#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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17124 N 50th Way Scottsdale, AZ 85254

$699,999 - 4Br/3Ba -  for Sale in Arabella Parcel 1, Scottsdale
New
$699,999
4 Beds
2.5 Baths
2,316 SqFt
Status Active
MLS # 6780649
Property Type Townhouse
Price Type --
An exceptional opportunity to own the only four-bedroom home currently on the market in this community under $700,000! Situated on a quiet street with no neighbors across, enjoy breathtaking mountain views from the upstairs bedrooms. Easy low maintenance backyard with new artificial turf. Brand new water softener installed this past year. Don't miss out on your chance to own in the ''magic zip code'' 85254 AND the beautiful GATED community of Arabella!

193 E Saddle Mountain Road Payson, AZ 85541

$699,999
3 Beds
2 Baths
1,632 SqFt
Status Active
MLS # 6772259
Property Type Single Family Residence
Price Type --
Welcome to the delightful getaway at Kohl's Ranch/Kohl's Tonto Creek Ranch! Picture yourself lounging on the back deck, soaking in the hot tub while serenaded by the sweet sounds of the creek and waterfall—pure bliss! This gem boasts jaw-dropping views and all the privacy you could wish for, with 3 cozy bedrooms, 2 bathrooms, and a garage that's basically a workshop playground plus a quad garage for all your toys. Fully fenced and looking fabulous, it features a fancy double-gated entrance and a paver driveway that would make any driveway jealous! With a new roof (2019), custom front door, and new Anderson windows, this place is all about style. Cozy up next to the pellet stove, or whip up culinary masterpieces with modern stainless kitchen appliances and a gas range. And let's not forget the spa tub Jacuzzi for the ultimate relaxation! What more could you ask for?

2932 N Skylight Drive Kingman, AZ 86401

$699,999
3 Beds
2 Baths
2,100 SqFt
Status Active
MLS # 6666432
Property Type Manufactured Home
Price Type --
36acres fenced w controlled access, exquisite escape with luxury! 3/2/4 Large home, wrap around deck, lots of patio with a jacuzzi built into the deck, Patio has Sauna, large fire pit, barbeque kitchen area, gazebo with lights and shades. Shooting stations located throughout the property. Huge steel garage with luxurious executive office and very modern alternative communication systems, weather monitoring etc. RV pad w full hookups. Additional Shed on the property for out of the way storage. Stargazers paradise on the top of the hill with unlimited views. Additional covered parking for tractor and a government Humvee, RV hookups. This 2100 sq foot SanteFe home has been significantly upgraded, top of the line custom kitchen and bath cabinets throughout in 2018. built in wine fridge and all appliances incl. Travertine Stone flooring in 2019. Addl patio added in 2019, pavers with concrete installed under the pavers. New Quartz countertops throughout make this a spectacular custom kitchen with a double-sized kitchen island (seats 6 easy). Glass front display cabinets face one of the two living rooms, for beverages, glassware displays etc.. Large laundry/pantry area has storage for those once a month grocery shopping adventures. Property is heated and cooled with a traditional forced air HVAC unit. The property is fenced with an automatic open/close ranch gate. This property has a significant amount of hard surface area all around the home and garage, very unusual for a rural property. Concrete sidewalks, paver patios etc. The views from the property are truly breathtaking, a trip to the top of the hill is a remarkable adventure. The property is very secluded, but only two short miles from the paved I-40. There are water hydrants sprinkled throughout the property. The flagpole has significant lighting so your flags can fly after dark! The large steel garage has a climate controlled safe room within it. There are security cameras and cell repeaters/extenders on the property. UPS, FedEx deliver to this home. USPS at the cluster boxes you pass on the way to the property. Private well is located near the garage. There is real power to the home and the garage with a 22kW backup generator. Addl 36ac property available adjacent to this listed separately. Real power could be extended to the other pad and well could be shared.

