2 Reasons Why NOW Is The Perfect Time to Build A Custom Home
Low mortgage rates coupled with a decrease in lot availability make this the perfect time to build your dream custom home. If you’ve been thinking about building a custom home, you won’t find a better time than right now.
Mortgage Rates Dropping
Mortgage rates change daily, but currently they remain historically low. If you’re considering building a home and acquiring a mortgage, how is the time to lock in a rate that you like.
For a traditional 30-year fixed mortgage you’re looking at an average rate of 3.98 percent, a significant 6 basis points decrease from what it was even last week. And 19 points lower than last month. Other loan types are also dropping dramatically [BankRate.com]. These dropping mortgage rates make this the ideal time to acquire a custom-built home with a low mortgage.
|Average mortgage rates|
|30-year fixed jumbo||4.19%||-0.05||4.24%|
|30-year fixed refinance||4.03%||-0.01||4.04%|
Last updated: May 15, 2019.
Want to see where rates are right now? See local mortgage rates.
Lot Availability Shrinking
If you already have a lot to build your custom home on, great! If not, now is the time to snatch up that perfect lot.
Houston home builders are projected to build over 30,000 new home this year, an increase of 9.1 percent over last year. This pace of construction activity means a decrease in the availability of buildable lots. Although Houston lost roughly 20k residents over the last 2 years due to a weakening economy and Hurricane Harvey, the influx of residents has typically exceeded 60k. This consistent domestic migration drives the home building industry and is further decreasing lot availability [Chron.com]. The good news is, any lot you acquire will likely increase in value over the years to come—especially a coastal dwelling property.
If you’re considering building a custom home, now is the time to strike while the proverbial iron is hot. Contact Putnam Builders today to set up a free consultation!
Putnam Builders has been building custom homes on the Gulf Coast of Texas and surrounding areas since 1963. We would love the opportunity to discuss your custom home ideas in our design studio in Bacliff, TX or in the comfort of your own home. Please contact us at 281-339-0838 or request a free consultation.