SHOULD I BUILD NOW? or WAIT?
The decision to build a house is not one to take lightly and should be done with caution. There are many things to consider before you make your final decision. There’s the location, the price, and even what style of home you prefer. So if you’re asking yourself the question: “Should I build a house now or wait? There are some things you should consider before making your decision. The events of the last several years have been unprecedented. Between supply chain issues, skyrocketing materials prices, and volatility in a hot housing market, it can be overwhelming. Overall, right now is still a good time to build a home and invest in your future. Yes, it would have been ideal to have completed a project today before everything went haywire, but you can’t go back in time. So what should you be thinking of if you want to pursue building a home? Rates are rising as a response to tamp down rapid inflation, which is also hitting the wallets of owner-builders, contractors, and suppliers. Fortunately, it does seem that the Financial Market is being a bit more cautious with its rate hikes and may be slowing the rate at which it raises interest rates generally. Be prepared to pay more for some new materials, but not across the board. The materials supply issues that belabored everyone in 2020 through 2022 are easing and some costs have come back down to pre-pandemic levels. But costs and lead times are not dropping across all product types. Fortunately, there are many ways to save money as you build. This is especially true if you plan to build somewhat unconventionally, or plan to do much of the work yourself.
CONCLUSIONS: SHOULD YOU BUILD A HOUSE RIGHT NOW?
The short answer is: MAYBE. It depends on your own financial readiness and how willing you are to take risks. The general consensus seems to be:
1. Be ready to wait for items you need or want.
2. Cushion your budget to prepare for price increases.
3. Be willing to do some (or all!) of the work yourself to save money and/or time.
4. Look into unconventional building practices as a way to save money.
5. PLAN PLAN PLAN but be prepared to pivot.