Whats happening with new construction in Kentucky?
Well... costs are going up because prices are still rising on materials.
If you have a good credit rating and are still considering building a custom home, you should get started because prices will never be the same. New homes are actually getting smaller... but will have more amenities.
Large homes may be a thing of the past.
Compared to 2007, housing starts are down in Kentucky by about 1,500. The actual number of new homes being built so far is about 10,000. Many of them are custom homes featuring Green and Energy Star.
Spec houses that have been on the market are being discounted by builders and there are a few bargains. To sell them at a discount is better than sitting unsold. Home values are not dropping in Kentucky like some other states including California.
How have loans changed?
You may be asked for more money down. Times sound bad if you listen to the media, but Kentucky banks are still lending and you just need to get approved before shopping for a home.
You will need a bank pre-approval and if you have a house to sell. Get it under contract before you go look at homes.
Most sellers are not interested in accepting an offer contingent upon the sell of your home.
The serious buyers are out there NOW.
Now is the time to get a bargain, not months from now in the spring. That's when most buyers will be out shopping and ready to move.
Lizette Fitzpatrick- Principal Broker at Lizette Realty.
#1 featured Kentucky Realtor on Activerain.com and Localism.com.
Publisher/Author for the only Central Kentucky email newsletter on local real estate listings and sold properties, Kentucky relocation, local events, homeowner information and fun!
For more information on Lizette, Kentucky Horse Farms, Lizette Realty, Madison County, Fayette County, Richmond or Lexington KY real estate click on Lizette.us.
See for yourself what Lizette's extraordinary clients have to say about their Kentucky Real Estate experience. Copyright © 2009 By Lizette Fitzpatrick, All Rights Reserved...*What's happening with new construction in Kentucky*
Lizette, one reason I heard construction prices are up is the cost of shingles has gone way up. Sellers you are right, don't like contingencies on the sale of their house.
Lizette--I think people all over the country are rethinking what is the best new house. Good of you to keep your Kentucky clients informed on housing trends.
My husband is a builder and the cost of materials is down in some aspects but the price of shingles, concrete, etc keep fluxuating so drastically that it is making it difficult to be competitive with the homes that some are "giving" away! I understand the need to sell due to the economy but the extremely low pricing on new construction is awful!! I recieved an email from KAR and they ask that we contact our local House representative for a bill to be passed that would encourage new construction sales. What called for was a $10,000 tax credit for a new construction purchase between May 10, 2009 to May 10, 2010. I called and tried to voice my opinion but the receptionist claimed that I could leave a message and she would pass it along!! I am sure she made sure my one vote made the impact due to the fact that from what I understood from another KAR email, the bill was not even discussed. Sometimes it makes you wonder.....