In today’s new home market here in Frisco, if you have been looking in the past couple months for a new home I’m pretty sure you have noticed prices increase. And it’s not stopping anytime soon.
The chart above shows the latest information from the City of Frisco regarding Single-Family lots inventory. Most real estate analysts use this to evaluate a market.
What this shows is a balanced market (supply vs. demand) around the 18-24 month mark. Frisco is currently at 10 months!
With the amount of time it takes to develop a lot today, builders in Frisco see a real issue since the demand is so high.
I am hearing from many of the builders that “they are not going to give away a house.” Which equates to less negotiations, and ultimately, the price is the price. But don’t let that intimidate you.
I hear it pretty much everyday when negotiating, but there is ALWAYS room in every transaction. Whether it’s additional upgrades, discount on lot premiums, elevation costs etc. its there.
But it’s all about how it is presented. Each builder is different. And each salesperson structures their prices differently. There is no formula. New homes are not as simple as pre-owned homes where you are negotiating just a price.
Every builder try’s to maximize it margins and to get their bottom line again it’s about the approach.
Let’s say you sit down with a salesperson and go over the hundreds of details. And you try over and over to get them to agree to adding upgrades for free. Do you think the salesperson will be EXCITED to present an offer to their boss and go to bat for you?!? Nope. Never.
Ands that’s just one aspect. It takes a good approach to make sure you get the best deal. I know.
To get the best deal on a new home in Frisco, text or call Brad Holden today at (469) 733-2723.
Brad Holden – Holden New Homes – Licensed Texas Real Estate Broker