Recently, more attention has been brought to the importance of new construction and its benefits. At Capital Asset Properties, we’ve been focusing a fair amount of our efforts on newer construction projects in North Carolina, South Carolina, and Florida markets. These real estate markets are prime opportunities for new construction and provide affordable real estate investment and residential home projects.

Why focus on new construction?

For our company, we focus on single-family residences and how we can use new construction to create homes that provide families the best values in great locations. We’re building on plots of land that have been around, but remain undeveloped. We’ve been focusing on creating residential developments in the Carolinas and Florida.

At Capital Asset Properties, we work on developments and residential homes, but new construction is beneficial anywhere. People are always looking for places to live and want to have a property that they feel confident will last for a while and won’t require a significant amount of maintenance.

Great investment opportunities

In most of our geographies, there are not enough new homes being built to meet the demand, so being able to invest in newer construction ensures that there is enough supply to satisfy the marketplace. For investors looking for great returns, it is also a very attractive time to be on the supply side of this equation. In a sellers’ market, investors can expect to have a higher confidence of selling homes in a shorter timeframe and at premium prices. Until the supply catches up with demand, economics on funding these projects tend to remain above average.

More affordable for families

In addition to being a great investment opportunity, new construction is also often more affordable for families. There’s currently a shortage of housing in the market, so being able to create new properties helps prevent prices from appreciating too rapidly and preventing people from being able to locate affordable homes. Families find these newer developments convenient since they’re often situated close to other amenities, such as schools. New construction also means that there will be fewer maintenance costs for families once they move into the home.

Provides local builders an alternative financing source

For many local builders, they can only obtain funding through their local banks, especially when they’re starting out. Too often, these builders face caps on the number of construction loans they can take out from the bank. By investing in new construction as an alternative funding source, local builders can work past this issue.

Benefit to local economy

When a community has newer homes that entice people to move into the area, it can help stimulate the local economy. As people move in, they’ll patronize local businesses, look for jobs, and possibly even start their own businesses. Local building and real estate companies will also benefit from new construction attracting people to the area.