Build Smart, Build Now
There is one upside to the recent recession; it cleans the marketplace. Today’s Lane County builders are those who survived a challenged market by leaning into their sound construction skills, smart budgeting and solid reputation. In the wake of the tough economic times, the strongest and most viable builders remain for Lane County new home buyers.
New Marketplace Allows for Opportunity
As we enter a new marketplace in 2016-2017 new home buyers have opportunity. Financing is available for pre-sold homes with up to 90% loan-to-value. Interest rates continue to remain at record breaking low numbers. Money is available.
Several ingenious, veteran, residential developers of Lane County have made available shovel-ready lots in several areas of Eugene-Springfield. Outside of the metropolitan area, close-in country small acreage and “small town” lots are coming on the market. Strong local builders, combined with “cheap” accessible money and available land makes building seem worth considering.
And many home buyers are doing just that. These opportunities are irresistible when combined with limited opportunities in the used home market, with the listing inventory down over 30% from this time last year (Trendgraphix, 2016).
Advantages of Building
The advantages of building a new home, according to the new home buyers nationally in 2015, include:
- The ability to avoid home renovation and remodel and a home that does not fit their needs perfectly.
- Buyers also enjoy the ability to choose and customize their design features. Instead of wrapping your lifestyle around a floorplan, the custom home can wrap the floorplan around your lifestyle.
- Many buyers are choosing to eliminate formal rooms and excess bedrooms in trade for larger master suites and casual common areas.
Maximizing Energy Efficiency
The conscientious buyer today builds in order to maximize the green-friendly, energy efficiency of today’s new construction. (National Association of Realtors, 2015 Profile of Home Buyers and Sellers, 2016).
Regulation has also come to the aid of consumers in regards to energy efficiency standards for new construction. The State of Oregon has among the strictest energy codes in the nation. Lane County Builders’ baseline standards far exceed those offered by the most innovative builders in other markets.
What Are Buyers Buying?
15% of homes purchased between 2001-2015 were new construction (as low as 3% in 2010-2013 and as high as 16% in 2014)
- The top reason 34% of new home buyers chose to purchase new construction was to avoid renovations or problems with plumbing or electrical
- 30% of new homebuyers chose to build so that they could have the ability to choose and customize design features
- The median square footage of homes built in 2015 was between 2,001 and 2,500. (versus the median size of home purchased new or used was 1,501-2,000 sq ft)
- Between 1960 and 1985, 25% of all buyers purchased new construction.
(Source: National Association of Realtors Survey 2015 Profile, 2015 Profile of Home Buyers and Sellers.)