Let’s be honest. We are coming out of a recession that put a huge strain on the housing industry, and several consequences of that downturn are still affecting the housing market today. In very simple economic terms, following an interruption in the cycle of money, it takes time to prime the line…beginning with the availability of developed lots to build homes on.
Development of raw land by a qualified developer takes time and effort. A parcel of land must be identified for its suitability for development, go through the purchase process which includes a period of due diligence to ascertain whether or not local authorities and government agencies will allow the type of development being pursued, as well as investigation and planning with surveyors, engineers, and local utility companies. In most cases, all of this occurs before the actual purchase of the property. Since many developers partner with a bank to finance a development project, exploration and securing of financing for the development occur during the due diligence period as well. The entire process may take months or years, depending on the municipality involved.
Many people are finding that they are willing to consider selling their current home to purchase a new home more suitable to their lifestyle only to find that the availability of lots to build their new home on is exceedingly limited. Now what do you do? At this point in time, selling your current home won’t be the problem. Other people are looking for homes that are not available as well, so chances are that your home will be embraced by the market and sell pretty quickly, potentially leaving you homeless!
The most readily available solution in today’s market is for you to purchase a small piece of property yourself, and hire a qualified Custom Home Builder to help you build your new home. More on the steps involved in this option to follow at a later date.