{ "media_type": "text", "post_content": "According to Redfin, new constructions are becoming more expensive than ever while pre-owned home sales prices are going down. Check new construction value in data center.\n\nWhat would explain this trend?", "post_id": "628e4d1790c1230024a80669", "reply_count": 13, "vote_count": 2, "bowl_id": "5a5242b78e26290018502ca0", "bowl_name": "The Real Estate Bowl", "feed_type": "bowl" }

According to Redfin, new constructions are becoming more expensive than ever while pre-owned home sales prices are going down. Check new construction value in data center.

What would explain this trend?

like
Posting as :
works at
You are currently posting as works at

Cost of supplies and labor is up driving construction costs up, interest rates are up leaving more people to stay in their current homes on their lower rate mortgages

like

The cost of renovating and finding available contractors these days is so high. People probably figure they might as well just start the whole house a new.

You are 100% paying a premium for new construction. Supply chain issues, material costs, labor shortage - just a glimpse at what’s driving those inflated prices.

like

I guess I expected supply issues to push up used and new home sales prices together, albeit at different rates

That’s not exactly what Redfin is saying. They’re saying that 1 out of 5 sellers is dropping their price which is the highest rate since 2019. That is a bit misleading, because home prices are still up 16% year over year

So imagine this: sellers are putting out “extremely expensive” asking price, then bringing it down to a more reasonable “very expensive” asking price

smart

Interested as well

For me, the existing homes I was interested in were going to require so much work and the prices IMO were inflated for houses that needed work. I found it a better deal to purchase a tear down house and build anew. Easier to get contractors for a whole house build than to try and get various contractors for various jobs.

We ended up buying a new home as well. In the town we were looking at the price difference between new and existing was about 10%. Made more sense to go new at that point. Plus long term, home values tend to increase more with new builds…especially if you buy In early.

Materials for one. Lumber and drywall especially. Skill laborer shortage, having to pay people more to work. Rise in fuel cost. It's everything.

Additional Posts in The Real Estate Bowl

Any recs on where to dry clean white shoes in downtown Manhattan (FiDi/Tribeca)??

like
like

Doesn't taking out equity when you refinance just put you in more debt / for longer? You could just get a different loan right if you need money?

like

Do you feel as though your firm is doing enough to mitigate climate change through how they invest, what they fund and the firms own net zero targets?

like

I am a middle school social studies teacher and my husband is a high school art teacher. He has been an art teacher for a very long time and he’s not super proficient with Google classroom but I am. I have been helping him with lesson online resources & creating hyper docs for the lessons. He is struggling with the students not having a lot of supplies at home and how to have them create multiple day art pieces.  he teaches at a low income area, how is everyone handling supplies to students? 

like

Hello everyone! Happy hump day! We’re on the fast track to the weekend now! Yay! Although I do love my job too so I am very lucky! However - I haven’t had a pay rise for over 4 years and with all the cost of living going up I need to re- think my options. People keep telling me it’s an employees market out there and you can command what you want - but I’ve been asking for years and they won’t budge. any advice? I manage design in the company and I am a line manager- what should I be on?

like

Thinking about finally going to see Rogue One tomorrow night. Love it or hate it?

like

Thoughts on Mayor Hancock traveling to Mississippi when he puts us on red level? Poor leadership imo. Practice what you preach.

like

What is your best classroom management trick?

like

Any advice? 6 YOE of experience as risk advisory specializing in IT and SOX consulting. Looking to make the transition as a program manager for ops cloud. Any tips to make my application stand out?

like

Hi Fishes,

IBM Deloitte EY

Looking for UI developer roles in IBM / Deloitte / EY.


YOE is 4

Location : chennai / bangalore

like

what is the maximum package offered to the Azure DevOps Lead at EPAM Anywhere/Systems?

