New build, Wont sell.

[Juan Vargas]

I have a new construction that has been sitting on market for some time. I'm not the only one in my area, Tyler Tx. 
Anyone else finding it hard to sell????  should i refi or just keep on market paying interest only?

[Jay Hinrichs]

Quote from @Chris Seveney:

Quote from @Juan Vargas:

I have a new construction that has been sitting on market for some time. I'm not the only one in my area, Tyler Tx. 
Anyone else finding it hard to sell????  should i refi or just keep on market paying interest only?

 We are not building but lending and buying defaulted loans on new builds and the uptick in defaulted loans on new builds we have seen a big uptick because pricing is not where it was anticipated. One was appraised prior to construction at $540k and its been on market for 5 months at $450 and not moving. We have a lot of stories like this we are seeing, epsecially in texas and florida.

I hear ya I would not want to have a spec build in SWF right now unless its a ultra premium where the buyers buy for different reasons. Its the tug and pull of not enough inventory then everyone jumps in and floods the market.  In those two specific states there is just a ton of build-able lots especially SWF so you dont have a supply issue like other areas of the country that are supply constrained and therefore prices are holding or even rising a tad.

For us in the PDX market we saw a little slow down in the fall but thats pretty much normal but the bigger builders are still buying land and still building at a pretty good clip.. I can only produce about 2  houses a month and out of 90 so far I have only had to hold 5 or so past C of O they all got sold either pre sale or right before we finished.. Now this creates a ton of work of course with pre sales and managing your buyers expectations.

In Charleston SC I finally after two years was able to land an infill lot and we go vertical in december But there is just NO inventory there so I am not worried at all about selling that one.. WE wont put it on the market until its about 30 days out from CO.

the other market were we are active Loudoun County VA We have 3 subidivisions going in the platting stages from 35 lots to 250 lots.. all of them have contracts on them from National builders the 35 lot is Toll  the bigger ones are Lennar.. That market from what I can see on the few trips I made to perform due diligence is really robust and such a pretty area I can see the attraction for those working in Tech or govmit in DC.  I would not touch right now SWF or Texas personally from what I am seeing. I would though flip land in both markets and I have been funding land deals in N. FL but these are unique infill going to home owners to build their dream homes.. Not the cheapy lots you get in around Ocala..