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HOME TRENDS
Remodel or build? Pandemic has varied effects on residential construction
written by JENNIFER A. FITCH From significant disruptions in the supply chain to increased demand for home offices, the effects of the COVID-19 pandemic have upended the homeconstruction industry. Low interest rates for mortgages and loans, though, are helping drive enthusiasm for construction projects. Today’s average buyers for new homes have already owned one or two houses in the past, are considering downsizing, and are shopping the medium- to larger-model single-story options, according to Carl Vogel, sales manager for Oliver Homes. “We’re building lots of one-story homes,” he said. With Realtors reporting dramatically low inventory of existing houses, Vogel said he feels new construction can be a viable option at a price point that is comparable to an
existing home that needs renovations. He added that new homes have warranties and energy-efficient construction. Richard Betson from Antietam Builders said his company doesn’t build many new homes, but, with its renovations focus, like Vogel, he has gotten increasingly more requests for home offices and rooms where children can do online learning. “A lot of people are working out of their living rooms and things like that,” Betson said, and customers are choosing custom outdoor spaces.“They want to have a whole screened room for if they have to move out there to work.” A Redfin report from January described a drop-off in active sales listings, noting 528,903 listings nationwide was an all-time low. The same report found homebuyer demand was up 50% from pre-pandemic levels.
