#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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4015 E Longley Drive Flagstaff, AZ 86004

$660,000
3 Beds
2 Baths
1,520 SqFt
Status Active Under Contract
MLS # 6720299
Property Type Single Family Residence
Price Type --
Welcome to this totally remodeled home. Situated in the tranquil Fox Glenn neighborhood on a cul-de-sac. This home offers a perfect blend of comfort and convenience. The well-appointed kitchen is equipped with modern appliances, newer hard surface counters and a large breakfast bar providing an ideal space for cooking enthusiasts. Walk into the living room with its Spanish Arches giving it a feel of modern luxury equipped with a wet bar and a fireplace. A nice size Primary suite with 2 closets. Both bathrooms are remodeled. The large back yard with a newer covered patio perfect for grilling. New driveway and all new exterior paint and siding in 2022. Located by Fox Glenn Park and walking distance to schools. This is a must see! Also a covered Front Porch for Mountain View

22761 E Poco Calle Street Queen Creek, AZ 85142

$660,000
3 Beds
2 Baths
1,868 SqFt
Status Active
MLS # 6726064
Property Type Single Family Residence
Price Type --
Welcome to your dream home! This stunning, turn-key ready residence is nestled in the heart of the sought-after Meridian neighborhood in Queen Creek known for its serene atmosphere and picturesque surroundings. Meridian offers a perfect blend of suburban tranquility and modern amenities such as a community pool, a splash pad, as well as beautifully landscaped parks and walking trails! Step inside to discover an open-concept floor plan adorned with high-end finishes. The gourmet kitchen features stainless steel appliances, a beautiful stone wall backsplash, quartz countertops, custom cabinetry, updated light fixtures and a spacious island perfect for entertaining. The living area is bright and inviting with multi-slide pocket door allowing you to bring the inside out with a seamless transition to your incredible backyard featuring a custom heated pool with negative edge spa, marble decking, and basalt water feature wall! Retreat to the luxurious master suite, complete with a spa-like en-suite bathroom featuring a tiled glass-enclosed shower, a dual vanity sink and a large walk in closet. Additional bedrooms are generously sized, offering ample space for family and guests. Additional highlights include a home office and a two-car garage with extra built in storage space. Conveniently located near top-rated schools, shopping, and dining, this home truly has it all.Don't miss the opportunity to make this exceptional property your own!

2524 Old Rim Road Forest Lakes, AZ 85931

$660,000
3 Beds
2 Baths
1,939 SqFt
Status Active
MLS # 6727059
Property Type Single Family Residence
Price Type --
Charming Cabin in Forest Lakes - A Mountain Paradise! Welcome to your dream cabin nestled in the heart of Forest Lakes! This enchanting 3-bedroom, 2-bathroom retreat boasts a large great room with dramatic vaulted ceilings, seamlessly adjoined by a formal dining space featuring a cozy pellet stove. The spacious kitchen is complemented by a large interior laundry room with pantry shelves, providing ample storage and convenience. The cabin's sturdy metal roof and large detached toy garage with a roll-up door and side service door are perfect for housing your side-by-side or boat. Relax and unwind on the expansive covered front patio, surrounded by apple trees laden with fruit, and towering mature blue spruce and Ponderosa pine trees, creating your own private enclave. see more... Equipped with a backup generator and featuring numerous seller-made improvements((see a complete list of seller's improvements below) including foam insulation, new doors to the back patio, and a new 200-amp electric service panel, this cabin is ready for all seasons. Enjoy the proximity to the Sitgreaves National Forest, just a few steps down the trail from your backyard! Forest Lakes, an island in the middle of the forest, is home to the world's largest stand of Ponderosa Pine trees. Residents enjoy a 4-season climate with the best summertime weather, just a scenic 2-hour drive from the Phoenix Valley. Escape the heat and discover the serene beauty of this coveted cabin getaway location. Experience the perfect blend of nature, tranquility, and modern amenities in this exceptional Forest Lakes cabin. Don't miss this rare opportunity to own a piece of mountain paradise! List of Seller's improvements: 2 water heaters replaced 2 years ago New footer around non-concrete foundation with new insulation and sealing done underneath floor All new flooring & carpets New stairs & handrails Foam insulation, drywall and can lighting upstairs New front entry & 2nd bathroom doors Replaced all single pane windows with dual pane Generator purchased 7 years ago (automatic switch) Sealed and foamed connection point between original cabin and add-on Installed linen closet in front bathroom Installed can lighting in dining room/living room area Installed ridge beam & supports Framed out for skylight in 3rd bedroom Replaced window with sliding arcadia door & spray foam leading to backyard Installed pellet stove Grated & pea gravel on driveway 14x20 ATV garage/shed Removed 25 over-crowded trees Removed French doors in Owner's suite & replaced with window & spray foamed wall Ecobee Wi-Fi enabled thermostat & front door monitor

