Archive for the 'New Construction Homes' Category
North Raleigh Homes For Sale - Bedford Still Going Strong
May 29th, 2008 Categories: Bedford, New Construction Homes, North Raleigh
The Bedford neighborhood in North Raleigh has been one huge success story. This neighborhood has won multiple awards for design and planning. Once you visit Bedford, you’ll understand why.
The neighborhood is full of tree lined streets, sidewalks on both sides of the street, parks and common areas, ponds, walking trails, a community center with swimming pools and tennis courts. There is even a four sided clock in an old fashioned town square. Just hang out for a bit and you will see kids playing in the parks, adults running and walking dogs. People stopping by a neighbor’s porch to chat for a while. Yes, the old fashioned community feeling is alive and well in Bedford.
And don’t fret if you have been on the fence waiting to buy a home in this great community. There are plenty of opportunities left and the neighborhood amenities just keep on getting better and better.
The latest phase of Bedford is now open and there are about 20 homes in inventory at any given time. This new phase is called the Wainwright Collection and features some of the area’s very best builders. Well known custom builders such as Houseman, Woodard, Tingen, CityScape, Rice, and Timberline are building some really great homes that will keep the Bedford building tradition going for a few more years.
The first phases of Bedford sold really well despite a common comment that the yard sizes were a bit on the small size. With a neighborhood design such as Bedford, with so much common area and walking trails and sidewalks, small lot sizes have worked much better that you might think. However, the developer has listened to the feedback and responded with larger lot sizes in the new phase.
Home sites are now 1/3 acre minimum with some cul-de-sac lots measuring even bigger. There are even basement lots available. Almost unheard of in the Raleigh real estate market.
There are some brand new neighborhood amenities on the way that will make Bedford an even more convenient place to live. A new commercial center is under construction near the clock tower. There will be a day care center, fitness center and an Italian restaurant for starters. Once these things take off, who knows what will be next.
Home prices for finished inventory range from $217,000 for townhomes to $700,000 for some incredible homes with tons of custom details. If you haven’t checked out Bedford in North Raleigh yet, you owe it to yourself to pay a visit. If you would like a personal tour of some of the finished homes, or want to take a look at available lots for per-sale opportunities, just give me a call at 919-602-7000, or send me an email.
Search all Bedford homes for sale
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New Lots, a Park, and a Pond at Heritage Wake Forest
May 14th, 2008 Categories: Heritage, New Construction Homes, Wake Forest
I was just out at the sales center for Heritage Wake Forest and found out about some exciting new developments. If you’ve always wanted to be in this awesome community and were afraid it might sell out before you were ready, fear not.
In addition to the 121 new construction homes in inventory right now and the 67 re-sale homes, over 200 brand new lots have just been released. Opportunities for new homes for sale in Heritage will be going on for a while.
The other neat thing I found out is there is a brand new park with a very nice pond feature that is just about complete. I drove by it and it will be an really nice park area for the neighborhood. I didn’t have time for photos, but I promise to take some in the next few days and write another article.
Click here to take a look at some of the homes for sale in Heritage Wake Forest?
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What Happens If My New Home Is Delayed?
May 9th, 2008 Categories: Buying a Home, New Construction Homes
Builders contracts favor them and do very little to protect the buyer. That’s simply a fact. One often glossed over term in a builder’s contract is the amount of time allowed for delay of construction.
I sell a lot of new construction homes in the Raleigh area, and therefore, get the pleasure of reading sales contracts of all shapes and sizes. Please understand that most builders do not use the standard North Carolina Real Estate contract, which does not favor either buyers or sellers, but does a pretty good job of allowing the transaction to occur without either party harming the other. Most builder’s contracts are very different from our standard contract.
There are some fairly scary terms in these things, but none quite as frightening as the one that deals with what happens if either the buyer or the builder delays closing. Did you know that each of these causes for delay are handled quite differently?
What happens if the buyer delays closing?
This is very simple. According to the vast majority of builder’s contracts I have read, the buyer owes the builder money for each day closing is delayed. The amounts typically range from $50-100 per day. A 30 day delay, caused by the buyer, could cost you $3,000.