10499 E Fanfol Lane Scottsdale, AZ 85258

$699,999
3 Beds
2 Baths
1,934 SqFt
Status Active
MLS # 6708253
Property Type Single Family Residence
Price Type --
BACK ON MARKET- FELL OUT OF ESCROW DUE TO FINANCING. This home is located in the highly desirable area of gated community Scottsdale Ranch. located near major freeways, highly rated Scottsdale schools, major shopping areas and the Mayo Hospital. Home has new HVAC System, stove, refrigerator and washer dryer. 3 bedroom and 2 bath home with play pool to cool off on the Arizona summers. Travertine tile and wood vinyl plank flooring. Walk in dual shower head in primary surrounded by Italian travertine tile. This home is a must see.

7326 E Portland Street Scottsdale, AZ 85257

$699,999
4 Beds
2 Baths
1,741 SqFt
Status Active
MLS # 6744851
Property Type Single Family Residence
Price Type --
PERFECT Rental! This rare gem in Scottsdale boasts 4 bedrooms plus a den, a 2-car garage, and a refreshing pool. Inside, discover an inviting open-concept layout complemented by sleek concrete floors, exposed metal beams. The kitchen is a culinary paradise, featuring stainless steel countertops, backsplash, and appliances, along with ample white cabinetry. Renovated bathrooms offer modern tile work and fixtures. The spacious master suite grants access to the backyard oasis, complete with a sparkling pool, and covered patio with a bar area. Situated in downtown Scottsdale, it's conveniently close to Fashion Square, dining, entertainment, and major attractions like the botanical gardens and the Phoenix Zoo and spring training stadiums! A rare blend of luxury and convenience.

16416 S 16th Lane Phoenix, AZ 85045

$699,999
4 Beds
2.5 Baths
2,705 SqFt
Status Active
MLS # 6747150
Property Type Single Family Residence
Price Type --
Welcome to your dream desert retreat! This exceptional property offers breathtaking sunset views of the majestic desert mountains. Enjoy mountain views and sunsets from your back yard Oasis where the desert mountains provide a stunning backdrop to your daily life. This house is ready to go with all new ANDERSON windows and sliders. New roof in 2024, interior and exterior paint in 2024 and new carpet. This house has a 913 sf permitted addition giving you over 2,700 total SF. This 4 bedroom and 2.5 bath also has his and her offices. The back yard resort is complete with a glass tile pool. Come out and see this move in ready home. Best thing is this is all in a one story home. Easy freeway access to go to the West side or East side of the Valley. Large interior and exterior living space.

40676 N Cape Wrath Drive San Tan Valley, AZ 85140

$699,999
5 Beds
3 Baths
2,762 SqFt
Status Active
MLS # 6750280
Property Type Single Family Residence
Price Type --
This 2,761 sqft home in the desirable Castigate community offers 5 bedrooms, 3 baths, a 3-car garage, w/ side RV gate & sits on a spacious 12,095 sqft. lot w/ ultimate privacy w/ no neighbors behind. The kitchen features granite countertops & stunning sunrise & sunset views. The backyard is perfect for entertaining, w/ a fenced-in pool and extended covered patio. Additional upgrades include owned solar, an EV-ready with 2 RV plugs, a house water filtration system w/ UV lamp & so much more! This home is also located within close proximity to the LG plant.

7279 E Sunset Sky Circle Scottsdale, AZ 85266

$699,999
2 Beds
2 Baths
1,986 SqFt
Status Active
MLS # 6763919
Property Type Townhouse
Price Type --
Be amazed by this 2-bed townhome in the Winfield Resort Community! This community offers fantastic amenities like pool, clubhouse, workout facility, & many more. First time on the market. Original Owner so very well maintained North/South exposure. Living/dining room has a bay window, while a media niche & fireplace in the family area. Large kitchen with lots of cabinets. This home is being sold through sellers trust so please give 24 hours for response on any offers. Easy to show.

