One of the reason there might be a price increase is because the builder is selecting upgrades as the construction progresses. For instance they may have selected upgraded cabinetry or upgraded counter tops adding 10K to the cost. The underlying value for the house without upgrade may not have changed at all.
As for prospective buyers having trouble obtaining financing, I would have expected it given the subprime meltdown and considering that existing home sales are going down in price and volume (making it harder for home owners to move up).
thanks jeeman. I heard this at Derby Hill. They had two sold lots that might be back on the market due to financing. It is amazing at how someone is not sure if they can get a 1.3 million dollar loan.
thanks jeeman. I heard this at Derby Hill. They had two sold lots that might be back on the market due to financing. It is amazing at how someone is not sure if they can get a 1.3 million dollar loan.
Guys… as the developers squeeze the phase releases down to less homes per release, AND they continue to “sell” homes months in advance, such that people need to float the rates for several months it should be obvious that a percentage of homes will always fall out for a variety of reasons. Maybe people realize as the time rolls near that the mortgage payment will be to much. Maybe they will have changes of employment or other personal issues. Maybe the 10 year will run up higher and push them out. This will continue to happen. (buyers not closing)
Don’t get me wrong, I am not promising pricing reductions in any way, BUT, the best deals when buying from a developer are those “1 day” sales they have when someone fell out of escrow a few weeks from completion of the home.
Guys… as the developers squeeze the phase releases down to less homes per release, AND they continue to “sell” homes months in advance, such that people need to float the rates for several months it should be obvious that a percentage of homes will always fall out for a variety of reasons. Maybe people realize as the time rolls near that the mortgage payment will be to much. Maybe they will have changes of employment or other personal issues. Maybe the 10 year will run up higher and push them out. This will continue to happen. (buyers not closing)
Don’t get me wrong, I am not promising pricing reductions in any way, BUT, the best deals when buying from a developer are those “1 day” sales they have when someone fell out of escrow a few weeks from completion of the home.
