In February 2021, new home sales fell according to month-over-month data collected by Zonda, the real estate analytics firm. While that may seem surprising considering the low housing inventory and high demand from buyers, the reason for that dip is not what you think it might be.
Buyers have not turned away from new home sales, rather, new home builders are having to turn down projects because they have too much on their plates. New home sales are up 35% across the US, and Tampa is one of the top 10 cities feeling the crunch. The Tampa real estate market has seen a 13% month-to-month increase in new home pending sales, and a 43.7% year-to-year increase in new home pending sales. That is huge!
Unfortunately, it means new home builders are exceedingly busy. Plus, with skyrocketing lumber prices, they are trying to minimize the impact to buyers. “Seventy percent of builders are intentionally slowing or pausing sales to better align contracts with production capacity,” says Ali Wolf, the chief economist of Zonda.
What does that mean for Tampa home buyers? If you are exclusively looking to purchase a new home, you may need to widen your search and either look in surrounding neighborhoods or at existing home stock. Whether you choose to do this or stick to a new home, I can help you locate a place you will be excited to call home. Contact me today to get started.