Hmmm… so that must mean that if the builder causes a delay in closing the buyer also gets monetary damages, right? Not exactly.
What happens if the builder delays closing?
This is simple too. The builder has two years to complete the home. How would you like to put a new home under contract, schedule it to close in August of 2008, and later discover that the home would not be ready until August 2010?
It’s interesting that whenever I challenge this term with a builder’s representative they usually respond that there’s nothing to worry about and that this has never happened to any of their deals. Well, if it never happens, let’s take it out of the contract.
Sometimes I can get this term excluded as part of the negotiations. It is a little easier to negotiate this now because sales are down and inventory is high. It is also easier to get the exclusion if the home is near completion.
Builder’s contracts are binding. If you sign one, you are bound by its terms and conditions. You either need to be a very good negotiator, or have someone representing you who is, if you plan on getting any modifications.
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New Home Community - Bellemont at Cary Park
April 29th, 2008 Categories: Cary, New Construction Homes
A new community has opened in the popular Cary Park area. It is a small neighborhood of 64 home sites called Bellemont at Cary Park. I was just there at a broker open house a few weeks ago and was quite impressed.
Piccola Builders is building custom homes at Bellemont with lots of attention to detail. Prices start in the mid $300s. These homes feature upgrades such as screened porches, unfinished walk-up attics, tankless water heaters, granite countertops, gas stoves, trey ceilings, hardwoods in the living areas, and ceramic tile in the bathrooms. Some homes even have basements. A rare find in our market. The models we toured feel well built and look great.
Here is a list of homes currently for sale in Bellemont at Cary Park
2925 sq/ft, 3BR/2.5BA, basement, $408,174
3120 sq/ft, 3BR/3.5BA, basement, $440,772
3120 sq/ft, 5BR/4.5BA, $408,870
2999 sq/ft, 5BR/4.5BA, $393,500
There are currently up to $10,000 in discount options and up to $3,000 in builder paid closing costs available for a limited time, with certain restrictions.
This location cannot be beat, especially if you work in the Research Triangle Park (RTP) area. Folks who work at IBM, Cisco, Ericsson, SAS, or any of the other high tech employers at the park will really appreciate the short drive to work.
And there are plenty of amenities nearby too. The Cary Park Club with 2 pools, a waterslide, playground and clubhouse is available to all Bellemont residents. There is also a 28 acre lake nearby and 2 miles of walking trails. Just a few blocks away is the brand new Cary Park Village Center which I’m told will be home to very good assortment of restaurants and shops.
If this sound like a place you want to know more about, just give me a call at 919-602-7000, or send me an email.
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Special Pricing on Luxury Condos at The Soleil Center in Raleigh Ends March 31st
March 28th, 2008 Categories: Downtown, New Construction Homes
If you’re sitting on the fence thinking about buying a condo in Raleigh’s hottest new building, don’t wait too long. The Westin Raleigh Soleil Center special incentives will expire in a few days. Response to the incentives has been good and I’m told it will not be extended. Basically, you can save up to $200,000 by putting one of these new condo homes under contract by March 31. Read more about the Soleil Center, and the special incentives at the link below.
The Westin Raleigh Soleil Center is Offering Huge Incentives on Luxury High-Rise Condos
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Update on Townhomes for Sale in Morrisville - Keystone Crossing Townes
March 3rd, 2008 Categories: Morrisville, New Construction Homes
I just got word that Vanguard Homes is running a special for the month of March on completed inventory at their townhome community in Morrisville.
There is an $8,000 incentive for any purchase that closes by March 31st. This incentive can be used any way you choose. You can purchase upgrades, reduce the price, or apply some of the money towards closing costs.
This ends up being somewhere around a 4% discount. That’s approximately one year’s equity… in your pocket.
Here’s a link to the inventory list.
Townhomes for sale at Keystone Crossing in Morrisville
If you’re ready to buy now, give me a call and let’s make an appointment to go visit this wonderful community.
