In Episode 21 of Intelligent Equity, host Ryan Kiefer talks with Shelley Parks of Coldwell Banker Heritage. Shelley provides some great tips about lot selection and how to finance a new build. You’ll also hear how new construction factors into the current inventory.
Episode Highlights:
- Shelley has been selling real estate for over fifteen years. She immediately began in the new construction market.
- A few years ago Coldwell Banker launched a global luxury division. They went into every market and figured out what a luxury property is in that market.
- In Cincinnati, luxury is defined as $500k and above.
- She represents Clemens Companies right now. She does the marketing and sales for them while also being a realtor for Coldwell Banker.
- Lot selection is a huge deal.
- Everyone always asks which comes first, designing your home or picking the lot. You need to have both in mind.
- These custom homes do take longer. Once your design is complete and you're ready to start, you're probably looking at a nine-month time frame.
- Sometimes lots are opened up by developers on a case by case basis.
- Lot selection is very important because you may have a dream home in mind that may not be conducive to the lot you choose.
- Builders can let you know any limitations a lot might have.
- Most custom builders will do the construction loan.
- The builder she works with will carry the construction loan for the buyer but wants ten percent down on the complete project.
- Construction loans are now easy to come by.
- There's not as much inventory as we'd like to see.
- A lot of people are leaning more towards building because they can now position it wisely.
- Many people are scared to list because they fear they won't find a house they like to move into.
- The market looks like it will stay in a good place. Interest rates are still very good.
- The key is finding home sites. Shelley is hoping more developers come out and find more land.
3 Key Points:
- Lot selection is very important when you’re building a new home.
- Construction loans are now easy to come by. Most builders will do the construction loan.
- With limited inventory, many people are choosing to build because they can position it wisely.
Resources Mentioned:
- Ryan Kiefer: LinkedIn, Facebook, Website
- Shelley Parks website, Facebook, LinkedIn
- Clemens Companies