May 17, 2021
You may have heard about the increased lumber prices and the lack of housing inventory across the country. Spring 2021 is an unusual time in the housing market. The global pandemic combined with other unforeseen circumstances wreaked havoc on the supply chain too. Together, this has increased the costs associated with building or remodeling a home. On the other side of things, interest rates are low, the possibility of remote work makes it possible to expand your new home search, and it’s a seller’s market for current homeowners. It can seem overwhelming to take on a new home search now, but there’s almost never been a better time.
It’s Not a Bubble
Unlike in 2008, this isn’t a bubble and there won’t be a crash; these new prices are here to stay and will in all likelihood, only be increasing. This is a good thing for current homeowners. It means you’ll likely make a nice profit from the sale of your current home. Something you can use toward the purchase of a new home that will help cushion you from rising home prices. This might make you think about waiting it out but the problem with that is that there’s no telling when these prices will level out. The buy/sell scale is in your favor NOW.
Lumber Prices are Going Up
The supply chain and lumber shortage issues aren't going to get resolved in the short term. For current homeowners this means that any remodel will also cost significantly more than you might have assumed. For first time home buyers and move-up buyers this means that the price of new homes is likely to be higher in 6 months if for no other reason than this. The cyber attack that took place on the oil pipeline in early May 2021 might also have an impact on prices moving forward.
Low Resale Inventory
Contributing to the interest in new homes is a historic low of resale home inventory. If you’ve spoken to a real estate agent recently, then you know this. Resale homes are nowhere to be found. Therefore making already desirable new homes in places like Greystone at Highland Woods, Ashwood Park , or Americana Estates even more desirable. This increased interest means that new homes are also in short supply. Investing in a new home sooner rather than later ensures that there is availability in the Chicago area community that you’re interested in.
Interest Rates are Low
Interest rates are currently low. They did increase in the beginning of 2021 and they are forecast to continue to rise as the economic recovery continues in the US. Buying a new home now means you can lock in your rate now, ensuring the best rate possible. This is a great incentive to buy your new home now.
Working Remote Opens Up Your Options
One of the bigger impacts on new home buying has been remote work. Because people are no longer tied to living close to where they work, the places in which people seek to live are expanding. With a new Overstreet home, you can still live near Chicago, or Overstreet Builders will build on your lot. From Naperville to Elgin and over to Arlington Heights, Overstreet builds in communities with desirable locations.
Buying a new Overstreet home now will let you enjoy features such as a first floor owner’s suite, available in plans like the Berkshire, the Oxford, or the Arlington. If more office space is what you’re looking for then you’ll love the Emerson or the Kensington. Spread out, enjoy the beauty of your new Overstreet Home and pat yourself on the back for making a sound investment at the right time. The saying really is true, “there’s no time like the present” to buy a new home, especially if it’s an Overstreet home.