Industry All-Star - Christopher Markovic, CEO, PMA Brethour
December 06, 2024
Uncertainty over housing supply, interest rates, inflation, politics and the economy in general... There’s been no shortage of reasons for pause for some would-be homebuyers: But the pendulum looks to be swinging back the other way.
To help you understand all the factors to make a better, more informed homebuying decision, our 2024 Builders' Annual sat down with some of the industry’s top marketing and sales experts for expert advice.
Last year at this time, I wrote about opportunity during times of uncertainty, challenge and change. Over the past year, we have seen some serious shifts in the economy, the homebuilding industry and all of our pocketbooks. Although we are on the doorstep of a lower rate environment, these stresses haven’t subsided for many homebuyers in the market.
Three pieces of advice
For those of you entering the new home market, congratulations. Next year at this time, we might just look back on the fall of 2024 and recognize that these times we are in today were the hardest – but also the best to find value in product and pricing.
I offer you three pieces of advice – first, look forward, next, be open and flexible with respect to your options and, finally, know that the market is destined to only go up from here.
Remember that so many of the events in the world over the past five years in the market were not the norm. Look forward with a realistic budget, not just based on your situation today, but into the future – the purchase price of your new home today, coupled with a schedule of declining mortgage rates may very well be different in one year from now.
Find a mortgage specialist, preferably one who specializes in new homes and condos, and begin the process early so you have assurance of having a partner along the way. More new-home builders and developers (and their financial institutions) are requiring that the homebuyer provide a firm mortgage approval, so it is as important that you have a clear and firm commitment so you can enjoy the next step in the journey. Know that the price you secure today, along with the final rate at the closing of your home, may just be the key to getting the home you want before any potential rush on availability.
Look for value
Look at every option with clarity and through a lens of opportunity. I encourage you to always have your sights set, but be open to unique opportunities and be flexible. Now more than ever, be open to new housing concepts in communities and opportunities to stretch your homebuying dollar as far as possible.
Now is definitely the time to look for value in a sea of choices. While some consumers may be reluctant to enter the market, and prefer to sit on the sidelines and wait, those who choose to buy today may reap many benefits as the market responds and regains more normal levels of price growth.
Take advantage of this time. As a new-home buyer today, you will have access to the same leading innovations in homebuilding, energy efficiency and home design as always, but now you also have the market on your side. Now is the time to find some of the best value to extend your homebuying dollar.