It’s good to see that prices are coming down. However, most of the inventory that I’ve seen are of low quality and with bare minimum options. The lots are also small and it’s tough to find properties that back to a green belt. These builders built without concern for quality of land or craftsmanship. Take Lennar homes for instance, those homes might as well be a gingerbread house. I’d hate to live in that for 7-10 years just for the sake of owning. The fact is that builders overbuilt since they doubled down on the notion that home buyer demand would not change for years to come. Take a drive down to Seguin and you’ll see what I mean. I feel that the same came be said about North Austin. There’s nothing out there atm despite what people are saying and it’ll be YEARS before that changes. I’ll be long gone before anything significant happens. It’s all overpriced
We've been through these cycles before Tom. Nothing new. The days of the 2's and 3's were meant to get us through the pandemic, nothing else. Craftsmanship is really per builder, per house. We've had some excellent ones and a couple that missed the mark BUT builder corrected. Seguin is one big land grab now. 23 new communities between i35 in New Braunfels and Seguin. Greenbelt? If you're fortunate, you'll set one, but that's not the norm. NB developers are focused on higher density living, smaller lots, etc, trying to meet demand of buyers. Prices went up too fast last year again b/c of demand. That coupled with rates is a double whammy.
@@raadalawanrealtor I bought a new build from a higher end production builder right before things got bad with virus. To date, all repairs have not been completed. Two significant repairs resulted in us having to settle for a cash settlement but this only happened after us lawyering up. I’m still open to buying but the price and quality must be satisfactory. The lessons I learned were 1) Have an attorney review the contract to ensure you’re protected 2) Be physically present for the build at various stages 3) Be physically present for all 3rd party inspections 4) Make sure that all repairs are performed prior to closing 5) Hire an independent home energy specialist to inspect home 6) Opt for an electric heat pump if you live in a propane community 7) Document any small thing you find wrong with the house prior to the 1 yr because you never know what that small issue might be 8) Add as much square footage to the house your budget will allow as it’ll cost a fortune to add it on later 9) Negotiate the realtor commission if you’re doing all the leg work to find the property. These builders have shown me their true colors during this unfortunate period we’ve lived through. Next time I’ll be better prepared
I canceled on a home in Voss farms absolutely horrible people to deal with and unwilling to work with me on their solar lease they wanted to piggyback onto the house.
At 7% rate you’d be paying more in interest than the home is worth. I’m a first time home buyer waiting to buy. But I am not willing to give my soul to a lender just to be in a home. I’d rather rent at much cheaper than my would be mortgage. Not sure what it is with me but I’m kinda feeling like a buyer with a boycott mentality.
I’m also pretty confident home prices are heading towards pre pandemic corrections. Come on in 2 years home appreciation only because of cheap money. Now home depreciation just as fast because borrowing is too expensive. Don’t fight the FED…
I’m also tired of these agents say buy if long term. Just look back at the last bubble many buyers bought at the top and just last year and this year they we’re finally in the green. That’s more than 10 yrs. Many things happen in life…most people sell their homes within 10 years just look at the stats. Why do you think so much money is spent on interest of the mortgage the first 10 years? Banks know people will sell before the 10 years all just to start over in debt again…
You’re not alive Emily. New builds are headed toward twenty percent drop. That number could very well be thirty percent before end of year as builders try to move their inventory before end of fiscal year. Whet interest rate do you need to make it real… someday ?
When your expected mortgage payment goes up by $500 just because mortgage rates went up, that is a total shift in expectation. Buyers are being wise and not signing up for the extra long term expense. Something has to give. The buyer either needs to look for a cheaper house or the builder needs to make concessions. Rate are outside of our control...
💯. The deeper we fall into the recession, the faster we recover. New bill prices are down ten percent easily and headed toward twenty percent of not there already. CEOS led by stockholders got a bit too greedy last year and prices went up too fast. Now that equity is being reeled in by rates and values dropping due to home prices dropping. When you get your property tax bill for 2023, you should see a noticeable difference.
Signed at Creekside Farms in December of last year and the house will be ready next month. In that time, the monthly payment has gone up around $300 from the interest rates alone. Our only incentive right now is a 4.99% interest rate. I hope my realtor can get a bit more out of them before closing!
You’ve been waiting through two cycles brother. The time for you to pounce is in next four months. Whatever you do do not wait for the rates to hit the 4’s or you’ll be saying “now I’m waiting for prices to drop” trust me it’ll happen
@@raadalawanrealtor aye, its paying off. And you know my situation. Cash rich, taxes poor haha. Gotta wait until I do my 2022 taxes to qualify. Plus a bonus at the end of the year. Aiming for spring 2023.
@@raadalawanrealtor 2021 was insane... 2022 back to normal for the most part... maybe slightly slower than usual (possibly due to the inflation). Not complaining tho.
People just wait. Houses are gonna drop 70% U buy cheap house with high rate. U can always refinance when when rate drop. But if u buy expensive house u screw cuz house price won't lower after u purchased
Great content! Would be interested to hear if some builders haven't yet come to terms with the market shift. I got a quote recently and they're still holding onto their peak market pricing plan.
Watch the video again at the end prices went up too high too fast last year. Builders are adjusting to the market now by continuing to offer deep discounts
@@raadalawanrealtor yes I saw that. I was referencing builders that have NOT come to terms with the shift. Ie., builders not offering reductions or incentives, etc. Have you encountered that or is everyone marking down their builds?
