just added. Tool shed and garage not available to see, due to owners need for storage at this time.

28253 N Quintana Place San Tan Valley, AZ 85144

$875,000
4 Beds
4 Baths
3,037 SqFt
Status Active Under Contract
MLS # 6768340
Property Type Single Family Residence
Price Type --
Welcome to this exquisitely upgraded residence situated on a one-acre parcel in Quintana Hill Estates, a premier gated enclave boasting paved streets and breathtaking panoramas. This superior home features four spacious bedrooms and four bathrooms across 3037 square feet, including a bedroom and bathroom within the attached casita. The expansive great room layout is ideal for entertaining, complete with a private bedroom, bathroom, wet bar, and living space in the casita for guests. Culinary enthusiasts will delight in the generous white shaker-style cabinetry, topped with 42'' uppers and elegant crown molding, complemented by white Quartz counters, a chic tile backsplash, stainless steel built-in appliances, a sizable walk-in pantry, and an island with a breakfast bar and stylish pendant lighting. Glass sliding doors from the great room open to a covered patio and an extensive backyard featuring mountain vistas, a storage shed, block fencing, and a side yard with a 14' RV gate. The master suite boasts a spa-like bathroom with a dual-sink vanity, a standalone soaking tub, a zero-threshold shower with a glass enclosure, and a vast walk-in closet. Additionally, one of the secondary bedrooms includes an en-suite bathroom with a walk-in closet. Unique builder upgrades distinguish this home, such as durable synthetic stucco, spray foam insulation, Pella windows, lofty 10' ceilings, and 5 baseboards. Other amenities include plantation shutters, tasteful neutral paint, and recessed lighting throughout; plank tile flooring in common areas, carpeted bedrooms, laundry room cabinetry, a front courtyard crafted to embrace the stunning vistas of mountains and city lights, a three-car side-entry garage with a wide driveway, and much more.

7810 N 16th Lane Phoenix, AZ 85021

$875,000
3 Beds
2 Baths
2,513 SqFt
Status Active
MLS # 6768495
Property Type Single Family Residence
Price Type --
New, beautiful dark grey roof installed 2024, plumbing upgraded 2024, new electrical panel added 2024! This property features a tastefully renovated chef's kitchen adorned with quartz countertops, antique brass finishes, gas range, wine fridge and bar area. Upon entering you are greeted by the cozy formal living room with fireplace which then transitions into the open concept kitchen and expansive great room. French doors connect the great room to the large outdoor patio which offers optimal space for entertaining. The lush green yard includes a 2023 sprinkler system and has plenty of room for the addition of a pool. Additional upgrades include; a new 2022 HVAC system, new flooring in 2020, 2020 kitchen remodel, bathrooms upgraded in 2020, 16 new windowpanes and seals installed in 2024. door opener and 16 new windows to be installed mid-March, water softener, RO system and more.

4336 E Encanto Street Mesa, AZ 85205

$875,000
4 Beds
3 Baths
3,061 SqFt
Status Active
MLS # 6770303
Property Type Single Family Residence
Price Type --
Nestled in the prestigious Summit at Montecito, this stunning residence offers the perfect blend of luxury, comfort, and modern living. Boasting 4+ spacious bedrooms, 3 elegant bathrooms, and an impressive 1/3 acre parcel, this residence is truly exceptional. The family room showcases soaring vaulted ceilings and seamlessly connects the dining and kitchen areas with an elegant fireplace, creating an inviting space for relaxation and entertaining. The gourmet kitchen is a chef's delight, featuring dual ovens, walk-in pantry, stainless steel appliances, and a large island. The master suite is a true retreat, complete with two walk-in closets, a spa-like ensuite bathroom featuring a soaking tub, separate shower, and dual vanities. Each additional bedroom is generously sized, offering ample space in each with a jack-and-jill bathroom. Step outside to your private backyard oasis, where you'll find a heated pool and spa perfect for year-round enjoyment. The covered grotto provides a serene spot to relax, surrounded by mature citrus trees and grass. A covered patio and additional patio with gas and electric hookups, perfect for an outdoor kitchen or entertainment area. The space is beautifully accented with gas lanterns, adding a touch of elegance and charm to your evenings. The home also includes a two-car garage, a multitude of additional parking spaces and plenty of storage space.

6126 N 13th Place Phoenix, AZ 85014

$875,000
3 Beds
3 Baths
2,222 SqFt
Status Active
MLS # 6770333
Property Type Single Family Residence
Price Type --
Updated and remodeled home in great North Central neighborhood. Ranch style home on huge lot. Home was completely remodeled and expanded in 2017. Hardwood floors throughout. Large kitchen with island is open to great room with vaulted ceilings and gas fireplace. Primary bedroom with large walk-in closet is split from other rooms. 2nd primary with private bathroom. Den could be used as a 4th bedroom but no closet. Large covered patio and huge grassy backyard. Madison Schools.

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