Ask Cathy!
(512) 308-6826

Latest News

Frequently Asked Questions About Today's Housing Market

May 24, 2021

Today's Housing Market FAQ.pdf

QUESTION

What has created the lack of new home inventory in the Central Texas market?

ANSWER

Simply put, supply and demand in the marketplace. In-migration from many states to Texas coupled with an extremely strong job market has created unprecedented demand for housing. That demand is being met by an also unprecedented supply, material, and labor shortage across the entire homebuilding spectrum.

QUESTION

Are the lumber shortages and price escalations a function of the demand?

ANSWER

Absolutely. Strong demand, coupled with COVID-related lumber mill strains have outstripped supply capacities. As a result of that and related factors, lumber prices have, in some cases, increased approximately 350% in the last 18 months. As such, prices and valuations are rising quickly making a home investment very strong given the continuing strength of the Central Texas market. These same unpredictable price escalations are forcing new home builders to drastically alter operations in order to prevent material and labor costs from impacting home sale revenues.

QUESTION

How is Scott Felder Homes (SFH) addressing the situation, while still offering opportunities to new home purchasers?

ANSWER

Scott Felder Homes has temporarily suspended build-to-order homes and is now offering inventory home opportunities in every available community. This effort will allow SFH to begin construction of the inventory homes while monitoring material pricing and availability. Once costs become finalized for concrete, lumber packages, trusses, sheathing, and other materials, SFH will be able to price the homes for sale to prospective home buyers. While the initial delay of housing availability is frustrating, the continual flow of inventory home opportunities in the near future will provide SFH home buyers with ample opportunities across all prices ranges and locations in our market.

We lost our house in a fire just over a year ago. We are on an excellent 1 acre lot in Shady Hollow and really wanted to stay on the property in a nice home. We talked to several contractors, and nobody who was in our price range (insurance $) really inspired a ton of confidence, though there were one or two who we felt we could go with if SF Homes wasn't able to build a house for us on our lot. Turns out they did, and they did a spectacular job. We ended up with the Mendocino II plan and their builder did a meticulous, thorough, quality job throughout. From the first rate materials to the first rate subcontractors and the thoughtful planning by everyone involved, we ended up with a house which exceeded the quality and beauty of the house we lost to the fire.

Michael D.