Sequim home surplus–is there one and is it effecting home builders? There is a surplus of homes that buyers don’t want, and there are some foreclosures and short sales out there. There are also some homes that spec builders have had on the market for months and even years. Do these homes on the market at discounted prices effect home builders? Absolutely.
For the vast majority of buyers from California, Arizona, Nevada, Texas, and Montana these homes in the existing inventory with discounted desperation price tags are not appealing. There will be a buyer who looks at one and says, “Oh my God! This is it!” They’ll buy it and live happily forever. But that’s the exception.
I wrote above that, “There is a surplus of homes that buyers don’t want.” These are homes that have been for sale for a long time, and either because of their location, the age and/or architecture of the home, or some really unattractive feature that does not appeal to 99% of the population, these are homes buyers generally just don’t want. So they sit. These are not the homes that home builders are concerned about. They are not competition for a new home.
The homes that builders will be glad to see gone are the deep discounted spec homes and the few foreclosures that are on the market. While the majority of buyers do not want these homes because they do not fit their parameters, still some buyers will chose to buy one of these instead of having a custom home built.
But the biggest factor for home builders is not the existing inventory. Clients who would hire a builder to have their retirement home built in Sequim or Port Angeles have largely put their plans on hold this past year. That seems to be changing just in this past two months as buyers are purchasing lots and hiring builders again, but the stock market crash combined with the real estate market crash put building plans on hold for many retirees during 2008 and the first half of 2009.
If you are considering buying a lot in Sequim or Port Angeles, I recommend you search free online for lots at:
And if you are considering hiring a home builder with integrity and a proven track record for quality and customer satisfaction, I recommend:
And if I can answer any questions, you know how to reach me. chuckmarunde@gmail.com or 360-775-5424.
Last Updated on July 27, 2012 by Chuck Marunde
