New Construction Homes More Resilient Than Ever during Coronavirus Pandemic
Southwest Florida continues to see an increase in new home starts despite the coronavirus pandemic slamming the region.
New-Homes at Record High
A study by Metrostudy revealed that builders started 1,751 new single-family homes in the second quarter of 2020, down just four percent from the previous quarter. The annual new-home starts are up 18 percent from last year, even though analysts predicted a steep decrease in the local market as a whole. Today’s numbers are the second highest since the booming market of third-quarter 2006.
Many builders are putting their pandemic success down to low interest rates, ever lower resale inventory and a work-from-home shift that is lessening the importance of location in the eyes of the home buyer.
Leading Communities in Our Area
In our area alone, Lakewood Ranch leads the annual starts in the second quarter with 1,383 new concrete pours. Running shortly thereafter is West Villages in south Sarasota County with 723. Palmer Ranch started 384. These multi-builder projects are receiving nationwide recognition, with Lakewood Ranch and West Villages ranking among the top-selling, master-planned communities in the country.
Upcoming communities, including the next phase of West Villages and the up-and-coming Skye Ranch. These new projects will likely depict whether Manatee or Sarasota takes the lead in new builds. Experts recommend that while Manatee and Sarasota may be the shining stars of new-home builds currently, Charlotte County’s affordable housing may yield equal recognition.
A Slump in Home Inventory
With new homes at an all-time high, the region’s total housing inventory stands at a 6.6-months supply, well below the stock of homes that is considered normal for this market. This shortfall in inventory may be to thank for Neal Communities 71% higher sales volume year over year, and their record of 136 sales in a single month.
Housing Snapshot:
Here is a list of annual starts and annual closings by community.
Lakewood Ranch; Manatee; 1,383; 1,253;
The West Villages; Sarasota; 723; 680;
Palmer Ranch; Sarasota; 384; 302;
Punta Gorda Isles; Charlotte; 353; 385;
Artisan Lakes; Manatee; 327; 257;
Babcock Ranch; Charlotte; 318; 260;
South Gulf Cove; Charlotte; 238; 228;
Rotonda; Charlotte; 217; 182;
Trevesta; Manatee; 184; 167;
Willow Walk; Manatee; 182; 156;