Welcome to our Blog

Stone Creek Building

Building Custom Homes Throughout The Portland, Oregon Area
Read our Blog

Three tips for remodeling in 2022

In the aftermath of the COVID-19 epidemic and during a highly competitive home-buying market, 2021 was one of the busiest years for remodelers. In 2022, homeowners will continue to seek the assistance of professional remodelers to assist them in modernizing their current homes.

The National Association of Home Builders (NAHB) evaluated remodelers near the end of 2021 and discovered that demand for projects of all sizes remained even greater than it was in 2020. A significant factor for this is the historic increase in housing values.

“Increasing home equity enables homeowners to upgrade their existing houses, resulting in a surge in remodeling demand,” says Steve Cunningham, CAPS, CGP, a remodeler in Williamsburg, Va. “And, with endless advancements in building products and design approaches, it’s an exciting time for homeowners looking to enhance their house.”

As 2022 continues to be a busy year for remodelers in the local area, here are three guidelines to consider if you are considering upgrading your home now:

Maximize Your Space

Our lifestyles have changed, and with them, our reliance on the house as a location of employment and education. After a few years of social isolation and rearranged work schedules, the majority of homeowners in need of a home office have already established one. The following stage is to make it adaptable.

“Home office space has resurfaced as a critical component, but it has been reinterpreted somewhat,” says Ed Binkley, director of design at BSB Design in Orlando. “Now, it’s more about building a place that is adaptable to the individual demands of different people, whether they require a home office, a gym, or additional entertaining space.”

Future-Proof Design

Colors and decor trends come and go. However, energy efficiency will never go out of vogue. “The vast majority of prospective buyers surveyed each year consistently place energy-efficient features throughout the home as a top or near-top priority,” says Rose Quint, NAHB’s assistant vice president for survey research.

Homeowners that adopt green aspects will profit in the long run from lower energy costs, increased resale value, and increased living comfort. Apart from energy-efficient appliances, elements such as low-E windows, energy-efficient roof shingles and tiles, and spray-foam insulation often go unseen but have a substantial influence include. Additionally, smart-home gadgets can result in significant energy savings. Lighting solutions that can be managed remotely or by voice commands, programmable thermostats, and automated whole-home security systems are all common integrations in today’s smart homes.

Maintain Adaptability

Builders and remodelers anticipate supply-chain disruptions in 2022-2023. The difficulties vary according on the scale of your project and the materials required. It is critical for all parties to establish clear expectations for project milestones and to maintain a level of flexibility in the event of delays.

Experts advise homeowners to have a contingency plan in place in the event of remodeling project delays. Perhaps the new kitchen appliances will be delayed, and you will require alternate methods of cooking and storing food. Alternatively, bathroom finishes may take longer than anticipated to arrive, necessitating the continued use of a secondary bathroom. While project disruptions are irritating, having contingency measures in place makes them more bearable.

To learn more about remodeling projects and to talk with a local experienced remodeler, contact Stone Creek Building to determine whether we can assist you with your remodeling job.

Additional Resources:

BUILDING A CUSTOM HOME VS. BUYING EXISTING IN 2022

During the COVID-19 pandemic, one market recognized opportunity. The property market has exploded in the previous two years.

Despite the fact that a pandemic changed everyday living dramatically, property sales soared to levels not seen in years.

 

What is the reason?

 

It’s a little tricky, but three variables contribute:

 

  • Reduced mortgage rates
  • Millennials who are first-time homebuyers
  • Homeowners saw the need for additional space after being compelled to spend more time at home due to the COVID-19 pandemic.

We frequently receive inquiries from homebuyers who believe that creating a custom home will be less expensive than acquiring an existing home. Many believe that the custom house building process expedites the process of purchasing their next home. Their perception is largely shaped by what they are witnessing as a result of the housing boom: a restricted supply of houses, bidding wars, price inflation, and many properties in need of differing degrees of investment to bring them up to date.

 

While the real estate market fluctuates, custom house building remains a consistent alternative for people seeking a genuinely unique property.

While building a new home is not always speedier or less expensive than purchasing an existing home, there is an intangible value that’s attached to the home.

 

Moving into a home is a significant life event — the kind that warrants a photo with your family to commemorate the occasion. Consider walking into your newly completed home and immediately familiarizing yourself with every square inch of it. Consider the peace of mind you’ll have knowing that no surprises from the previous owner will counteract any cost savings.

 

Creating a home is a long-term investment; you can be confident that it was made with modern materials and adheres to the most stringent building codes.

 

Most importantly, consider the sense of pride you’ll feel knowing that you designed your home to fulfill all of your needs.

 

Stone Creek Building enjoys collaborating with prospective homeowners to help them realize their idea of a dream house. Our in-house design staff is happy to assist you in creating your next home or modifying one of our pre-designed floor plans.

 

 

BUYING EXISTING PROPERTIES: YOU RECEIVE WHAT YOU PAY FOR

Remember the boom we discussed?