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The Townes at Keystone Crossing
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Homes for Sale in Morrisville - RTP - The Townes at Keystone Crossing - Live Where You Work
February 2nd, 2008 Categories: Morrisville, New Construction Homes
Vanguard Homes is building an exciting new townhome community right in the heart of Research Triangle Park (RTP). Location, quality and energy efficiency are the primary characteristics of this Morrisville townhome community. There are townhomes for sale in this ultra convenient neighborhood from the $160s to the low $200s… very popular price points!
There is no better location if you work in RTP
Placing a townhome community in this price range in the heart of RTP was absolute genius! There are some firms that you could literally walk to from Keystone Crossing. Others that would be a great bike ride on a nice day. And just about any RTP company is a very short (5–10 minute) drive to work.
Check out this map.
Lots of choices and options
Need to keep the price down? Choose one of the townhomes without a garage. Able to spend a little more and single? How about a one car garage. Two working professionals with two cars? There are two car garage plans available for you.
Other options include finished flex space (think bonus room), gourmet kitchens, stainless steel appliances, covered patios and decks. The various elevations offer stone or brick accents, box windows, metal roof accents, and and maintenance free siding and trim.
Energy Star rating
Want to be comfortable in your new home and save money on energy costs at the same time? Vanguard Homes has been awarded the 2007 Energy Star Partner of the Year award and can deliver a home that does exactly that!
This energy efficient specification provides for a low operation cost and comfortable interior environment. Click here for a brochure that details the key features of the Energy Star home design.
By the way. Several months ago I sold a Vanguard Energy Star home to an engineer who worked in the heating and air conditioning field. He was very impressed!
Great price point
I can tell you there are lots of people looking for housing solutions in the $160s to low $200s price range. Especially conveniently located housing solutions. This neighborhood targets consumer needs in a way that is very refreshing to see.
Here is a list of inventory and homes available in the next few months. Please call me at 919–602–7000 or email me if you do not see what you want here… new buildings are being scheduled for construction just about every month.
2–car garage townhomes for sale
1600 sq/ft, 3BR/2.5BA, $187,900
1–car garage townhomes for sale
2141 sq/ft, 3BR/3.5BA, $214,900
2181 sq/ft, 2BR/3.5BA, $219,900
2135 sq/ft, 3BR/3.5BA, $204,900
2188 sq/ft, 3BR/3.5BA, $219,900
Townhomes for sale without garages
1742 sq/ft, 2BR/2.5BA, $179,900
1742 sq/ft, 2BR/2.5BA, $174,900
1742 sq/ft, 3BR/2.5BA, $172,900
1629 sq/ft, 3BR/2.5BA, $163,900
It is important to note that when I originally gathered the information for this article several weeks ago, there were 7 homes available that have been sold during that time.
Bonus
The builder is currently offering up to $9,000 in incentives. Makes this community even more attractive, doesn’t it?
Oh, and in addition to building a quality home, the people at Vanguard Homes are great to work with! My experience with them in the past has been wonderful. Whenever we have encountered a problem, and there are always problems to be dealt with when buying a new home, they have stepped right up to the plate, taken full responsibility, and resolved the issue.
What do I think? This is a great product, at a great price, and in a great location for all of you who work in or near RTP. And because these are townhomes, there is no exterior or yard maintenance. Great lifestyle opportunities here!
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Why Are New Homes on Such Small Lots
December 17th, 2007 Categories: New Construction Homes
I cannot tell you how many people start their home search in the Raleigh area looking for a lot with acreage. If not acreage, then many people want at least a 1/2 acre lot with a large private back yard. Of course, many of these same house hunters want a nice neighborhood with a pool, tree lined streets, and they want to be very close to shopping and restaurants.
I can’t say as I blame them. Heck, that description sounds pretty good. And with the right budget, it is available and obtainable. But is it reality when there are financial constraints… e.g, how much house you can afford? So that you’ll be more empowered to make wise choices when shopping for a new home, let’s discuss the reality of new construction and how the cost of a home gets distributed between all these things.
When a builder wants to build new homes in Raleigh, or any other city, the very first step is to find suitable developed land. I say developed because most builders do not have the financial resources or the expertise to put together a planned neighborhood on their own. So, builders almost always work with a developer to get building lots.
