Each spring, thousands of potential buyers flood the market looking to move into a new home in the following months. Some opt for existing homes and others choose new construction which usually creates a healthy balance between supply and demand. There are a record number of buyers on the hunt this year, but there are a few different factors at play making this a uniquely good time to buy a home.
Why buy now? Well, Riverside Homebuilders will explore a few of the current benefits to buying a new home in the Dallas-Fort Worth metropolitan area below.
Interest rates are still low
One of the major factors driving the housing market’s success in the last year was record-low mortgage interest rates. This gave buyers the opportunity to save money and maybe buy a bigger home for their budget with rates hovering around three percent. According to FreddieMac, the average 30-year fixed rate mortgage this April was 3.06 percent, which was .2 percent lower than a year ago and more than a point lower than April 2019. Prior to this recent dip, the lowest mark was nearly a decade ago with 3.35 in November and December of 2012. The high was 4.87 in November 2018. Experts expect these numbers to continue rising as the economy recovers.
Buyers are facing more competition
The downside to great buying conditions is that they created unprecedented demand, driving up the average price of existing homes 17.2 percent with a 28.8 percent drop in inventory according to the National Association of Realtors. Homes spent an average of 18 days on the market. Alternatively, the desire for new homes then increased the prices of lumber slowing production and creating another imbalance. The third major effect of these favorable buying conditions is that banks are becoming more reluctant to lend. This may be a signal that good fortunes are coming to an end.
Homes are smarter and healthier than ever
Homeowners priorities changed a lot in the last year with an added emphasis on indoor air quality and energy efficiency as many spent more time at home. New homes like the ones that Riverside Homebuilders design, seamlessly integrate new technology like state-of-the-art ventilation and air filtration systems that provide draft-free comfort and higher air quality. They are also built with the latest techniques that result in smaller carbon footprints throughout the construction process and life of the home.
Building with Riverside Homebuilders
If you are considering a new home in DFW, contact us online, call (817) 601-6230 or text (254) 735-3033. Riverside Homebuilders has active communities throughout the metro including a handful of new options coming soon. The experienced sales team can help you find the right fit for you and your family.