Henri Frank Group RE/MAX Preferred – Fort Lauderdale New Construction
Written by Frank Vigliotti, Realtor®, Blogger, CDPE, PA
Increasingly, the Realtors® of the Henri Frank Group of RE/MAX Preferred as buyers call us, email and text us, are looking to buy a home in the current market. The buyers want to purchase a Fort Lauderdale home, Miami, Boca Raton, Hillsboro Beach home or a single family home in Wilton Manors. Ok, that is fine, we can accommodate that part of the request for a home. As we continue to speak about their purchase of a home, we then speak to the shortages of properties that we can present to these buyers. From that they inquire about the brand new construction market of single family homes and they want to be introduced to that part of the market. I want to be able to give them a long list of options, but can only give them a short list of brand new homes in Broward County, Palm Beach County and Miami-Dade County.
Not only here in South Florida, property developers across the United States have shifted their efforts more towards apartment construction to benefit from increasing rents. Based on a statement released by an economist from the National Association of Home Builders to The New York Times, multi-family construction has reached nearly 33% of a full recovery. The influx in multifamily construction has been most prominent in the West and South regions of the United States in areas that have experienced an increase in job opportunities available. This multifamily construction growth is also partly due to the large amount of young adults that have delayed the process of investing in a home.
Please click here for more information on the 43Urban Village Project in Fort Lauderdale – Oakland Park
RENTING vs BUYING: NEW CONSTRUCTION
According to information released from The New York Times, adults in their early thirties are renting residentials for longer periods of time although this is the age that many adults consider owning their own home. The difficulty that many potential homeowners have reported regarding mortgages and the apprehension due to daunting status of the housing market are both partly responsible for this delay in pursuing homeownership.
Based on recent surveys, property developers have increased productivity in order to meet the growing needs of thriving markets in cities like Oakland, Seattle, Charlotte, Miami, and Houston. An experienced apartment developer from the Houston, Texas area shared that the demand for apartments is present throughout the entire country. He also shared that the apartment market in the United States has shown some promising indications as the price of rent is increasing, the cost of construction is declining, and faster lease-ups. Another reason the demand for apartments has grown throughout the country is because many apartment developers either didn’t have the means or interest in continuing to build throughout the slump.
Based on data released from an apartment market analysis organization, Axiometrics, rent for residential units has increased 4.2% in 2011 in the United States and 3.6% throughout the year of 2012. Although developers across the United States have fought to keep of the apartment demand, not everyone believes that this influx with last a long period of time. Some real estate experts believe that the rise in rent won’t last long and that overbuilding may become a factor soon. The VP of the research department at Axiometrics indicated that the truth will come to light between now and May after we’ve seen the results of all of the new apartment units put on the market.
Perhaps if the apartment market has been over-built, we will see some of that inventory to shift to inventory for sale in our market. It is important to mention that most of these projects being built or have been built are condominiums. It is our experience that single family homes in Fort Lauderdale, single family homes in Wilton Manors, Oakland Park are what buyers of South Florida homes want to purchase. Single family homes, like the project in Southwest Fort Lauderdale, east of I95, built by Centerline, Georgian Oakes. This brand new project is an example of mid-priced, single family homes in a favorable area of Broward County, close to the beach, close to shopping, restaurants and entertainment that is SOLD OUT. Thirty eight homes in the eastern block of Fort Lauderdale, sold out in less than one year.
There are projects in Fort Lauderdale that are being discussed. The 43 Urban Village of Live+Work townhomes located in Fort Lauderdale – Oakland Park is soon to be constructed. IDI Urban Developers working with the Henri Frank Group at RE/MAX are close to breaking ground on this project. These newly constructed townhomes will sell quickly as there are only 15-units and with the buyer demand, it is expected to sell out in less than a year, which only one year ago the projection was 18-months. Another example of the high demand for brand new construction.
The Realtors® of the Henri Frank Group of RE/MAX Preferred, members of the Greater Fort Lauderdale REALTORS® Association, Florida Association of Realtors and National Association of Realtors. For more information about new construction in Fort Lauderdale, Miami, Boca Raton, Hillsboro Shores and all throughout the South Florida region, please contact me, Frank Vigliotti, co-founder of the Henri Frank Group and I can speak with you about what we know is here and what we know is coming onto the market for brand new construction.
My source for this article is the Florida Realtors Association “News”, the National Association of Home Builders, The New York Times
Visit the Henri Frank Group website for more information: https://henrifrank.com