Headlines broadcasting news of interest rate hikes and rising mortgage rates have been coming at consumers fast and furious for most of 2022. And there’s no question the housing market has seen a deceleration as a result of that economic equation. But for home buyers seeking out deals or looking to protect themselves against inflation, now may be the perfect time to take the leap, especially for those who have their heart set on new construction.
The slowdown is affecting all property types and locations differently and new developments are no exception. While inventory has been historically low within the vertical, pre and new construction have still felt the impact of a slowing market, creating wiggle room in list prices. An additional benefit of investing in a development still under construction is that developers are usually incentivized to sell a certain percentage of units quickly in order to meet financial requirements.