2890 E Fandango Drive Gilbert, AZ 85298

$660,000
4 Beds
3 Baths
2,573 SqFt
Status Active
MLS # 6729334
Property Type Single Family Residence
Price Type --
Charming 4 bed, 3 bath, with a Den Home with a Low-Maintenance Backyard and Modern Upgrades. Welcome to this delightful residence that combines comfort, style, and convenience. Nestled in the prestigious neighborhood of Seville, this home offers the perfect blend of functionality and aesthetics. Step inside to discover an open-concept layout flooded with natural light. The living room seamlessly flows into the dining area and kitchen, creating an inviting space for entertaining. Retreat to your private sanctuary. Recently updated master bath boasts a spa-like feel with a walk-in shower, dual sinks, soaking tub and a huge walk in closet big enough for everyone's clothes. Spend more time enjoying your backyard and less time on yard work with drought-tolerant landscaping, a cozy patio, and space for outdoor gatherings. Close to parks, shopping centers, and major highways, this property offers easy access to everything you need. This home will not last long!

3628 W Pecos Road Chandler, AZ 85226

$660,000
4 Beds
3 Baths
2,231 SqFt
Status Active
MLS # 6732316
Property Type Single Family Residence
Price Type --
Your dream home is here! This 2022 CUSTOM build offers 4-bedroom, 3-bath with a 3-car garage, RV gate with power outlet and sewer dump. NO HOA! Its beautifully landscaped from front to back with an inviting porch. Inside, enjoy an open floor plan with soaring 10-foot ceilings, recessed lighting, and stylish wood-look tile flooring. The gourmet kitchen has granite countertops, ample white cabinets with crown molding, chic pendant lighting, a tile backsplash, stainless steel appliances, a large walk-in pantry, and a two-tier island with a breakfast bar. The main bedroom offers plush carpeting, a luxurious ensuite with dual sinks, and a spacious walk-in closet. Relax in the backyard oasis with a covered patio, pavers, and low-maintenance artificial turf. Make this exceptional home yours toda

36601 N Mule Train Road Carefree, AZ 85377

$660,000
2 Beds
3 Baths
1,970 SqFt
Status Active
MLS # 6747936
Property Type Townhouse
Price Type --
Very nice downstairs condo in a beautiful well kept gated community. It features 2 large bedrooms, 3 full baths and a den/office. Newer tile, SS appliances and A/C in the larger part of the condo. 2 covered patios to enjoy your morning coffee. This is a great place to live! Social events at the clubhouse all the time from Fall to Spring! Beautiful pool area with a hot tub and waterfall. Come check it out!

3820 Ridge Runner Way Wickenburg, AZ 85390

$660,000
2 Beds
2 Baths
1,959 SqFt
Status Active
MLS # 6751381
Property Type Single Family Residence
Price Type --
This stunning home at 3820 Ridge Runner Way in Wickenburg Ranch features 2 beds, 2 baths + den and a split floor plan with approximately 1950 sq. ft. of living space. The corner lot property's options include a 4' garage extension with epoxy flooring, retracting corner multi-slide glass doors leading from the living room and extended dining room onto the covered patio, Smart Space utility sink and upgraded flooring. Additional customized features include granite countertops throughout, full tile in showers and vanity areas, ceiling fans, pendant lights and golf cart plug-ins. The outdoor living space is enhanced by the extended tile onto the covered patio including a stone fireplace and newly installed matching BBQ area under a beautiful pergola. The kitchen offers elegant granite counters to promote a sleek and stylish workspace with upgraded soft close drawers and rollout shelves that provide ample storage and easy access to your kitchen essentials. The Smart Space laundry and desk area includes cabinets and a customized coat rack bench to ensure efficient multitasking and organization in your home. The home is situated near the 18-hole, par-71 championship golf course, recognized as one of Arizona's three best golf courses. The Club amenities cater to the diverse interests of its members. This home is a must-see to appreciate all the features too numerous to mention!

1405 W Pelican Court Chandler, AZ 85286

$660,000
4 Beds
3.5 Baths
2,892 SqFt
Status Active
MLS # 6754000
Property Type Single Family Residence
Price Type --
You are lucky to find this rare gem - A tranquil green area in the back with view fence, a walk deck, and a peaceful quiet cul-de-sac in the front. On top of that, you can WALK to the highly rated school. WOW! From the moment you step inside, BRAND NEW LVT tile welcomes you and flows seamlessly through the main areas. The gourmet kitchen is perfect for entertaining, featuring NEW white island contrasting with granite countertops, upgraded cabinets, and stainless steel appliances. The main master suite is conveniently located downstairs with a luxurious bathroom, a spacious walk-in closet, and a view of the beautiful desertscape backyard, complete with a covered patio adjacent to a large, well-maintained greenbelt. Upstairs, the dramatic staircase with footlights leads to a large loft and three additional bedrooms, including a second master suite with its own bathroom and a balcony overlooking the back. The home boasts ample storage with a huge under-stair closet and three pantries. Conveniently located near shopping, parks, and a highly ranked elementary school, this home truly shows pride of ownership. With its modern open floor plan, super vaulted ceilings, and premium views of the mountains and greenbelt, this home is a must-see. The low-maintenance yard offers a front sitting area with a cul-de-sac view and a resort-style backyard. Move-in readywelcome home!

