The biggest challenge to today’s housing market is the shortage of housing inventory for sale. A normal market would see a six-month supply of homes for sale. Currently, that number is below four months. This is the major reason home prices have continued to appreciate at higher levels than historic averages.
The good news is that builders are now starting to build more homes in lower price ranges.
Builder Confidence is Up
The Housing Market Index from the National Association of Home Builders (NAHB) reveals that builder confidence increased last month. HousingWire quoted NAHB Chief Economist Robert Dietz about the reason for the increase in confidence amongst builders.
“The HMI measure of future sales conditions reached its highest level since June 2005, a sign of growing consumer confidence in the new home market. Especially as existing home inventory remains tight, we can expect increased demand for new construction moving forward.”
Builders are Meeting the Needs of Today’s Purchaser
Builders are not only jumping into the market – they are doing a better job of matching current demand. The Wall Street Journal recently reported:
“In a shift, new households are overwhelmingly choosing to buy rather than rent. Some 854,000 new-owner households were formed during the first three months of the year, more than double the 365,000 new-renter households formed during the period, according to Census Bureau data.”
The WSJ article went on to say:
“Home builders are beginning to shift their focus away from luxury homes and toward homes at lower price points to cater to this burgeoning millennial clientele.”
The graph below compares 2016 to 2017 new construction sales by price point. As we can see, builders are slowly beginning to shift to prices more favorable to the first-time and non-luxury buyer.
Bottom Line
There is a drastic need for a larger supply of home inventory to meet the skyrocketing demand. Builders are finally doing their part to help rectify this situation. If you are exploring the real estate market for a new build or a resale home, give me a call for more information – J.P. Cook – 602-320-4253.
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6108 N 418th Avenue Tonopah, AZ 85354
$515,000
4
Beds
2
Baths
1,897
SqFt
Status
Active
MLS #
6681591
Property Type
Single Family Residence
Price Type
--
Buyers unable to perform. Their lost your gain. Your dream home is here! This stunning 4-bed, 2-bath residence is complete with a 2-car garage, an extended driveway, and a tasteful stone facade. Inside, the great room showcases vaulted ceilings, abundant natural light, a soothing palette, and attractive wood-plank tile flooring. The kitchen boasts sleek quartz counters, white shaker cabinets, SS appliances, chic pendant lighting, a tile backsplash, a walk-in pantry, and a central island with a breakfast bar. The main bedroom features a private bathroom with dual sinks and a walk-in closet. The vast backyard is a blank canvas, offering a covered patio, breathtaking mountain views, and ample space to create your dream oasis. Make this gem yours today!
942 E Southern Avenue Phoenix, AZ 85040
$515,000
3
Beds
1
Bath
1,440
SqFt
Status
Active
MLS #
6683094
Property Type
Single Family Residence
Price Type
--
This land is set up for businesses! It's zoned for Commercial C-2 and has space for you to live on-site. Located at the corner of Southern and S. 10th St., this 17,955 square foot lot gets a lot of traffic—almost 50,000 cars pass by every day. The house comes with a basement of about 168 square feet for storage. There's also a garage that's been turned into a studio with a full bathroom and a small kitchen area including a sink and stove.
11676 W Levi Drive Avondale, AZ 85323
$515,000
4
Beds
3
Baths
1,970
SqFt
Status
Active
MLS #
6690220
Property Type
Single Family Residence
Price Type
--
Welcome to your dream home in the heart of the coveted Avondale community within Alamar! This methodically crafted home is highlighted by an inviting open-concept floor plan, perfect for both entertaining and everyday living. Step into the spacious living area adorned with a custom-built entertainment center, where relaxation meets sophistication. The updated gourmet kitchen is highlighted by roll out cabinets, gas cooktop and a large granite sink. This freshly painted home also boasts a 3-car tandem garage and thoughtful custom storage at the entryway. Beyond the sleek interior lies a masterfully designed backyard, offering a tranquil escape from the hustle and bustle of daily life. Enjoy gatherings around the cozy firepit, surrounded by plush seating that beckons you to unwind under the stars. Whether hosting friends or simply enjoying a quiet evening, this outdoor sanctuary provides the ultimate setting for unforgettable moments. Indulge in the luxury of modern living combined with the charm of the Alamar community. Don't miss the resident-only Hay Moon community park, complete with beautiful pool, playground, BBQ grills and large open spaces. Just 1 mile outside the community is the 40-acre Alamar Park which offers Pickleball, Dog Park, Tennis, Basketball, Splash Pad, Urban Fishing and so much more. With the recently opened Lakin Preparatory Academy this community truly has it all. Experience the essence of comfort, style, and serenity of this exceptional home in a thoughtfully built community.