What are some of your favorite tech companies that aid the retail sector? I want to be in tech but also have a passion for customer experience

like

What are the most lucrative sales positions for someone who is entry level? I’ve been in Pharmaceutical Sales for around 6 months now, and I’m looking for a role with a company that has higher earning potential. I have a MS degree as well.

like

What cert would you recommend after CISSP? I’m looking towards CAPM or CCSP next but definitely interested to hear other suggestions. Thank you.

like

I ping-pong between wanting to leave and wanting to stay at Salesforce. Why did you leave Salesforce - and how is it going in the after-salesforce-life?

like

Hey All,
What should be the expected salary these days for a 16.5 years exp in Barclays having C++ skills and banking knowledge? And at what amount of experience they give VP position?

like

Additional Posts (overall)

We liked a single family home but they have master on main level. Would you consider it a deal breaker?

like

Any thoughts/recommendations for home warranties? Closing in a few wks and I’m looking at Super Home Warranty.

like

Inflation is good for us property owners, yes?

funny

For those in VA, how’s the market looking right now?
Also did you have to wavie contingencies or kept everything normal (appraisal, inspection, etc)

like

At what percentage would you consider it a lowball offer vs just a low but respectable offer. My agent told me 10% is lowball but I think it’s not that bad.

like

Looking to buy a fixer upper duplex to house hack soon... If I put new floors in, would you go with laminate hardwood or laminate vinyl?

I obviously want durability at a cheap price, but while I'm living there, I don't want the floors to be super cheap... Any advice?

like

I’m graduating undergrad in May and want to do real estate investing long term. Is it worth it to get my brokerage license in the state that I’m moving out of (I would want to do out of state investing) or should I just take a general real estate investing class. The goal would be to grow in knowledge about all things real estate. Also, any advice on real estate investing for a beginner would be appreciated!!

like

Hi Fish fam! New to this bowl! Looking to buy a 1 or 2-bedroom condo/ townhouse in Bay Area. Any rec on reliable realtors would be much appreciated!

like

Any recs on where to park $300k for 3-6 months while my LLC takes a pause on buying RE? My partner has low-ish risk tolerance but I'd like a better return than the "high yield" savings.

like

anyone in the pittsburgh/greater pittsburgh (PA) area have any advice/insight/tips for RE investing in the area. currently live in nyc and i’m looking to invest in RE back in pgh. any tips welcome

Anyone who has got the best rate for 30 year fixed, no pmi and lower closing costs? Bank / credit union / lender name please. Thank you

like

I own a second home that I'm thinking of renting out periodically when we're not living there. What tax implications should I think about? For example, if I rent it out, I think I can deduct home repairs, home remodeling costs, heating and other utility bills (which are pretty high because the second home is in the Northeast), depreciation, etc. Is there anything else I should consider? Are there any negatives to renting out my home (other than the extra work and having strangers in the house)?

like

Looking for some advice. I have a Heloc with a 75k line. Should I tap 50k of it to buy another property which will net me a 10% return (after first mortgage and loc interest is paid)? Then, I would pay down the line by 3-4k per month. The 10% return would equate to $250 per month. OR do I just save up more cash and not tap the line (as much) and make $400 per month on the rental. Option 1 or 2 make more sense?

like

Any virtual real estate attorney consulting firms? I need an immediate consultation, how do I find good one.

like

For those that have preferred status at Bank of America, did you get your mortgage at BAC?

like

How long do your rentals generally stay on the market before finding a tenant? We priced on the higher end of the market but wondering how long to let it sit before reducing?

like

Looking for an API to extract rent prices - anyone know of a (hopefully free) source?

like

Using a property manager for the first time. They recommended some updates to my condo before listing, which I agreed also needed to be done. Came back with a quote from their handyman which seemed a bit high to me.

Do people ever try to negotiate these prices? Or should I just try to find my own vendor? Thoughts? TIA!

like

4K to rent for a single person with TC around 280? Seems a little obscene but major homebody with no debt / limited expenses. Probably not the time to buy but hate to burn the cash

like

Thinking of buying a co-op in nyc. Live in and sell in 5 years. The places I’m looking at have monthly fees HOA of 700-900, do these stay consistent or would they go up over time?

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
Download Fishbowl to see what others are saying
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the Fishbowl app

Sign up for free to view this conversation on Fishbowl

By continuing you agree to Terms of Use and Privacy Policy.

Already have an account? Log in

New to Fishbowl?

image with Fishbowl logo and arms reaching out for a handshake

Already have an account? Log in

By continuing you agree to Terms of Use and Privacy Policy.
Messaging rates may apply

For account settings, visit Fishbowl on Desktop Browser or

General

Legal