| One of the best things about buying a new home | | | | parents' basement and are finally ready to move |
| is the untouched - pristine- cleanliness that you | | | | out. Each year a certain proportion of them are |
| are also buying. If you have always dreamed of | | | | ready to invest in a home of their own. |
| owning a brand new home, this is the time to find | | | | Actual figures show that in 2007, only half of the |
| a bargain. At the moment you can choose from a | | | | expected number of new households were |
| wonderful selection of homes with luxurious | | | | started up. To some extent this has caused the |
| touches. | | | | property markets to come to a standstill. |
| It is generally accepted that most people buying a | | | | In many areas of the USA, builders have a |
| brand new home are stepping up the realty ladder | | | | stockpile of brand new homes. Predictions are |
| and are not first time buyers. They have usually | | | | suggesting that the equivalent of a nine month |
| done their groundwork with the smaller, older | | | | supply of homes is stockpiled across the nation. In |
| home and are gleefully anticipating a sparkling new | | | | South Carolina, there are over 800 new houses |
| home. | | | | waiting to be bought from several different |
| However, before buying a new home, the existing | | | | contractors. |
| home must be sold and this will often be to a first | | | | The good news is that according to the Mortgage |
| time buyer. There has been a shortage of first | | | | Bankers Association's (MBA) weekly survey, first |
| time buyers which means less home owners have | | | | time buyers may be returning to the fray. There |
| been able to make the transition up to a brand | | | | are many good reasons why now is a good time |
| new home. This explains the problem of why less | | | | to buy your first home, and first time buyers are |
| new homes are being sold in the property market | | | | aware of this and are timidly stepping back into |
| today. | | | | the market. Hopefully they will be encouraged by |
| To a lesser extent, this lack of first time buyers | | | | the large selection they will have. |
| is a side-effect of the realty crisis. It takes nerve | | | | The MBA announced that the volume of |
| to step into the realty market and take on a | | | | mortgage application requests has just gone up |
| huge debt when you could just carry on renting. | | | | by three percent over the previous week. |
| Reading of so many foreclosures has kicked the | | | | Copious amounts of media coverage have |
| self-confidence out from under a number of | | | | educated the public into what went wrong. |
| younger buyers. They have 'cold feet' and are | | | | Repeated decreases in the mortgage interest |
| opting to stay renting, or stay in mum and dad's | | | | rates have increased public understanding of |
| basement suite. | | | | mortgages. Purchase applications also rose by |
| These figures have been confirmed after some | | | | twelve percent. |
| hard mathematical calculations by the National | | | | The NAR says that as homes are continuing to |
| Association of Realtors (NAR). Adding together | | | | be built at the same rate, the glut of new homes |
| the national birth rate, and the number of illegal | | | | will grow even larger. All these facts may point to |
| and legal immigrants, the numbers would predict | | | | a buyers' market in the new housing section of |
| that approximately 1.2 to 1.5 million households will | | | | realty. |
| normally start up annually. | | | | With this in mind, it is possible that deals can be |
| These newly-formed households are comprised of | | | | found on the new homes market. Perhaps some |
| renters who have finally saved a down payment, | | | | optional extras can now be tacked onto the |
| or adult children who have been living in the | | | | asking price; maybe landscaping or a luxury deck? |