Category Archive: ‘Builders’
A brief video tour of some new model homes in southeastern Carlsbad. The beauty of these smaller tracts is that they are only building 49 homes, which will probably take them two years to construct. At that rate, they only have to sell two houses per month.
P.S. The cover photo is not a graveyard!
In Carmel Valley, the P-team is cranking up the new-home production in 2015, with several new homes in all price ranges coming to market.
Sellers of older existing homes can use these as a guide for pricing – because you know the buyers will:
Just when you think the McMansion might be dying off….these Santaluz-ish new tract homes range from 4,396 sf to 7,384 sf!
They don’t have the mello-roos listed on the price sheet, and I couldn’t find any mention of it on their website either – which means it’s probably in the $400-$500 per month category?
The La Costa Town Square is open for business, and nearby new-home builders should benefit from the easy access to new shops and restaurants:
The higher-priced new homes help to accelerate the values of existing homes. All sellers have to do is undercut the price of new tracts nearby – if there are any! HT to daytrip for sending this in from the latimes.com:
Builders have piled in to pricey ZIP Codes — bidding up land costs there in the process — and polished their projects to a high gloss to woo wealthy buyers with cash or good credit.
“Builders have been focusing very heavily on the move-up market as opposed to entry level,” said Bradley Hunter, chief economist at housing research firm MetroStudy. “There’s a simple reason: That’s where the profits are.”
Meanwhile, projects aimed at the middle of the market remain scarce, and overall home building is off about 60% from a decade ago. The shortage of new lower-priced product is one factor making Southern California among the toughest housing markets in the country for middle-income families.
New homes have almost always sold at a premium. They come with bells and whistles — including energy-efficient appliances and often a warranty — that a decades-old house can’t match. But that premium has hit new highs this year.
In January, the gap between median-priced new and resale homes in Southern California peaked at $151,000, a 41% premium for a new house. And although it has eased a bit since, it has been larger than $100,000 in nine of the last 10 months, compared with an average of $38,000 over the last 25 years, according to CoreLogic’s figures. The same trend is playing out nationally, though in less dramatic fashion.
Higher-end home builders see this dynamic too, and they’re gobbling up what land is left. Luxury builder Toll Bros. acquired 3,200 lots in Southern California this year when it bought Shapell Homes, part of its plan to expand from its East Coast base into higher-growth markets. Now Toll is working on five new communities, from Santa Clarita to Carlsbad, in prime spots with good schools. It will start selling homes next year, said Jim Boyd, head of Toll’s California operations, and expects to do well.
“I think the market is pretty strong,” he said.
Read full article here:
The next release is scheduled for this weekend, and they are busting loose. Previous phases have had 4-5 houses released for sale, but this week NINE will be hitting the open market. There are dozens of people on the priority list, but none of these are canyon-front so it will be interesting to see how they do:
Plan 2 = 4,458sf
Plan 3 = 5,288sf
Plan 4 = 6,235sf
An update on the McMansions off the freeway – grand opening was April 5th:
The new houses in Leucadia had their grand opening on Saturday, and they look good. In fact, they look very similar to Davidson’s Arterro homes, and not just because they had Bill’s wife do the interior design – the Plan 3 layout itself is similar to Arterro’s Plan 2.
But the Shea homes west of I-5 are at least 1,000 sf smaller, have two-car garages, and tiny lots – but all are in the same price range ($1.0 to $1.2M). Here is a tour of both (YouTube muted out my first try, so some of the blaring house music was turned to zero volume):
Arterro Plan Two Model:
Take a realtor with you on your first visit, and be represented. Builders pay the agent – somewhat reluctantly – and won’t give a credit to you otherwise, so you might as well be represented. The sales people only represent the builder, and they have a knack for making every upgrade sound enticing. Your agent can help you make smart choices.
At the end of this video is a solution to what might be ailing Phase 2 sales on this side of the street: