#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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3002 E Pinchot Avenue Phoenix, AZ 85016

$600,000
4 Beds
2 Baths
1,676 SqFt
Status Active
MLS # 6761490
Property Type Single Family Residence
Price Type --
CORNER LOT 4 BEDROOM POOL NO HOA NEW roof (2024), HVAC (2023), Bosch refrigerator (2024). This beautifully updated Phoenix single-story home sits in a prime location near Arcadia and Biltmore. The front yard features real grass and mature trees, while the spacious backyard includes a pool, covered patio, and artificial turf, all completed in 2018. Step inside to find a split floor plan with modern updates throughout. Enjoy the convenience of no HOA and an unbeatable location near some of Phoenix's best amenities and easy access to the airport.

71 Lake Patagonia Road Nogales, AZ 85621

$600,000
4 Beds
3.5 Baths
2,962 SqFt
Status Active
MLS # 6759683
Property Type Single Family Residence
Price Type --
Welcome to Patagonia Lake Subdivision. Enjoy the luxury lifestyle afforded with this 4 bed 3.5 bath residence nestled on a 4.4 acre lot with panoramic views. The soaring ceilings create a feeling of great space and security. This residence will make a great winter residence or a terrific year around home. Well maintained, this concrete block/stucco home boasts 6'' thick walls, Anderson Windows, R27 walls & R50 ceilings for comfort and energy efficiency in every season. 8' solid mahogany doors add a touch of elegance. Other features include, granite counters, bonus room (5th bedroom?), walk in closets, jetted bathtub, solar heated swimming pool, covered patio, private well, 2 car garage and fenced back yard. Seize this opportunity to call this masterpiece home

16585 W Harrison Street Goodyear, AZ 85338

$600,000
5 Beds
3.5 Baths
2,764 SqFt
Status Active
MLS # 6764224
Property Type Single Family Residence
Price Type --
Incredible remodel, sellers put in over $100K in upgrades. Open and bright concept creates an inviting atmosphere, perfect for family and friends. The chef's kitchen is a true masterpiece, featuring new soft-close cabinets, quartz countertops, a stunning island, and top-of-the-line digital appliances backed by a 2-year warranty. With new recessed lighting illuminating every corner, culinary delights await. Throughout the entire home, new flooring adds a touch of luxury and comfort. The spacious master bedroom and oversized secondary bedrooms offer ample space for relaxation, walk-in closets and bathrooms adorned with rain showerheads and custom glass doors. 2 large living rooms. Heated pool and more

9514 E San Carlos Way Globe, AZ 85501

$600,000
4 Beds
4 Baths
2,689 SqFt
Status Active
MLS # 6764529
Property Type Single Family Residence
Price Type --
Charming Country Home Coming Soon Discover your dream retreat in this beautiful 4-bedroom, 2 full 2 half-bathroom country home, boasting an expansive 2,689 sq. ft. of living space on a serene 1.43-acre lot. Enjoy the beauty of nature with multiple fruit trees and a convenient watering system. Relax and unwind as you take in the stunning views of Apache Peak from your own backyard. This property also features a detached garage, providing ample storage and workspace. Don't miss the opportunity to own this perfect blend of comfort and tranquility!

2730 W Via Calabria Street Phoenix, AZ 85086

$600,000
3 Beds
2 Baths
2,282 SqFt
Status Active
MLS # 6766212
Property Type Single Family Residence
Price Type --
Welcome to this single story, open concept,great room plus flex room home. This 3 bed, 2bath home offers a light and bright living space with ample outdoor area for relaxing, entertaining or playing. Turf makes backyard look fresh and keeps maintenance easy. Use the flex room as a home office, play room, workout room or craft/art studio. This home is a neutral canvas waiting for your personal design. Kitchen, updated in 2021, has quartz countertops, an island with farmer sink, breakfast nook and gas stove. Primary bedroom has dual sinks, garden tub and stand-alone shower. Fully enclosed Arizona room has security door to backyard. Pavers under the pergola provide ample sitting area. Roof underlayment replaced 2024 and has transferable 10 year workmanship warranty. AC partially updated 2020 Child play eqpt will stay or seller will remove. Community features 2 pools, basketball court, tennis courts, sand volleyball and 2 playgrounds. Enjoy miles of multi-use pathways and trails to enjoy Valley and mountain views. Close to shopping and I-17. Welcome to Home Sweet Home!

