[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"$f2falbqusmamtg":3,"$ffeh0925h8cuz":47,"$fbwk2pqjjqsc7":51},{"item":4,"previous":35,"next":41},{"id":5,"slug":6,"title":7,"description":8,"excerpt":9,"contentType":10,"featuredImage":11,"bannerImage":9,"body":12,"agentsBottomLine":13,"bodyImage":14,"isInfographic":15,"categories":16,"isVideo":15,"videoThumbnail":9,"videoSource":9,"publishedAt":33,"updatedAt":34},826,"1-answer-to-the-housing-shortage-new-construction","#1 Answer to the Housing Shortage: New Construction","The biggest challenge to today’s housing market is the shortage of housing inventory for sale. A normal market would see a six-month supply of homes for sale. Currently, that number is below four months. This is the major reason home prices have continued to appreciate at higher levels than historic averages.","","blog","https:\u002F\u002Fsimplifyingmedia\u002Fwp-content\u002Fuploads\u002F2017\u002F05\u002F16105043\u002F20170523-Share-STM1.jpg","The biggest challenge to today’s housing market is the shortage of housing inventory for sale. A normal market would see a six-month supply of homes for sale. Currently, that number is below four months. This is the major reason home prices have continued to appreciate at higher levels than historic averages.\u003C!--more-->\r\n\r\nThe good news is that builders are now starting to build more homes in lower price ranges.\r\n\u003Ch4>\u003Cstrong>Builder Confidence is Up\u003C\u002Fstrong>\u003C\u002Fh4>\r\n\u003Ca href=\"http:\u002F\u002Fwww.nahb.org\u002Fen\u002Fresearch\u002Fhousing-economics\u002Fhousing-indexes\u002Fhousing-market-index.aspx\">\u003Cem>The Housing Market Index\u003C\u002Fem>\u003C\u002Fa> from the \u003Cem>National Association of Home Builders (NAHB)\u003C\u002Fem> reveals that builder confidence increased last month. \u003Cem>HousingWire\u003C\u002Fem> quoted \u003Cem>NAHB Chief Economist \u003C\u002Fem>Robert Dietz about the reason for the increase in confidence amongst builders.\r\n\u003Cblockquote>\u003Cem>“The HMI measure of future sales conditions reached its highest level since June 2005, a sign of growing consumer confidence in the new home market. Especially as existing home inventory remains tight, we can expect increased demand for new construction moving forward.”\u003C\u002Fem>\u003C\u002Fblockquote>\r\n\u003Ch4>\u003Cstrong>Builders are Meeting the Needs of Today’s Purchaser\u003C\u002Fstrong>\u003C\u002Fh4>\r\nBuilders are not only jumping into the market – they are doing a better job of matching current demand. \u003Cem>The Wall Street Journal\u003C\u002Fem> \u003Ca href=\"https:\u002F\u002Fwww.wsj.com\u002Farticles\u002Fthe-next-hot-housing-market-starter-homes-1494495003\">recently reported\u003C\u002Fa>:\r\n\u003Cblockquote>\u003Cem>“In a shift, new households are overwhelmingly choosing to buy rather than rent. Some 854,000 new-owner households were formed during the first three months of the year, more than double the 365,000 new-renter households formed during the period, according to Census Bureau data.”\u003C\u002Fem>\u003C\u002Fblockquote>\r\nThe \u003Cem>WSJ\u003C\u002Fem> article went on to say:\r\n\u003Cblockquote>\u003Cem>“Home builders are beginning to shift their focus away from luxury homes and toward homes at lower price points to cater to this burgeoning millennial clientele.”\u003C\u002Fem>\u003C\u002Fblockquote>\r\nThe graph below compares 2016 to 2017 new construction sales by price point. As we can see, builders are slowly beginning to shift to prices more favorable to the first-time and non-luxury buyer.\r\n\r\n\u003Ca href=\"https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002Fwp-content\u002Fuploads\u002F2017\u002F05\u002FNew-Home-Sales-STM-ENG.jpg\">\u003Cimg class=\"alignnone size-full wp-image-35567\" src=\"https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002Fwp-content\u002Fuploads\u002F2017\u002F05\u002FNew-Home-Sales-STM-ENG.jpg\" alt=\"#1 Answer to the Housing Shortage: New Construction | Simplifying The Market\" width=\"650\" height=\"488\" \u002F>\u003C\u002Fa>\r\n\u003Ch3>\u003Cstrong>Bottom Line\u003C\u002Fstrong>\u003C\u002Fh3>\r\nThere is a drastic need for a larger supply of home inventory to meet the skyrocketing demand. Builders are finally doing their part to help rectify this situation.","\r\nThere is a drastic need for a larger supply of home inventory to meet the skyrocketing demand. Builders are finally doing their part to help rectify this situation.","https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002Fwp-content\u002Fuploads\u002F2017\u002F05\u002FNew-Home-Sales-STM-ENG.jpg",false,[17,21,25,29],{"id":18,"name":19,"slug":20},5,"For Buyers","buyers",{"id":22,"name":23,"slug":24},11,"First-Time Buyers","first-time-buyers",{"id":26,"name":27,"slug":28},38,"Move-Up","move-up",{"id":30,"name":31,"slug":32},45,"New Construction","new-construction","2017-05-18T10:00:52Z","2017-05-16T11:42:41Z",{"id":36,"slug":37,"title":38,"featuredImage":39,"publishedAt":40,"contentType":10,"isVideo":15},825,"selling-your-home-is-your-listing-pet-friendly","Selling Your Home? Is Your Listing ‘Pet-Friendly’?","https:\u002F\u002Fsimplifyingmedia\u002Fwp-content\u002Fuploads\u002F2017\u002F05\u002F09144611\u002F20170517-Share-STM.jpg","2017-05-17T10:00:58Z",{"id":42,"slug":43,"title":44,"featuredImage":45,"publishedAt":46,"contentType":10,"isVideo":15},827,"why-americans-consider-moving-to-another-state-infographic","Why Americans Consider Moving to Another State? 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