I was able to get into contract on a new construction home with my buyer yesterday and the experience has far exceeded my expectations. Builders were trying to flood the market with new build inventory as prices in the housing market exploded, but now that things have cooled off, they have inventory that is expensive to hold on to. Most of these homes in California are single story, have spectacular warranties, are in very nice, planned communities and come with solar. These features alone add so much value for a buyer that is looking for peace of mind from the day they move in. The average age of a home that my clients buy or sell in Contra Costa or Alameda County is over fifty years old so there is always anxiety come move in day.
The other appeal of new construction homes right now is that it is easy to negotiate for upgraded features, and every home is required to be equipped with solar. For the property we just got into contract, we were able to offer about the same amount for a home with every upgrade for the price of the base model of the same home. This included upgraded everything including floors, finishes, kitchen and so much more. The solar is a big plus as well, especially with electricity costs skyrocketing in the last decade. All new construction homes in California are now required to come with solar and in this case the monthly lease expense is very reasonable. In the summer months in most areas a god solar system can offset an electric bill by hundreds of dollars a month.
A year ago I was probably not eager to recommend new construction to my buyers. This is because they were priced extremely high, upgrades were not particularly negotiable and there were better options within the existing inventory. It is costing a lot of money for these builders to hold onto this inventory so they are motivated to sell, especially with prices leveling out. Having a brand-new home that is likely single story is a great option for a buyer that may be reaching retirement years or for an investment property. The expectation of no repairs or maintenance is very valuable to a new owner and now this convenience can be purchased at a great price on new construction homes. Have you considered new construction properties? I have some great insight to some of the best local new build communities so please reach out and I can point you in the right direction.