In spite of the existing housing sector, custom log homes have become more popular than ever. On top of that, studies show that building a log home, rather than buying an already-built log or frame house, is preferred by a sizable percentage of the baby boomer population, which means higher value and higher resale should the need present itself. Actually with the economy being at a slower growth rate, now is the optimum time to build a log home.
We are hearing almost daily about problems in the housing industry. Houses are sitting on the market for a longer time. Land is not selling well. Purchasers have found it more difficult to acquire financing. Land prices have greatly declined, also. Because of the increased burden of more land and homes saturating the marketplace, prices on raw land have decreased dramatically. As a result of these developments, prices are down across the industry. That means it is a buyer’s market. Interest Rates are now at historic lows. Interest rates are the single-most important element used to establish the homeowner’s monthly mortgage payment. Therefore, the lower the interest rate, the lower the monthly payment.
Additionally, as the interest rates decrease, the size of the home that can be purchased or built for the same amount of investment or capital, increases. In other words, in today’s market, smart buyers are getting more for their money. However, economists are indicating that interest rates may go up soon; therefore, this is the best time for taking advantage of today’s low interest rates. Contractors are also generally charging less than they were just a few years ago.
Because of the slow growth in the housing market, you are likely to find more contractors and sub-contractors willing to compete for your business. Contractors tend to be more willing to lower their profit margins in order to preserve their business. The outcome is a lot more construction value for your money. Log home and custom timber home ownership is a lifetime aspiration for many people. Take full advantage of reduced prices and interest rates by building the home you’ve been dreaming about now.
