#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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7177 W Pontiac Drive Glendale, AZ 85308

$622,000
4 Beds
3 Baths
2,146 SqFt
Status Active
MLS # 6742966
Property Type Single Family Residence
Price Type --
MOTIVATED SELLER! ***PRICE REDUCED!! *** Welcome to your Beautiful Home in the HIGHLY desirable Lake Community of Sierra Verde in Arrowhead Ranch! OVER $100k in UPGRADES! This MOVE IN READY, NEWLY REMODELED 4-bed, 3-bath beauty offers a perfect blend of luxury and comfort. Features Include New Wood Tile Flooring, New 6-inch Baseboards, Newly Upgraded Bathrooms with Travertine Tile Floors, Showers w/Granite Counters & Custom Finishes. New Pool Equipment, Pebble Sheen Finish & Removable Pool Fence. Gourmet Kitchen with Granite Counters, Tile Backsplash, Stainless Steel Appliances, and a Convenient Coffee Bar. Freshly Painted in Neutral Tones Inside and Out! Ring Doorbell! Newer Hot Water Heater! The second floor boasts Engineered Wood Flooring & Designer Built Walk-in Closets Large yard with grass area and no homes directly behind for open feel and privacy! The epoxy-coated garage includes built-in cabinets, a workbench, and a new smart garage door opener. Refrigerator, washer, and dryer are included for your convenience. The community offers ample walking and biking paths, parks, and gorgeous lake views, while A+ Sierra Verde School is just a short walk away. Enjoy easy access to Thunderbird Conservation Park, Arrowhead Mall, P-83 shopping, dining, entertainment, and freeways for effortless commuting. With so many upgrades and a prime location, this home is an absolute must-see! Don't miss your chance to make it yours!

6798 W Andrea Drive Peoria, AZ 85383

$621,990 - 3Br/3Ba -  for Sale in Aloravita North Phase 3 Parcel 10, Peoria
Open House
$621,990
3 Beds
2.5 Baths
2,051 SqFt
Status Active
MLS # 6722958
Property Type Single Family Residence
Price Type --
Turnkey READY NOW-North/South Exposure. Experience the charm of Aloravita, nestled within the scenic mountains of Peoria. This community boasts breathtaking views and is conveniently located minutes away from shopping, dining, hiking trails and more! Our popular 'El Dorado' floorplan features 3 full bedrooms, 2.5 bathrooms, 2 Car-Garage and a private yard with views! Designer selected finish includes White Cabinetry, Quartz Kitchen Countertops, Wood Like Tile Throughout, and Plush Carpet in all the bedrooms. This beautiful home will have it all including 9' ceilings, Gourmet Gas Kitchen, Smudge Proof Stainless Steel Appliances, Blinds, Pre-Plumb for Soft Water, and Smart Home Technology. *Photos of similar spec to show layout, options will vary*

19016 W Rose Lane Waddell, AZ 85355

$621,915
6 Beds
3.5 Baths
3,159 SqFt
Status Active
MLS # 6770159
Property Type Single Family Residence
Price Type --
Amazing 2 story floorplan, Downstairs owners suite plus guest suite. Professionally decorated gourmet kitchen, quartz center island with stainless appliances, Wood plank tile in common areas, Quartz countertops, tiled backsplash, staggered Harbor cabinets, oversized great room and eat in kitchen, oversized laundry room. Massive loft upstairs, Jack & Jill bath. Enjoy the peaceful sunsets on your covered patio and mountain views. Plenty of room for everyone and extra space in the 3 car tandem garage. This home will be completed in December/January

10130 S Bickwell Trail Apache Junction, AZ 85120

$621,848
5 Beds
4 Baths
3,099 SqFt
Status Active
MLS # 6768168
Property Type Single Family Residence
Price Type --
Discover the exceptional difference in your home-buying experience! Welcome to Laurel at Blossom Rock, where our 2-story Ponderosa design w/ LIVE in SUITE is under construction now. Imagine an open-concept floor plan featuring a warm and welcoming kitchen that flows into a bright, airy great room. This space opens up to your private, extended covered outdoor room - perfect for relaxing or entertaining. With 5 spacious bedrooms, 3 luxurious baths, a great room with a dining area, and a flexible office space, this home has everything! Plus, we're including $81,000 in stunning upgrades to make this home truly special, and we're offering special financing to help NOW.

