Building Houses Into Today’s Real Estate Environment

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There has been a lot of trepidation in the real estate market since it crashed five years ago but all is not lost.  We have waited and watched and slowly but surely things are getting better.  In fact, this year is got off to a very strong start and I project even stronger months ahead.

At a time when overall costs are down despite economic difficulties in many regions, building a home is an excellent endeavor.  To find out what is happening in the builders’ market, I met with Harry Dill, co-owner of Sterling Homes and expert in the homebuilding industry for over 35 years.  As a member of a number of associations, boards and communities, Harry has seen a lot of ups and downs in his career but he has good things to say about the market right now.  Here are some of the questions I asked him:

How has the year started off in the new homes industry?

For the first time in five years, I can finally say I am confident about the market.  We are seeing evidence of a recovery ahead.  More clients are interested in building new homes and in fact we are putting more new homes on the market than we have in a while now.  After what we went though a few years ago, I am finally able to say that I’m cautiously optimistic about the state of our market but we do seem to be heading in a positive direction.

What do you look for as you forecast the coming months this year in terms of the new built homes?

This is an industry where I’m fortunate enough to be in touch with a lot of people in the business; suppliers, other builders, vendors, etc.  One of the things we look at is what others in the same industry are doing.  Another thing we look at is how consumers are feeling.  If I see that they are spending more of their discretionary income then that is an indication of confidence – something that drives the economy and housing industry.  When you see people out there spending, you know the market is heading in a good place.

What would you tell someone that is on the fence or someone that is looking to upgrade or build their dream home?

Now is a great time to build your own home.  So many factors contribute to this, including the fact that labor prices are down, the overall cost of the market is down, prices are staying low –including the price of materials.  With the exception of a few items that are dependent on the price of fuel, almost all costs are lower than what we’re used to seeing. When you combine that with the affordable mortgage market right now, it’s a great situation and the perfect time to build.

Do you have any advice for new or prospective owners of newly built homes?

Even though we have seen a lot of positive activity in the last several months, a full market recovery will take some time.  I think it’s important to remember that even though there was a point in time that everyone’s home values went up so high – they came back down.  So climbing back up again will be a slow process.  It is the best time that is has been in a while to get a good deal right now so if you are interested in moving, now is a great time to build your dream home.
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There you have it – words of wisdom from Myrtle Beach’s own Harry Dill, one of the industry’s most experienced and decorated homebuilders; a gentlemen I’m honored to have had the opportunity to speak with.

If you’d like to explore your options or see what’s out there in terms of a newly built home or otherwise here in the Grand Strand, contact me today!