Every year at this time, homebuyers and sellers start thinking about what the industry is going to be like next year. Thankfully, we don’t have to wonder what the landscape may look like for New Braunfels real estate. Realtor.com’s housing trends for 2018 are out, and they are full of good news for Hill Country new homes. In a nutshell: it looks like a sea change is brewing,” they said. “From housing inventory to price appreciation to generational and regional shifts, these are the top trends that will shape, and reshape, real estate markets in 2018. Buckle up! It's going to be quite a ride.”
Those game-changers, as Realtor.com calls them, include:
- “Supply finally catching up with demand
- Southern homes selling like crazy
- Millennials starting to come into their own”
Inventory expected to increase
“After three years of a crushing shortage of homes for sale, the realtor.com economics team is predicting that the shortfall will finally ease up in the second half of 2018,” they said. “If it increases as predicted by fall, that will be the first net inventory gain since 2015.”
While inventory in the Hill Country has remained tight, new-home communities like The Crossings in New Braunfels have provided attractive New Braunfels real estate opportunities in line with a national trend. New U.S. homes rose “last month to the highest level since October 2007, a sign that Americans — unable to find existing homes — are turning to new construction,” said USA Today. New home sales were up 18.9% in September, “the most in a decade. Sales rose in all regions including the South, where they increased nearly 26%.”
South homes selling
That brings up the next game-changer. The strength of the Southern real estate market.
“When it comes to home sales growth, bet on Southern cities to beat the national average in 2018,” said realtor.com. “The South has been luring corporations and individuals to its balmy cities with its low costs of real estate, and living in general. The resulting strong economic growth and strong household growth, combined with an accommodating attitude toward builders, is setting the stage for an accelerating boom in homeownership.”
That pattern is already well-established with New Braunfels real estate, given the city's position as one of the fastest-growing cities in the nation located in one of the most dynamic counties across the country. “Comal County’s population growth is projected to more than double at 115 percent during the next 30 years, and the employment expansion forecast is expected to be even greater than that at 127 percent over the same timeframe,” said the New Braunfels Herald-Zeitung.
The Alamo Area Metropolitan Planning Organization (AAMPO) shows that “Comal County’s population in 2015 was 134,019. In 2045, it’s expected to swell to 287,655, or an increase of 153,636. That computes to the 115 percent growth.”
Local employment keeps drawing people to New Braunfels real estate. In addition to the proximity to Austin and San Antonio like at communities like The Crossings, which offer great convenience to the highway despite the serene and peaceful feeling, New Braunfels has its own bustling economy and growing job market. Projected employment numbers for the city show a 127 percent increase from 52,683 in 2015 to 119,352 in 2045.
Millennials making moves
One of the most prominent real estate industry trends today is focused on millennials and when they will or will not get into the market—and where they will buy when they do.
“As the largest generation in U.S. history reaches that sweet spot in their 20s to 30s when they're settling down and starting families, they're particularly motivated to buy,” they said. “Millennials could make up 43% of home buyers taking out a mortgage by the end of 2018, up from an estimated 40% in 2017, based on mortgage originations. That 3% uptick could translate into hundreds of thousands of additional new homes. As inventory starts to rebound in late 2018 and in years to come, first-time home buyers will likely make up an even larger share of the market.”
That trend is already being realized with New Braunfels real estate at communities like The Crossings. A variety of new homes starting in the mid $200s in an ideal setting have given millennials the perfect opportunity to buy their first home. Young families are just one of the buyer groups who have fallen in love with this new community.
The Crossings is a 288-acre masterplanned community in New Braunfels featuring two new neighborhoods from Lennar with desirable single-family homes featuring 16 modern floorplans. Spacious gathering areas reveal coveted features including granite countertops and window coverings that are included at no extra cost. Family-friendly amenities in the community including a swimming pool, grassy play areas, walking trails, and beautiful Hill Country views.
For more information about New Braunfels real estate or living in the Hill Country, visit The Crossings. You can also download the free Guide to Buying a New Home in the Texas Hill Country below.