The developer is the person, or company, who takes the initial financial risk by purchasing a large tract of land and installing the infrastructure for a neighborhood. This usually consists of streets, run-off water management systems, sidewalks, street lighting, and any amenities such as lakes, common areas and parks, pools, tennis courts, and club houses.
Once this has been done, without any financial return to the developer, building lots are ready to be recorded and sold. Prices for a 1/4 acre building lot will typically run anywhere from $40,000 to $75,000 in what most people would think is a nice neighborhood that happens to be anywhere close to shopping and restaurants.
The $40,000 lots are typically in neighborhoods where there will be fewer amenities and the $75,000 lots will deliver more amenities. The average construction costs, including the lot, typically run anywhere from $110 to $150 per square foot. The construction cost is also where the finished amenities and features of the home start to make a difference in the price. One more thing to keep in mind is that a good economic rule of thumb is that the lot should only be about 20% of the price of the finished product.
Using these figures, lets do an example of each extreme.
First, the lower cost model. Assuming $40,000 for a lot, $110 per square foot construction costs and following the 20% lot cost rule, here is what we will end up with. The total finished cost of this new home would be about $200,000 if the lot is 20% of the cost. ($40,000/0.2) At $110 per square foot, (200,000/$110) the house would be about 1818 square feet. Because the lots were lower in cost, it is probably fair to assume that the developer had to omit a few of the higher end amenities such as pools, parks, lakes, and tennis courts.
Now let’s look at the higher cost model. This time, let’s assume $75,000 for a lot, $150 per square foot building costs, and let’s follow the same 20% lot percentage rule. The total finished cost in this case would be $375,000. And, at $150 per square foot, the home would be approximately 2500 square feet. Now, because the developer had almost double the money to spend developing the land, it would be safe to assume that higher end amenities would start to show up in the neighborhood.
I hope these examples help explain why a large building lot in a new neighborhood is difficult to have at an affordable cost. It’s not impossible, it just costs more. I also hope these examples help to illustrate why there can be such a wide variance in what you get at any given price point in new construction.
Are there exceptions to the basic rules of home construction I have given here? Sure there are. Location is the largest determinant of price for any real estate, and that includes land that can be developed into a neighborhood. Construction methods can also create variance in the numbers. A crawl space foundation costs more than a slab. Brick costs considerably more than vinyl. Granite counter tops cost more than Formica. And so on.
There are a lot of moving parts, so to speak, in any residential real estate construction project. And as a result, the price of the finished new home can vary quite a bit. The most important thing to remember is that as the cost of the developed land increases, it has the biggest impact of any factor on the finished cost. In our lowest cost example, a 1/2 acre building lot could end up costing $80,000. If the 20% rule is followed, now we are talking about a $400,000 house, rather than a $200,000 house.
If you want to discuss how this works and the best way to use it to your advantage when buying a home, give me a call at 919–602–7000, or send me an email message. Knowledge is power and a thorough understanding of new construction costs will be a big step towards getting the very best deal possible on your next new home.
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Merry Christmas From Raleigh Area New Home Builders
December 13th, 2007 Categories: Buying a Home, New Construction Homes
If you are anywhere close to being in a position to buy a new home in the Raleigh area, you need to call me right away! Raleigh builders are doing something very unusual. They are discounting new homes!
In the past few weeks I have written two contracts for new homes at significant discounts. One was a $510,000 custom built home that sold for $465,000. The other was a $240,000 new home that sold for $223,000 with $3,000 builder paid closing costs. Six months ago these builders would not have even considered these discounts.
Why are the prices being reduced now? One reason is a slowdown in buyer demand in the Raleigh real estate market that has been slowly developing over the past 12–18 months. The primary culprit here is people relocating to Raleigh who are having trouble selling their homes in other markets around the country. The number of home buyers affected by this seems to be at an all time high right now.
Another reason is simply the normal slowdown that always occurs during the holidays. The number of home buyers naturally diminishes this time of year. Although, those who are shopping for a home are typically more motivated.