24402 S Starcrest Drive Sun Lakes, AZ 85248
$515,000
2
Beds
2
Baths
2,123
SqFt
Status
Active
MLS #
6702841
Property Type
Single Family Residence
Price Type
--
Lovely home in the heart of OAKWOOD COUNTRY CLUB, featuring VAULTED CEILINGS & elegant PLANTATION SHUTTERS w/ an open & airy ambiance. Kitchen is a chef's dream with plentiful cabinets & countertops. Both formal dining & eat-in kitchen are great for entertaining! Living room features a cozy fireplace, ideal for relaxing evenings, while the dedicated DEN/OFFICE provides a private space for work. Primary bdrm has sep exit to patio + ensuite has dual sinks. Lg guest bdrm w/ walk-in closet. Spacious screened-in patio & LOW MAINTENANCE BACKYARD-perfect for enjoying Arizona's beautiful weather! NEW ROOF/FRESH PAINT in 2023, New PEX plumbing in 2020, HVAC replaced in 2015 adds both value & peace of mind. All this in an exclusive, GATED, 40 & over ACTIVE ADULT COMMUNITY w/tons of fun AMENITIES!
1242 W Manhatton Drive Tempe, AZ 85282
$515,000
3
Beds
2
Baths
1,006
SqFt
Status
Active
MLS #
6686208
Property Type
Single Family Residence
Price Type
--
This recently updated 3-bedroom, 2-bathroom home is conveniently located within a fifteen-minute drive of ASU, Spring Training Facilities, Old Town, Mill Ave, and Skyharbor. The spacious backyard features a pool, seating area, grill, putting green, sand pit, cornhole, and fire pit seating. The master bedroom boasts a walk-in closet and a full bathroom.
3659 S 63rd Drive Phoenix, AZ 85043
$515,000
5
Beds
3
Baths
1,939
SqFt
Status
Active
MLS #
6690176
Property Type
Single Family Residence
Price Type
--
Welcome to modern luxury living in the tranquil Village at Estrella community. Discover the epitome of open-concept elegance in this gorgeous home, where natural light bathes spacious living areas designed for contemporary lifestyles. Imagine preparing gourmet meals in the sleek, chef-inspired kitchen equipped with top-tier appliances and a generous center island. Guests can mingle freely from the dining area to the plush comforts of the living room, anchored by chic design and seamless flow. Retire to your exquisite master suite, a sanctuary where relaxation is paramount—an en suite master bathroom complements it, promising a spa-like retreat after long days. Outdoors, revel in the serene ambiance of your low-maintenance backyard featuring a bespoke gas fire-pit—perfect for starlit
11430 N 37th Avenue Phoenix, AZ 85029
$515,000
4
Beds
2
Baths
1,962
SqFt
Status
Active
MLS #
6692489
Property Type
Single Family Residence
Price Type
--
This stunning 5-bed, 3-bath furnished rental home awaits in a prime Phoenix locale. Step into a charming front yard, with a 2-car garage and extended driveway. Inside, revel in a formal living room, recessed lighting, designer paint, and wood flooring throughout common areas. The kitchen boasts SS appliances, quartz counters, subway tile backsplash, and white shaker cabinets. Two main bedrooms feature walk-in closets and luxurious ensuites with tiled showers. Outside, a paver-covered patio and fenced pool beckon, along with a side yard boasting a stacked-stone fireplace and built-in BBQ grill. Don't miss this gem!
8038 S 54th Lane Laveen, AZ 85339
$515,000
4
Beds
2.5
Baths
2,403
SqFt
Status
Active
MLS #
6689698
Property Type
Single Family Residence
Price Type
--
Desirable 4 bedroom 3 bath floor plan with a sparkling blue pool home situated on a spacious corner lot in the sough after Cheatham Farms neighborhood! featuring bold decorative tones throughout. The formal living room offers soaring ceilings and fashionable staircase, separate formal dining leads to the sizable open kitchen, complete with new upgraded appliances with plenty of space to entertain as the kitchen flows through the family room out to your back patio. with a lots of space surrounding the pool for entertaining. The den downstairs is being used as a bedroom, this home is perfect for accommodating guests. With 4 more rooms upstairs the large primary suite is a great layout. Located in the heart of Laveen, you're just minutes away from dining options, easy access to the 202.