951 N 165th Avenue Goodyear, AZ 85338

$600,000
4 Beds
3 Baths
3,106 SqFt
Status Active
MLS # 6766084
Property Type Single Family Residence
Price Type --
Welcome to this ideally located home, nestled next to expansive open space with no neighbors behind or to the side. Enjoy spacious living areas, including a kitchen and family room that offer stunning views of the backyard oasis. The oversized custom pool features a rock waterfall and slide, with ample space for lounging and entertaining. The outdoor area also boasts a built-in BBQ island, a covered patio, and wide side yards. Inside, there's a downstairs den with a full bathroom, while upstairs you'll find three bedrooms and a generously sized primary suite. The three-car garage comes complete with built-in cabinetry, and the home is equipped with OWNED SOLAR!

4810 N 74th Place Scottsdale, AZ 85251

$600,000
2 Beds
2 Baths
1,236 SqFt
Status Active
MLS # 6767229
Property Type Townhouse
Price Type --
MODERN CANAL RETREAT Tucked into the heart of Scottsdale's historic district, this gorgeous 2-bedroom, 2-full bath home in coveted Villa Monterey 55+ community is a true gem. Step into a light & bright sanctuary that exudes warmth & comfort. Formal dining area invites you to host intimate gatherings, while the completely updated interior flows effortlessly into the serene backyard with private canal access. With over $130,000 in upgrades, every corner of this home has been meticulously crafted. From the new Luxury Vinyl Plank (LVP) floors to the upgraded modern kitchen, walnut interior doors, no detail has been overlooked. New roof (2019), HVAC (2023), appliances and more all recently replaced. Open-Concept Closets in both bedrooms. Front-facing kitchen with new modern pull out cabinets, new LVP plank (6x9) flooring, and smooth texture walls throughout. Enjoy the fully upgraded, spa-like bathrooms that include a deep soaking bathtub & walk-in shower. Coveted side yard and laundry room are added bonuses. Well designed, low maintenance landscaping is easy to maintain. Community Pool & Spa, Located directly on the canal, this property is minutes away from Old Town Scottsdale, Spring Training facilities, shopping, restaurants, art galleries, and the renowned Talking Stick Resort, the possibilities for entertainment & adventure are endless. Walk out your back gate and explore the vibrant community, stroll along scenic walking and biking paths, or simply bask in the Arizona sunshine.

3431 E Fairview Street Gilbert, AZ 85295

$600,000
3 Beds
2 Baths
1,862 SqFt
Status Active
MLS # 6770358
Property Type Single Family Residence
Price Type --
Location, location, location! Beautifully upgraded single-level home in the highly sought-after Pecos Park community of Gilbert! Offering 3 bedrooms and 2 baths, this residence boasts new interior paint, elegant light fixtures and fans, plantation shutters throughout, and more! The vaulted ceilings and seamless open floor plan allow for ample natural light, creating a bright and airy ambiance throughout the home. The gourmet kitchen is a chef's dream, featuring granite countertops, a spacious island with breakfast bar, stainless steel appliances, and recessed lighting. The primary suite offers dual vanities, a soaking tub, step-in shower, and a walk-in closet. Outside, enjoy your private oasis with mature trees and landscaping, and a large covered patio.

1145 E Del Rio Street Gilbert, AZ 85295

$600,000
4 Beds
2.5 Baths
2,395 SqFt
Status Active
MLS # 6768818
Property Type Single Family Residence
Price Type --
Original owners! This well taken care of home. Home has 4 bedrooms (one bedroom downstairs) plus a loft and 2.5 baths. Downstairs bedroom has a minisplit AC unit in it. Bedroom #2 and #3 upstairs have walk-in closets. 2 car garage with epoxy floor, roll down screen door and side service door. Over 8,000 sf north/south lot has an easy maintenance front yard, grass backyard and play pool with removeable fence and variable speed motor/pump. Extra bonus is the RV gate with plenty of storage space on the east side of the house. 2 storage sheds in backyard will convey. Roof approximately 2 years old. NOTE: The section of the roof where the solar panels are was not reroofed. 5 year old AC units and air handlers. 7 yr. old water heater. Water softener. Solar is a prepaid lease.