I think the biggest reason is builders simply did not see the slowdown in demand coming. They continued to build inventory. Lots of national builders increased their inventory here because our market continues to outperform most of the rest of the country. Unsold inventory is one of a builder’s worst fears.
The total number of homes listed for sale is currently 8,048. This is down about 5% from a peak about six weeks ago. Out total inventory absorption rate is just under 5 months which is below the 6 month level that technically indicates a transition from a seller’s market to a buyer’s market.
The real estate market in Raleigh is certainly not in any significant trouble right now. Resale prices are still holding up fairly well. I was actually in a multiple bid situation a few weeks ago and the home sold for within 1% of full price.
The bottom line is that interest rates remain at historic lows and new home prices are being discounted. If you are ready, let’s talk about how you can take advantage of these conditions.
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Realtors Who Understand And Use Technology Can Serve Clients Better
November 16th, 2007 Categories: Buying a Home, New Construction Homes
I have a client who has relocated to the Raleigh area and purchased a beautiful new home in nearby Creedmoor. The home is under construction and is at the sheetrock stage. We made a visit to the site last week to check on the progress. A couple of things happened relative to the implementation of a few simple pieces of technology that made our visit very efficient and enabled us to get some serious work done with a minimal amount of effort and trouble.
Technology use #1
As I always do, I sent an email to the on-site builder’s agent ahead of time letting her know we were going to drop by. I offered that if there was anything that from the builder’s perspective which needed to be discussed with my clients or me, that this would be a good time because everyone would be there.
She replied that she didn’t have anything that needed to be discussed and gave me the superintendent’s mobile number in case we noticed anything that should be called to his attention. One simple, well timed email and everyone involved had the opportunity to serve our client in the best way possible by being aware of their visit. As an added bonus I now had the job superintendent’s mobile number and permission to communicate directly with him regarding any issues we encountered.
We found a few things that needed attention
When we arrived, we noticed a few things that needed attention. One was a plumbing drain that had been overlooked and the other was ceiling fan rough-ins that had been forgotten. Noticing these things while in the sheetrock stage of construction is great because they can be corrected with minimal impact on the finished product.
Because of my email to the on-site agent, the superintendent stopped by to check with us and see if we needed anything. We pointed out what we had found and he agreed that both items needed to be corrected. He was on his way to another site and asked if I could email what we had found to him so that he could make sure to follow up.
Technology use #2
I took out my Blackberry and started an email to the superintendent with a cc to the client and the on-site builder’s agent. I just filled in the body of the email with the two items we had noticed.
As we walked around a bit more we noticed a couple of other things that needed clarification and possible corrective action. I just added them to the email I was composing on my Blackberry. When we were done I pressed send and the superintendent had an email waiting for him when he returned to his desk. The client and the on site builder’s agent had been copied and of course I had a copy in the sent folder of my email. Now it would be very easy for anyone in the process to communicate and follow up on what we had noticed on our visit.
The advantages of technology in the real estate business
In this real life example a couple of pretty cool things happened that are worth pointing out.
- Because of the advance written notice of our visit, the builder’s people could easily accommodate us and were able to be involved, real time, in the process of taking action on the issues we noticed with my client’s new home
- The on site agent and the superintendent were appreciative of our clear and open communication and had a very good, positive attitude towards our visit. We invited them into the process in such a way that it was easy for them to cooperate.
- No one had to spend any “extra” time outside of the actual visit with reporting our findings and following up to clarify the communication. The superintendent was right there and saw the issues first hand. And he had a written record of everything waiting in his inbox. Everything was documented, to everyone, as it occurred.
I use technology throughout my business. This blog you are reading is another example. It allows me to give away free information to my readers about the process of buying and selling homes in the greater Raleigh area, and information about various neighborhoods and what it’s like to live here. It also allows a way for readers to communicate with me about any of the subjects through the comments section at the end of each article, or by sending me a private message.
Several other examples are my free home search and free home value analysis. As time goes on I will be adding more and more features and tools to help readers understand the home buying and selling process. Be sure to check back regularly and look for more articles to help you move locally or relocate from out of town.
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