nThe stats are in, and new home sales were up 12.2% in 2016 from the previous year. While new construction is a popular option with many buyers, they come with a significantly higher price tag: the median price for a new home purchased in December was $322,500, compared to the existing home median price of $232,000.
Despite the surge in new construction, industry experts have admitted that it’s still not enough to balance the supply and demand of homes. A high demand for new homes and a relatively low inventory of homes for sale has led to fierce competition among buyers – and an overall housing shortage.
So why aren’t more new homes being built? Builders have pointed to limited lots available for development, as well as a labor shortage and difficulty obtaining financing. As a result, it’s expected that we’ll see more new construction options in the further suburbs (including Berks, Lehigh, upper Bucks and western Chester County) where land is more plentiful.
If you’re interested in buying a brand new home this year, we’d love to introduce you to an EveryHome agent who specializes in new construction, and show you around some of the beautiful local communities. Just give us a call at (215) 699-5555!