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You are here: Home / Real Estate / Starter homes returning?

Starter homes returning?

May 22, 2023 By Geoffrey Disch Leave a Comment

After years of focusing on higher-priced and luxury homes, builders are now turning their focus on starter and entry-level homes. Analysts say that over the next 12 to 24 months, first-time buyers should see an increase in homes they can actually afford.

Still, issues remain and the increase in starter homes may be as low as a 6 percent increase. There is still a shortage on skilled construction workers and the cost of building materials has increased significantly since on the onslaught of COVID-19.

The new homes will be smaller on smaller lots. Many home builders are offering mortgage rate buydowns which allows buyers to purchase mortgages at a lower rate during the first two years.

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Filed Under: Real Estate Tagged With: Starter homes 2023

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