1781 E Vico Bella Luna -- Oro Valley, AZ 85737

$620,900
3 Beds
3 Baths
1,993 SqFt
Status Active
MLS # 6706136
Property Type Townhouse
Price Type --
Owner/Agent. This beautiful 2 story home is nestled at the base of the Catalina Mountains in the Exclusive Gated Community of La Reserve Villas. Featuring an Open floorplan w soaring ceilings, generous size Owner suite w separate vanities, walking closet/s, storage & more. 2 Guest Rooms w breathtaking views of the Mountains. Laundry Room w sink and abundant cabinetry. Contemporary Kitchen w Quartz countertops, SS Appl, Bkfast bar and RO system. Powder Room, recessed lighting, covered patio, Water Softener Sys, Rustic garage door/ epoxy floors, Tyvek Stucco and more. This luxury community borders Coronado Natl Forest & Catalina State Park. In close proximity to world-renowned resorts, golf courses shopping & restaurants, as well as Tucson's 'famous' Loop'': a 130-mile walking/biking path.

14133 S 179th Avenue Goodyear, AZ 85338

$620,000
3 Beds
2.5 Baths
2,920 SqFt
Status Active
MLS # 6765673
Property Type Single Family Residence
Price Type --
Welcome to Your Dream Lifestyle in This Stunning 2020 Energy-Efficient William Ryan Home! Step into this beautifully appointed, Energy Star-certified home and prepare to live your best life. Designed with energy efficiency in mind, the foam insulation will keep those high summer electric bills at bay while keeping you comfortable all year round. The spacious, open-concept floorplan is perfect for both everyday living and hosting lively gatherings. Imagine entertaining family and friends in the heart of the home—the kitchen! You'll fall in love with its elegant maple cabinets, sleek contemporary backsplash, large island, and luxurious quartz countertops. For the chef in you, there's a gas cooktop and wall convection oven/microwave to make meal prep a breeze. Natural light floods the home through the numerous windows, and with tile flooring in all high-traffic areas, the space feels airy, bright, and easy to maintain. When it's time to unwind, retreat to the expansive primary suite. This tranquil haven offers a spa-like experience with its fully tiled shower, dual vanities, and an oversized walk-in closet that conveniently connects to the laundry room for easy access. And speaking of laundryprepare to be wowed! The laundry room has been expanded into a massive hobby room or potential workout space, complete with additional cabinets and a utility sink, offering flexibility for your lifestyle. Storage is abundant throughout this home! With three linen closets (two of which are walk-ins), a coat closet, and walk-in pantry, you'll never run out of space. All bedrooms also feature their own walk-in closets, providing plenty of room for everyone. But wait, there's more! The backyard is an entertainer's dream. A spacious covered patio offers ample shade, perfect for enjoying Arizona's famous winter months. Nicely landscaped with a paved seating area and walkways that wrap around the entire home, you'll have plenty of space to relax, dine, and soak up the outdoors. And though there's no pool in the backyard, don't fret! You'll enjoy access to not one but two incredible residents' clubsStarpointe & Presidio. These resort-style clubs offer a full range of amenities, including restaurants, pools, fitness centers, and endless recreation opportunities. For the outdoor adventurer, Fins hiking and biking trails are just minutes away, and for those who love to unwind, Sip at the Ranch, a trendy local wine bar, is nearby. Essential conveniences such as grocery stores, Walgreens, Starbucks, and more are only seven minutes from your front door, making daily life easy and stress-free. This home isn't just a place to liveit's a lifestyle waiting to be embraced!

21033 W Skinner Road Wittmann, AZ 85361

$620,000
3 Beds
2 Baths
2,001 SqFt
Status Active
MLS # 6726891
Property Type Single Family Residence
Price Type --
Welcome to your dream home in Wittmann, AZ! This 2023 Grote new build is a testament to quality construction and thoughtful upgrades throughout. Step inside and be captivated by the elegance that surrounds you, from the beautiful granite countertops to the upgraded bathrooms and stunning tile work. The spacious and well-designed floor plan welcomes you, offering both comfort and style. Imagine entertaining guests in the heart of your home, the upgraded kitchen, where culinary creations come to life amidst the luxurious granite surfaces. Bathrooms have been meticulously designed, offering a blend of functionality and sophistication, perfect for your daily retreats. But the beauty of this home isn't confined to its interior.

