New Construction remains active despite elevated mortgage rates. Builders continue releasing homes in phases rather than all at once. Inventory homes are increasing, creating more negotiating opportunities. Demand remains strongest in Rancho Cucamonga, Chino, Ontario Ranch and Fontana. Builders continue to use incentives instead of large price reductions. Recent reports indicates some southern California builders are offering rate buydowns along with significant seller credits on inventory homes although these incentives typically require using the builder’s preferred lender.
Today’s market presents several advantages for first time buyers: More completed inventory means less waiting for construction; Buyers often have greater leverage to negotiate and Builders are generally more willing to negotiate on homes that are already completed.
This Weeks’ Buyer Tip
Don’t just compare the base price. Compare the total monthly payments. Many builders advertise similar home prices, but the better value often comes from:
- A lower mortgage rate thought builder incentive.
- Lower HOA dues.
- Reduced special taxes (where applicable).
- Closing cost credits.
- Included upgrades that would otherwise cost thousands.
(This message was drafted with the assistance of AI and reviewed by a licensed real estate professional)