You’re ready to get into a new home, and you probably have a laundry list of reasons why you think it wouldn’t make sense to build your new home in 2021, right after the pandemic.
You couldn’t be more wrong! 2021 is actually a great year to build your new home. This article covers four reasons that are sure to persuade you that the time is right to build a new home.
Shockingly Low-Interest Rates
One significant reason to build in 2021 is to take advantage of low-interest rates. You may even be able to secure a cheaper rate than you’re paying now.
“Construction material costs are so high right now,” you’re probably thinking. And you’re right. The higher costs make sense, considering the fact that many lumber mills shut down and crews were running short during the pandemic, causing raw materials to be in low supply and their costs to climb.
If you take into consideration the low-interest rates, they help offset the cost of building materials. If you’re thinking of waiting for prices of materials to drop, you may end up paying higher interest rates as well as higher building material costs.
So don’t let the numbers scare you; instead, you should use these numbers to your advantage in your search for a new home.
Lock in Construction Costs
The next reason you should build in 2021 is to lock in your construction costs upfront. This is a strategy that many builders are using to help encourage home building by controlling the buyer’s costs upfront.
Depending on the builder, your construction contract will include clauses that hold buyers responsible for price increases of materials or other similar factors. Or, your buyer will lock in your costs at signing, and your home will increase in value before you even move in.
Look for a new home builder who will settle on a fixed price and deliver on their promise even if they take a small loss.
Shortage of Already-Built Homes
Another great reason to build your new home in 2021 is the shortage of homes available right now. More families are looking for homes than there are available homes, making the already-constructed housing market very competitive.
Finding the home you want within the price range you want may prove difficult. You might not be able to afford to start a bidding war on your current budget. So, from the standpoint of getting what you and your family need and want in a house, building a new home is the way to go.
This works out well if you’ll be selling your home and constructing a new one. Due to the shortage of homes, the demand is higher and your home is likely to sell at a competitive price.
Build According to Emerging Trends
And last, but certainly not least, a substantial reason to build a home in 2021 is to build according to emerging trends.
The pandemic forced us to think differently about the way we live. It forced us to get creative and think of ways to fit all of our activities into our homes. From cooking more in the kitchen and exercising to working, we had to find ways to make it work. What many people found is that our homes are just not set up to accommodate it all.
With a new build, you’ll be able to choose a floor plan that will give you the space and rooms you need so that you and your family can live, work, and play comfortably.
There are plenty of reasons why building a house in 2021 makes sense. From initial interest rate to post-construction equity, building a home and creating a unique space that fits your lifestyle may be one of the best decisions you make this year.