6603 E Cibola Circle Prescott, AZ 86303

$699,999
3 Beds
2.5 Baths
3,296 SqFt
Status Active Under Contract
MLS # 6691004
Property Type Single Family Residence
Price Type --
Here is nearly 3400 Sq Ft of Quality construction with Panoramic VIEWS of the Bradshaw Mountains, Bill Williams, Mingus, San Francisco Peaks, & the Stoneridge Golf Course with hard surfaced access so you can keep your toys clean!!! Featuring an Open/Split Floor Plan with 3 Bedrooms, 2.5 Bathrooms, 2 Car Drive under Garage + 32' x 32' Detached 2.5 Car Garage in addition to Formal Dining Room & Huge Rec Room. Home has Excellent Curb Appeal with New Exterior Paint & Newer Roof, & Sun Screens. Upon entering find Beautiful ¾'' Oak Flooring, 2 Tone Paint, Ceiling Fans, Central Vac, Skylights, Carpet in Bedrooms, & Tile flooring in Bathrooms. Kitchen is well appointed with Oak Cabinetry, Corian Countertops, New Stainless Steel Appliances Inc. Fridge, Convection Oven, Dishwasher, Micro, & has Eat In Kitchen Area. Master is Spacious with Dual Sinks, Large Shower, Crown Molding, & Huge Walk-In Closet. Other amenities include New boiler for Energy Efficient Radiant In Floor Heating, Jacuzzi Jetted Tub, Security Screen Door, Laundry off Master w/Washer & Dryer Conveying + Lower Laundry Room, Office w/Powder Room, 6 Person Hot Tub on Lower Patio, & has a strong 1.7 GPM Well with 300 gallon Storage Tank that has never been an issue.

15053 N 102nd Way Scottsdale, AZ 85255

$699,999
3 Beds
2 Baths
1,552 SqFt
Status Active Under Contract
MLS # 6736587
Property Type Single Family Residence
Price Type --
Don't miss this beautiful home with amazing upgrades in McDowell Mountain Ranch. Take in the beautiful mountain views while enjoying the very private backyard. Split floor plan with a kitchen that opens to the great room. Kitchen has lots of cabinets and drawers plus an island for additional seating. Upgraded flooring throughout the home. Master bathroom boasts a gorgeous beach front shower and double sinks. Spacious secondary bedrooms as well. Excellent schools, close to parks, shopping, restaurants, golf, hiking, wilderness trails near backyard, waterpark, Westworld and much more.

8355 E Catalina Drive Scottsdale, AZ 85251

$699,999 - 3Br/2Ba -  for Sale in Scottsdale Estates 16 Lots 2440-2447, 2487-2503, Scottsdale
Open House
$699,999
3 Beds
2 Baths
1,656 SqFt
Status Active
MLS # 6746598
Property Type Single Family Residence
Price Type --
LISTED BELOW APPRAISAL! This complete remodel sits on a 9,000+sqft cul-de-sac lot in desirable Old Town Scottsdale. Roof, A/C, ductwork, plumbing, insulation, electric, lighting, flooring, kitchen & bathrooms all brand new in 2018. There isn't one inch of this home that hasn't been remodeled! Ceilings were raised, you won't find that in most of the homes in this area! Tuff shed in back will ensure extra storage and room for your belongings. Soft water system & RO system are owned and new from 2019. See upgrades list under documents for full list of items! You don't want to miss this one!

760 E Betsy Lane Gilbert, AZ 85296

$699,995
4 Beds
3 Baths
2,360 SqFt
Status Active Under Contract
MLS # 6770212
Property Type Single Family Residence
Price Type --
This stunning 4-bedroom, 3-bath modern home, built in 2020, offers a perfect blend of style and efficiency. The gourmet kitchen features sleek quartz countertops, a gas stovetop, elegant shaker cabinets and a Reverse Osmosis water filtration system. The open floor plan flows seamlessly to the living area, enhanced by oversized sliding patio doors that lead to a brand new pool, perfect for outdoor entertaining. Energy-efficient with fully paid-off solar panels, this home is move-in ready. Furniture is available for purchase, making it even easier to settle in and start living the dream. Don't miss this exceptional opportunity!

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