Flagler County 2009 New Home Construction Report
Many builders are gone but a surprising number are still active. 157 building permits were issued to 37 different builders.
Palm Coast, FL – January 19, 2010 – 2009 marked a dismal year for local homebuilders, across the country and here at home in Palm Coast in Flagler County, FL. Homebuilders faced competition from distressed properties selling for about $80 per square foot. Lenders were not returning their calls. With few exceptions, the term "spec house" has become an anachronism. Though national builders abandoned our market when real estate sales dried up, an independent source reports that 157 new homes were permitted in Flagler County by 37 different builders who are gutting it out.
My hat is off to these 38 builders and their employees. I thought you would like to know who they are.
The following builders pulled more than 3 permits during the year:
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Seagate Homes – 39 permits
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Adams Homes – 23
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Moronda Homes – 14 permits
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Vanacore – 8 permits
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Habitat for Humanity – 6 permits
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Intervest – 5 permits
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CBV Resort Homes – 5 permits
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Amaral – 5 permits
Other builders who pulled permits in 2009 are:
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New Coastal
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Staughton
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Skyway
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Olsen
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Florida Green
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Paytas
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Lancia
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Ideal
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Country Club
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Auburn
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Applied Building
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Wayne Duffy
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Stajo
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Skyway
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Skyhawk
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Saltwater Homes
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Rinek
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Palm Coast Homes
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Morello
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Machin
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Longworth
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Harmon
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Delanoy
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Del
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Antonio Capela
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Haley
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Grandeur
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Gold Coast
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Gemstone
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Fontana
So what is the cost new?
We can’t see the actual turnkey cost new for the permitted construction, as the permits only reflect the base cost. The resales are still around $80 a square foot, for average construction on an average lot, many needing repairs and updating. Many will only buy Brand new homes as they have the money and don’t want to rehab an old home. The estimate for new is around $135 plus the lot, and lots go for about $5 a square foot for average.So for $140 a square foot you get new turnkey. That’s still way under the national average. The property taxes are also low, so people come here for the pricing. Resales will never go up in value at the current rate of demand, and may go down further, as they age and more foreclosures flood the market. We have a ways to go both localy and nationaly before things pick up. It is estimated thet 55% of all sales in late 2009 and early 2010 will be due to the tax insentives for new and move up buyers. After that expires and/or rates go up we will be in for another drop in values. We are waiting for jobs, and so far they can’t be found, at a level paying enough, to drive the real estate prices up.
New Construction Pricing
George,
Construction material pricing has significantly dropped and with it the prices per sq. foot have dropped as well. We have members advertising at under $100 per sq. foot with some significantly under $100. That is of course on your lot as you noted.
Considering rehab costs, mold concerns, and a warranty, a new home is a smart alternative, plus you get to select the features!
Please visit our website http://www.flaglerhba.com for a list of builders in our area and don’t forget the Parade of Homes, April 17th – May 2nd.
New Home Construction Report
What happened to Adams Homes, the Brick Home Builder? They were left off your report.
Price per square foot not reflecting all cost
The problem with stating the builders have lower prices per square foot is they don’t include impact fees, and any modifications above the base design to both the home and lot. The ‘TURNKEY COST" is what we are talking about. Just like buying a new car you have to read the fine print, that may say after $2000 down and dealer fee of $695.
New Construction Pricing
I don’t know who’s quoting under $100 a square to build. Any of the reputable builders I’ve spoken to are coming in at the 125k to 150k a square. Granted that’s figuring in options such as granite counters and crown molding; but, I believe George is correct in stating 135k per square on your lot. As for impact fees, perhaps Flagler County/Palm Coast could suspend them for a while or lower them to spur some building.
To George
Impact fees add about $10 per square foot for the average new house.