Developer · Miami, FL · Member since 2014 · 3k+ posts · 1k+ votes
With rising material costs, interest rates, and shifting market dynamics, is building single-family homes still a profitable strategy?
In Columbus, we’re seeing strong demand for new homes, with exit prices reaching $650K and profits of $70K+ per deal. But not every market is the same. Some areas are oversaturated, while others are starved for new inventory.
What’s your experience? * Are you still seeing strong demand for new builds in your market? * How are you managing build costs and financing in the current climate? * Are you shifting toward build-to-rent, or sticking with build-to-sell?
Would love to hear your thoughts—are you still building, or sitting on the sidelines?
Contractor · Pensacola, FL · Member since 2017 · 317 posts · 156 votes
1y
Locally, in new construction, the affordable homes are what is selling. Just doing a cursory search of listings and sold in the county, under 400k is what is moving. Most in the 12-1600 sf range
I will dispose of the homes based on how the numbers work best. If I can pull enough cash out with a dscr loan, I will rent. If not, I'll sell and take the tax hit