10282 E Trailhead Court Gold Canyon, AZ 85118
$515,000
3
Beds
2
Baths
1,737
SqFt
Status
Active
MLS #
6694132
Property Type
Single Family Residence
Price Type
--
Welcome to gated Peralta Trails located on the famous Peralta Trail! This home has a great open floor-plan, NEW ROOF, new ext. paint, updated kitchen with lots of cabinets (soft closing), granite counters, $8k worth of newer appliances, vaulted ceilings, skylights to brighten it up, the same tile flooring throughout the home, remodeled guest bathroom, plantation shutters, garage cabinets, and much more! Once you step outside to the backyard you see the huge travertine paver patio areas with a Alumiwood pergola for extra shade sitting area off the covered patio and just steps away from the hot tub! Without a house backing up to the back wall you get extra privacy and have Superstition Mountain Views! Just down Peralta Road is access to unlimited hiking, mountain biking, & off road trails!
5059 N 83rd Street Scottsdale, AZ 85250
$515,000
4
Beds
2.5
Baths
1,752
SqFt
Status
Active
MLS #
6694981
Property Type
Townhouse
Price Type
--
Discover the perfect blend of comfort and convenience in this inviting 4 bed, 2.5 bath townhouse located just moments away from Old Town Scottsdale. Entertaining is effortless with a spacious living area flowing seamlessly into a split dining area, complemented by an L-shaped kitchen island perfect for casual gatherings. Retreat to the private back patio to savor the Arizona weather. Take advantage of the nearby Chaparral Park and dog park for outdoor recreation. Conveniently situated near the 101 highway, this townhouse offers easy access to surrounding areas while being in close proximity to Old Town Scottsdale's dining, shopping, and entertainment offerings. With two designated carport spots, a detached storage shed, and a plethora of nearby amenities this residence offers the ultimate Scottsdale living experience. Whether you're looking for a new place to call home or an investment property that allows short terms rentals, this is place for you!
4363 E Pony Lane Gilbert, AZ 85295
$515,000
4
Beds
3.5
Baths
2,029
SqFt
Status
Active
MLS #
6696081
Property Type
Single Family Residence
Price Type
--
Don't miss this beautiful Gilbert home in the neighborhood of Cooley Station. As you enter this home, you step into a large great room floorplan that flows into the kitchen and outdoor patio. The 18' stacked sliding patio doors connects indoors to the outdoors for great entertaining. Kitchen features lots of cabinets, Quartz countertops, breakfast bar and walk-in pantry. Half bath is just off of the kitchen. All 4 bedrooms, 3 Full Bathrooms and convenient laundry room are all upstairs. Primary bedroom features 2 walk-in closets, balcony through sliding glass door, en-suite bathroom with dual sinks and walk-in shower. 2nd bedroom features en-suite bathroom. Front/back yards maintained by HOA. Community includes pool, basketball court, playground and parks. Close to San Tan Village Mall.
3935 E Rough Rider Road Phoenix, AZ 85050
$515,000
2
Beds
2
Baths
1,386
SqFt
Status
Active
MLS #
6695950
Property Type
Townhouse
Price Type
--
Located in the heart of Desert Ridge, this ground floor single story 2 Bed 2 Bath condo is beautifully situated in the prestigious gated community, Villages at Aviano. As you walk in to this immaculately kept home you will notice the open floor plan perfect for entertaining guests. This alluring home features a neutral palate, antique white kitchen cabinets, an abundance of granite counter space, travertine flooring, high ceilings with lots of light flooding in. Over 16k in recent additions (see list in documents) which includes high end security screen and gate, new window blinds throughout, epoxy in garage, carpet and light fixtures and more. Perfect for both seasonal enjoyment or as a primary home, Aviano community club house has so much to offer such as a resort style pool, work out facility, tennis and pickle ball courts, and professionally run community activities. In addition, The Villages has its own private pool for you to relax at located right across the street from the condo. Additional attractions include Desert Ridge Marketplace and High Street with so many entertainment, shopping and dining options all just minutes away! Major highways, 101 and 51, lead you to the airport in less than 30 min.