6231 E Kelton Lane Scottsdale, AZ 85254

$660,000
2 Beds
2.5 Baths
2,037 SqFt
Status Active
MLS # 6756144
Property Type Single Family Residence
Price Type --
Single level Open Floorplan in a Highly Desirable Neighborhood. This 2037 sq ft Patio Home offers Two Primary Bedrooms and an additional Den with half bath. Eat-in Kitchen, Formal Dining, and large Great Room with Fireplace, Wet Bar and access to a private patio with gated access to the expansive grassed common area. Second bedroom features en-suite bath. Recent remodel includes new energy efficient Windows, Window Coverings, All new Stainless Steel Appliances, Roof, Gutters, Water Softener, Reverse Osmosis, and complete remodel of guest suite bathroom. North South exposure. Quiet well manicured neighborhood with community pool and walking paths. Lots of storage.

22834 N 24th Street Phoenix, AZ 85024

$660,000
4 Beds
2.5 Baths
2,145 SqFt
Status Active Under Contract
MLS # 6756465
Property Type Single Family Residence
Price Type --
Beautifully updated 2-story home featuring 4 bedrooms, a loft, 2.5 bathrooms, and a 2-car garage. Enjoy the privacy of a gated pool and spa with no neighbors behind. The spacious master suite is filled with natural light and boasts a sliding barn door leading to the ensuite bathroom, which includes dual sinks, a large glass shower, and a walk-in closet. The open-concept family room offers ample living and dining space, flowing seamlessly into the kitchen with an island, stainless steel appliances, counter-to-ceiling tile backsplash, and a large walk-in pantry with a butler's pantry. Additional highlights include a convenient downstairs laundry room with extra storage and unique yellow metal lockers. Located near the shopping & dining of Desert Ridge & High Street, this home is also steps away from Mountain Trails Middle School and Boulder Creek Elementary, both top PV School District school. Move-in ready and designed for modern living!

7668 E Pleasant Run -- Scottsdale, AZ 85258

$660,000
2 Beds
2 Baths
1,590 SqFt
Status Active
MLS # 6758723
Property Type Townhouse
Price Type --
McCormick Ranch: Scottsdale's Premier Location! Located in the highly sought-after Pleasant Run subdivision, this turn-key home is ready for you—just bring your suitcase and laptop! Homes rarely come on the market in this area, and this one offers a spacious, open floor plan with NO INTERIOR STEPS. It features 2 bedrooms, 2 baths, a cozy fireplace in the living room, and a 2-car garage. The quiet, low-maintenance patio offers privacy with high walls, accessible from both the living room and the primary bedroom. The home is filled with natural light thanks to skylights throughout. All furniture is available with the home, making moving in a breeze! Enjoy the community amenities, including a pool, spa, tennis, and pickleball courts. The location is unbeatable: The garage has fresh epoxy floors. The Jacuzzi tub is sold AS IS. 20+ restaurants within walking distance Close to shopping, Diamondbacks spring training, resorts, casino, and nightlife 5 minutes from Loop 101 10 minutes to The Block, The Pavilions, Gainey Ranch, and The Entertainment District Bike to Tempe Town Lake or along the Discovery Trail (25 miles of scenic paths) Stroll around the beautiful lakes or golf at McCormick Ranch Golf Course. The possibilities are endless in this fantastic location!

17427 N Lindgren Avenue Sun City, AZ 85373

$660,000 - 3Br/2Ba -  for Sale in Sun City 54, Sun City
Open House
$660,000
3 Beds
2 Baths
2,294 SqFt
Status Active
MLS # 6759962
Property Type Single Family Residence
Price Type --
Location, location, north of Bell Rd and Lindgren. This golf course home with pool features many upgrades. From tiled drive way, cozy front court yard with new aluminum patio, ceiling fan, security door, and ring door bell. This home has many spaces for your hobbies without loosing space to entertain and has great lighting. As you enter will notice the vinyl wood planks through out, and plush carpet in the bedrooms. Remodeled kitchen has lots of cabinets and counter top space, new quartz counter tops, dark grey cabinets with white upper cabinets. Ss appliances including a convection microwave oven, wall convection oven & air fryer. This has a split floor plan with master bedroom having a his and her closet along with a custom tile shower and sliding door to go into the AZ room. Hobby/craft room features built in cabinetry, window shutter, and a custom light fixture. Also has an area for formal dinning or office space. New upgrade can lighting through out the home. The large Arizona room is air conditioned as home has 2 ac units one is 4 years old. You will love the plush berber carpet and all the lighting. Window have been tinted to reduce heat. As you go to the back yard you will love the amazing golf course views and large pool with the easy to upkeep landscaping, turf, and gravel. Side of yard has a new aluminum patio with pavers. Pool pump was recently replaced, new pool vac, and the diesel pool heater has not been in use. Garage has ample storage and has an air conditioned small work shop. You will not be disappointed with this home, as it has so many entertainment areas through out! Solar loan assumption payment of $277 monthly.

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