Construction Ramping Up Based on Demand

According to early indicators it seems that new-home construction is beginning to ramp up especially with the prices of lumber decreasing. This is a great sign for buyers because with the high demand and the low inventory of homes for sale this will give people more options.

Now we know new homes alone won’t be able to fix all the inventory problems that we are seeing right now but for buyers it does mean that there will be more options to look for. Plus, this helps divide buyers, meaning those looking specifically for new homes will now be able to focus on that instead of potentially taking older homes that other buyers are specifically looking for.

According to NAR “we are currently building 24% more homes than we typically have built in April in the last couple of decades. Thus, housing construction is trending upward with housing starts likely to reach 1.6 million for all of 2021 and rise further to 1.7 million in 2022.”

Also, good news is that research is showing an uptick in single-family homes, so it seems to be good news all around for buyers!

These are all good signs for the housing inventory and though they won’t be solved overnight the increase in new-home construction means you have way more options that you thought!