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There is a Shortage of Resale Homes, Which is One Reason Why You Should Buy New!

A recent Realtor.com article provides interesting data about the shortage of re-sale homes available for purchase.  In a nutshell the data indicates that there is a very low supply of resale (or new inventory) available.  This is good news if you are trying to sell your house (you will likely not have to wait long to get a contract, and likely achieve or exceed the asking price), but it can also lead to frustration because you cannot find a home you would like to buy!  Basically you are ready to move, and you will make money on your home, but you can't find a better house to purchase.

This is where purchasing new can really have its advantages.  In addition to the normal advantages of buying new (you pick what you want, the home has a warranty, more efficient on utilities, less maintenance, etc....) purchasing new has unique advantages over buying resale when there is a shortage of quality homes on the market.

You can write a contract to purchase your new home before you ever list your existing home.  You can pick your lot, pick your features, and know the exact price of your home, all before you have to make the decision to sell your home.  Most new home builders in St. Louis (and certainly Flower & Fenlder) wil let you write contingent on the sale of your existing home), so you know exactly what you are going to get before you ever have to put your home on the market (you know if you sell you are moving to a better place).  If you are buying resale, you can't lock in that price or pick the house until you sell your existing house.  Most people don't even start looking until they get a contract, so they are under a lot of pressure to find a home, and often settle for whatever is on the market at that time.

This is a pretty low risk situation as well, in that if your home does not sell for the price you want, you can simply terminate your contract, and you are not any worse off than you were before.  

If you are interested in finding out about how to purchase a New Home in St. Louis from Flower & Fendler, please call or email us to find out more about the options we have to help you make the move from an existing home to your new dream home.

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