22788 E Orion Way Queen Creek, AZ 85142

$600,000
4 Beds
3 Baths
2,634 SqFt
Status Active
MLS # 6767865
Property Type Single Family Residence
Price Type --
Welcome to the Harvest Community in Queen Creek. This amazing community has multiple parks, a children's playground, scenic lake, community pools and more! You'll love the layout of this new construction home, the Topaz model! Two bedrooms with a full bathroom in front, a walk down the hall to the kitchen designed with Tahoe Maple Stained ''Coffee'' cabinets with 42' Uppers and a 4 1/2'' crown detail. Vahalla granite countertops, a 30'' gas cook top and large walk in pantry paired with an impressive great room. Upgraded flooring package with EMS Baccarat 12x24 tile and Level 9 SHW Cedar Grove berber carpet. Step into your primary retreat - a huge space with a large en suite bathroom and walk in closet. Top it off with a 3 car tandem garage for plenty of storage.

13607 W Springdale Drive Sun City West, AZ 85375

$600,000
2 Beds
2 Baths
3,291 SqFt
Status Active
MLS # 6768546
Property Type Single Family Residence
Price Type --
Great Opportunity To Own This Popular San Carlos EXPANDED Model: Allowing for the extra square footage to total 3291l. This 2 bedroom, 2 bathroom, 2.5 Car Garage (GOLF CART GARAGE), is fantastically located off of the 4th Teebox, perfect run with the cart! The spacious living room, AZ room, primary master bedroom & bath, guest bedroom, bath count with expansions. Home boasts an arrays of room to entertain your friends, family and other guests. Enjoy the nice seasonal weather and relax in your new home, coupled with an enclosed patio with gorgeous views of the mountains & golf course. North/South sun exposure limits direct sunlight. Great moment to capitalize to make this property your own, at current pricing structure! Buyer to verify all.

2095 W Harbour Drive Chandler, AZ 85248

$600,000
3 Beds
2 Baths
1,755 SqFt
Status Active
MLS # 6770630
Property Type Single Family Residence
Price Type --
Welcome to your dream home! Nestled in the highly sought after Harbour Club in the Ocotillo Lakes community, this stunning property offers a perfect blend of luxury and comfort. You will love all the MANY upgrades that include: a BRAND NEW HVAC installed in 2023, fully remodeled bathrooms, saltwater pool, new energy efficient windows in the bedrooms, new sliding glass door and many more (see full list below!)! As you step inside, you'll be greeted by an expansive open floorplan with vaulted ceilings and lots of natural light. The gourmet kitchen is a chef's delight, featuring granite countertops, stainless steel appliances, and a spacious area perfect for entertaining. The master suite is a true retreat, complete with a spa-like bathroom featuring a jetted tub, dual vanities and a walk-in closet. Additional bedrooms are generously sized, providing ample room for family or guests. Step outside to your private oasis where a sparkling pool and lush landscaping await. The covered patio is perfect for alfresco dining and enjoying Arizona's beautiful weather year-round. Located in the heart of Chandler, this home is just minutes away from top-rated schools, shopping, dining, and entertainment. Nearby attractions include Ocotillo Golf Club, Chandler Fashion Center, and a variety of eateries such as the Living Room Wine Cafe & Lounge and CHoP Chandler. Don't miss an opportunity to make this exquisite property your forever home. **LIST OF UPGRADES BRAND NEW! HVAC system installed in 2023 Freshly painted Landscaped front and backyard Brand new fans and lighting throughout Front door electric code entry and new door handles Electric fireplace installed in living room New sliding glass door to backyard in 2018 Replaced windows in bedrooms with energy efficient windows in 2019 Stainless steel kitchen appliances (fridge, microwave, dishwasher, and stove) 2018 Replaced all cabinet handles New disposal system (Oct. 2024) Hall/Guest Bathroom had complete remodel in 2020 with a Walk-in shower, new flooring, new vanity, fixtures, mirror, and new lighting, Added energy efficient exterior door to patio from master bedroom in 2019 Complete remodel of master bathroom in 2020 which included a new jetted tub, tiled shower, replaced shower glass, new vanity, fixtures, mirrors, lighting, and new chandelier. New side entry door installed in the garage New garage door opener Kinetico soft water system installed in 2018 Garage Storage shelves built Landscaped/added plants around pool in backyard Stone fire pit added Replaced wood on side gate Sprinkler system installed and maintained New stack stone added to patio (in 2023) and grill area (in 2018) Cool decking around pool replaced in 2018 Upgraded to a salt water pool in 2022 New LED pool light 2019 Updated code-approved water returns in pool 2018

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