flippers flipping further
jasonThe Tampa Tribune ran a well researched story about the quiet panic that is gripping new home builders and home investors (aka flippers). In a nutshell, builders and flippers fear they will get stuck with homes nobody will buy. Of course, that means the mortgage payments that go along with them, too.
With the pressure taken off thanks to rising insurance and interest rates, stagnant rents, and a glut of cheap condo conversions, the new home market is a scary place for some builders. At one time a tiled kitchen could cost you an extra $10,000 to $50,000 added to your home price. In 2000 my builder actually told me not to ask for any upgrades on my home because they would really overcharge me for it. Today you might get the tile for free, as well as other upgrades, lower closing fees, and price reductions.
Builders aren’t the only people feeling a pinch. Lenders are offering more money to more people than in years past. In addition to requiring less money down, lenders are offering credit to people whose credit scores are “challenged”.
If you need any more information, I’d be glad to help. But the bottom line for now: it is finally easier to buy a house in Tampa Bay and that is good news for all of us.
Tags: business, development, for you, tampa
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