Best Time to Build a Custom Home

Changing attitudes since the Great Recession have driven home ownership down. Due to this the first quarter of 2016 has seen the rate that Americans own their homes fall to the lowest on record. All this while the interest rate has remained very low. Taking this into consideration, this seems like it may be the best time to build your dream home.

The first quarter showed a one tenth seasonally adjusted drop in ownership to 63.6% according to the Commerce Department report. This is the third lowest figure since the second quarter of 2015 when it was 63.5%.

This comes at a time when mortgage rates are very low. The 30-year fixed-rate mortgage can be gotten at about 3.6%. For the entirety of 2016 the 30-year fixed-rate has not gone above 4%. Interest rates like these can’t last for long.

With rents on the rise, the average asking price for rent is now around $880 according to the Commerce Department, you would think this is a good time to buy. The rise in rents makes the decision to buy or build more pressing.

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Best Time to build!

Home prices are on the rise. According to Case-Shiller the price rose 5.4% over the past 12 months. Denver and Portland have seen double digit percent increases in home prices.

Rising prices continue to be fueled by tight inventory of homes available, said S&P Dow Jones Indices Chairman David Blitzer in a recent statement. Therefore the shortage of affordable homes is particularly acute for first-time and “move-up” buyers which are the housing market’s bread and butter.

Consequently all the data indicates this is a great time to build your new home. With interest rates this low you can leverage the most home for your money. With limited inventory of available houses, why settle, when building an energy-efficient custom home now is such a sound investment.

Therefore if you are thinking of buying a new home, please give us a call. We can design you the custom home you truly want. Don’t settle for less.