14583 W Georgia Drive Surprise, AZ 85379

$620,000
4 Beds
3.5 Baths
3,476 SqFt
Status Active
MLS # 6733528
Property Type Single Family Residence
Price Type --
Amazing Opportunity!!!! Newer built home with perfectly appointed designer touches in a fabulous and most desirable Surprise location. Spectacular kitchen with a huge walk-in pantry, oversized island, quartz counters, Large great room. Exercise room or toy room off of great room. Formal dining room or office. Wood tile flooring. Laundry room upstairs. Loft and generous owner suite. Jack and Jill bath. Walk in closets in other bedrooms. This home has it all. It is a dream home.

6168 S Fairway Place Gold Canyon, AZ 85118

$620,000
2 Beds
2 Baths
2,364 SqFt
Status Active
MLS # 6748933
Property Type Townhouse
Price Type --
This beautiful home in the prestigious Fairway Views gated community features 2 master bedroom suites, one upstairs and one downstairs. Both have walk in closets, showers and upstairs features a large soaking tub! Open concept great room with 22-foot ceilings, a den and a loft. There is a large balcony in front with panoramic mountain views of the Superstitions and a balcony in back overlooking the pool! The private pool has a heater for winter and there is a magnificent octagonal covered patio with mechanical sunshades and ceiling fans to enjoy year-round entertaining. Two new HVAC units installed in 2022 and pool pump and dishwasher replaced recently. There is a community pool, walking path and clubhouse and is next door to Gold Canyon Golf Resort! HOA includes water, garbage and exterior paint! Custom cabinets and doors throughout the home. The original owner was the builder for the subdivision so there are many upgrades and extras! Furniture can be purchased on a separate bill of sale.

2774 Airpark Drive Overgaard, AZ 85933

$620,000
3 Beds
2.5 Baths
1,664 SqFt
Status Active
MLS # 6751278
Property Type Single Family Residence
Price Type --
Pilots and aviation enthusiasts, a beautiful 3BR/2.5 BA Mogollon Airpark home. A 5 min walk to aircraft tie downs, lodge, BBQ, ramadas, pickleball, tennis, & basketball courts! Well cared for immaculate move in ready home, with most furniture included! Spectacular knotty pine vaulted ceilings, soaring stone gas fireplace, open concept living room with an impressive wall of windows. Massive wrap around deck with plenty of room for outdoor entertaining or relaxing. Large screened-in all season room adds more living space. Enjoy the heavily treed, private 0.83 acre partially fenced lot and the wild life that abound. Attached 2 car garage. We are an active social, EAA Chapter 1044 and aviation community, come join the fun!

20121 N 76th Street Unit 2022 Scottsdale, AZ 85255

$620,000
2 Beds
2 Baths
1,854 SqFt
Status Active
MLS # 6751819
Property Type Apartment
Price Type --
Discover this gorgeous 2-bedroom, 2-bathroom condo with a convertible den in the gated Vintage at Grayhawk community. Meticulously maintained, this home offers a perfect blend of modern elegance and comfort. The open-concept floor plan includes a spacious kitchen with stainless steel appliances, a cozy living area, and a private balcony with breathtaking views. Enjoy access to a heated community pool, gym, shopping, and dining. Recent upgrades enhance its appeal: hot water heater (2022), garbage disposal (2022), AC unit (2023), interior paint (2022), new flooring (2023), granite countertops (2023), and ROE tank (2024). This is a rare opportunity to experience Scottsdale's vibrant lifestyle in an exceptional home.

15324 W Campbell Avenue Goodyear, AZ 85395

$620,000
5 Beds
3 Baths
3,558 SqFt
Status Active
MLS # 6759588
Property Type Single Family Residence
Price Type --
The long wait is over! Nestled on a generous corner lot in Palm Valley, this exquisite energy-efficient residence offers unmatched comfort and style. The stone-accented facade, 3-car garage, and RV gate set a grand tone. Step inside to be greeted by a spacious bonus room, tile and wood floors, recessed lighting, pre-wired surround sound, and an expansive great room. The formal dining area is perfect for gatherings, while the large den can serve as an office or gym. The chic kitchen boasts stainless steel appliances, wall ovens, a walk-in pantry, wood cabinets, mosaic tile backsplash, granite counters, and a breakfast bar. The sizable main suite includes space for a sitting area, direct backyard access, and a luxurious bath with dual vanities, a jetted tub, and a walk-in closet... Outside, the vast backyard offers a covered patio and ample room for a pool or custom landscaping. Don't miss your chance to see this stunning property firsthand!

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