How Does New Construction Help with Supply Issues and Affordable Housing?
Given how few pre-existing and resale homes are for sale these days, all this new construction around the Triangle should eventually help with the housing affordability problem — at least in theory, right?
More supply from New Construction to meet the buyer demand should balance the supply and demand issues that have been driving housing prices up for the past 7 or so years. But much of what’s being built this past few years was more high-end luxury housing, including larger homes and luxury apartments and that has not helped affordability for first time home buyers in the Triangle. But that might be changing.
Builders are still facing the same challenges as before the Covid related downshift in New Construction began. A lack of workers, diminished supply of available land, high costs of regulations, supply chain issues affecting materials, as well as potentially tighter financial conditions have all put a damper on New Construction productivity. All of this contributed to slower than normal new construction production and it has made prices soar in the resale market.
The Federal Reserve’s aggressive effort to tamp down growing inflation by raising its baseline interest rates significantly weakened buyer demand late last year and into early 2023. These interest rate hikes sent mortgage rates soaring and compounded a tough situation for buyers already facing high home prices and a lack of available supply. Builders have finally seen the need to build more affordable housing to meet this pint up demand, such as townhomes and more modest single family homes. This incoming supply could also push down rents, which have soared throughout the pandemic era alongside re-sale home prices.
The two founders of adorn REALTY both hold specialty certification in New Construction with a NHCP Real Estate certification and can expertly guide you in the process of custom building, New Construction homes purchases and home ownership. Their vast experience, concentrated training and community connections can help you find a New Construction home of your dreams!
More supply from New Construction to meet the buyer demand should balance the supply and demand issues that have been driving housing prices up for the past 7 or so years. But much of what’s being built this past few years was more high-end luxury housing, including larger homes and luxury apartments and that has not helped affordability for first time home buyers in the Triangle. But that might be changing.
Builders are still facing the same challenges as before the Covid related downshift in New Construction began. A lack of workers, diminished supply of available land, high costs of regulations, supply chain issues affecting materials, as well as potentially tighter financial conditions have all put a damper on New Construction productivity. All of this contributed to slower than normal new construction production and it has made prices soar in the resale market.
The Federal Reserve’s aggressive effort to tamp down growing inflation by raising its baseline interest rates significantly weakened buyer demand late last year and into early 2023. These interest rate hikes sent mortgage rates soaring and compounded a tough situation for buyers already facing high home prices and a lack of available supply. Builders have finally seen the need to build more affordable housing to meet this pint up demand, such as townhomes and more modest single family homes. This incoming supply could also push down rents, which have soared throughout the pandemic era alongside re-sale home prices.
The two founders of adorn REALTY both hold specialty certification in New Construction with a NHCP Real Estate certification and can expertly guide you in the process of custom building, New Construction homes purchases and home ownership. Their vast experience, concentrated training and community connections can help you find a New Construction home of your dreams!
Map of Wake County
New Construction Communities in the Triangle
(alphabetical by area)
Click the links below to visit the community websites
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Old Sorrell Estates
Luxury Homes from 1.4m Visit the community website Townes at Westford Townhomes from the 400s Visit the community website Stillwater Single Family form the 700s Visit the community website Olde Farm Luxury Homes from 1.4m Visit the community website Young farm Single Family form the 700s Visit the community website |
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Daniel Farms
Single Family form the 300s Visit the community website Alder Creek--coming soon in 2024! Single Family homes Visit the community website |
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Corners at Brier Creek
Townhomes Visit the community website Barlow Townhomes starting at 400,000 Visit the community website |
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Destin
Luxury Homes from 1.4m Visit the community website Montvale Luxury Homes form 900k-2m Visit the community website |
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Morgan Ridge
Single Family from the 700s (no website available) Westfall Single family homes from the 800s Visit the community website Bridgepointe Single family homes in the 500s Visit the community website |
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Highland Park
Townhomes from the mid 300s Visit the community website Lochwood Three story townhomes form the 300s Visit the community website Forty and Page Townhomes from the high 300's Visit the community website Harlowe Point Single Family starting form the low 400's Visit the community website Tanglewood--coming soon Townhomes Visit the community website Triple Crown Townhomes and single family Visit the community website |
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Woodbridge South
Single Family homes from 400 Visit the community website Broadwell Trace Single Family homes from the low 400s Visit the community website Springwood Townes Townhomes from 400 Visit the community website Brighton Ridge Single Family homes form the high 400s Visit the community website Birchwood Grove Single family homes form the 400s Visit the community website Cotton Farms Single Family luxury homes form the 600s Visit the community website |
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Ford Meadows
Single Family form the 400s Visit the community website Ridgemoor Townhomes and single Family Visit the community website |
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Carolina Springs
Townhomes and Single Family Visit the community website Bridgeberry Single family homes form the high 500s Visit the community website The Mills at Avent Ferry Single Family homes Visit the community website |
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Silver Station- coming soon
Single Family homes (no website available) |
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Sauls Glen
Single Family form 400s Visit the community website Creedmoor Manor Luxury homes from 1m Visit the community website Piedmont Point Single Family from the 400s Visit the community website Forestville Station- coming soon townhomes (no website available) Edge of Auburn Townhomes and Single Family Visit the community website 5401 North Townhomes Visit the community website Milburnie Ridge Single Family Visit the community website Trace at Olde Towne Townhomes Visit the community website |
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Riverwalk
Single Family homes from 400 Visit the community website Franklin Townes Townhomes from 300 Community SOLD OUT! |
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Devon Square
Townhomes and Single Family homes Visit the community website Community SOLD OUT! Elizabeth Springs Single family homes starting at 460 Visit the community website Rosedale Townhomes and Single Family Visit the community website Charleston Traditions at Bowling Green Charleston style homes form the mid 400s Visit the community website Radford Glen Single Family form the mid 500s Visit the community website |
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Groves at Deerfield
Single Family & Townhomes form the 300s Visit the community website Eagle Trace coming soon (no website available) Magnolia Townes- COMING SOON townhomes from the 400s Visit the community website |
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Bakers Farm
Single Family homes from the high 300s Visit the community website The Retreat at Green Haven Single Family homes form the mid 500s Visit the community website The Enclave at Hidden Lake 55+ Single family form the mid 400s Visit the community website Hidden Lake Estates Single family form the 800s Visit the community website |
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