 

It slowed in 2021 and has now reverted to pre-pandemic levels. According to Realtor.com’s October 2021 housing report:

 

Nationally, the inventory of active listings decreased by 21.9 percent from 2021 levels, while the overall inventory of unsold houses, including pending listings, decreased by 14.8%. Active listing inventory is down 51.9 percent year over year.

Newly listed properties fell by 2.3 percent nationally and by 4.8 percent in large metro areas during the last year. Sellers are still listing at a rate that is 11.6 percent lower than the average from 2017 to 2019.

October’s nationwide median listing price for active listings was $380,000, an increase of 8.6 percent year over year and 21.8 percent year over year. In large metro areas, median listing prices increased by an average of 5.2 percent over the previous year.

In October, the average home stayed on the market for 45 days, down 8 days from the same time last year and 21 days from 2019.

And, while the housing market will likely be tight in 2022 (more on that later), it will likely be less so than in 2020. Nonetheless, the housing deficit is projected to persist.

 

With the real estate market projected to stay tight, finding a home that fulfills all of your requirements precisely will be difficult. Existing homes were not created with your family in mind. You’re almost certainly going to have to make some concessions.

 

Acquiring an existing home is similar to purchasing a used automobile in certain ways.

 

Newer used autos are more expensive. Likewise, modern residences do. If not properly maintained, a secondhand vehicle can soon become a money pit. The same is true for existing homes; years of neglect eventually catch up with them.

 

To continue this metaphor, similar to a classic automobile, older residences were not built to new standards or with modern materials. At some point, something will require replacing. And acquiring period-appropriate components becomes increasingly difficult as time passes. Installing contemporary aspects or employing procedures that are regarded typical in the modern era might be a pain as well.

 

 

FORECAST OF THE HOUSING MARKET IN 2022

Housing market forecasts for 2022 all indicate that the present real estate inventory will continue to stabilize. However, market experts anticipate that buying and selling homes will continue to be extremely competitive.

 

As of fall 2021, there is a supply shortfall of approximately five million dwellings relative to demand. And the shortfall is unlikely to abate very soon. Not only would it be more difficult to acquire a new home, but it will also likely be more expensive than in pre-pandemic days.

 

Additionally, industry analysts are concerned that the mix of events that lead to the housing boom is indicative of a burst housing bubble. In other words, if potential home buyers opt to stay put until demand and prices decline, the housing market might swiftly return to pre-pandemic levels.

 

Things appear to be improving on the custom house development front for 2022. Despite supply chain concerns that are driving up the cost of building materials such as lumber, faith among individuals considering new house construction and home builders is growing.

 

Another encouraging sign for new home development in 2022 is that, despite a decline in new home construction, the number of new home permits issued climbed.

 

 

CONSTRUCTION OF A CUSTOM HOME AS A BETTER INVESTMENT

Choosing a new home is one of the most significant decisions you’ll ever make. Whether it’s a custom-built or existing home, it’s a significant investment that you’ll live with for years.

 

While creating a custom house is not the cheapest option in terms of upfront expenditures, its long-term value is unmatched. If you’re in the Portland, Oregon area and need a custom home built or renovations, contact us to see if we can help!

5 Reasons To Hire A Home Contractor

Buying a home entails a great deal of responsibilities. You must maintain your property in good condition not just to keep it comfortable, but also to ensure that your investment retains its worth. However, you may increase the value of your property by making renovations such as installing a new kitchen or adding new building.

Regardless of the cause, you may find yourself wondering, “Should I hire a contractor or do it myself?” when you require repairs on your property.

The truth is that when it comes to DIY vs. contractor, it is nearly always preferable to call a professional contractor rather than attempting construction work on your own. The following are five reasons why:

1. Construction work is time consuming.

Time is money regardless of how you look at it. You work diligently throughout the week in order to enjoy your weekends and vacations. When you undertake a home renovation job on your own, you avoid paying for a contractor’s work — but at the expense of your own free time. If you’re a busy professional who looks forward to weekends, it’s critical to remember that almost every construction project takes longer than anticipated. And once you start, you must finish if you wish to continue enjoying your property. By engaging a contractor, you increase your chances of completing the task fast.

2. A contractor has access to personnel, equipment, and supplies.

Numerous building jobs require more than one pair of hands. Additionally, you frequently want specialized tools – not to mention the necessary construction materials. A professional contractor will have a team of qualified personnel available to assist as needed, in addition to the necessary tools and equipment. Additionally, because contractors purchase supplies wholesale, they are more likely to locate a wider variety of options and lower pricing than a private homeowner.

3. A contractor possesses greater knowledge and skill.

Construction is not a task that should be taken lightly. Whether you’re remodeling a kitchen or adding a bedroom, it’s vital to learn the ins and outs of house construction in order to protect the existing structure’s integrity and ensure that any new construction meets code. In comparison, if you’re a weekend do-it-yourself warrior, your odds of possessing the necessary knowledge and competence are slim. And if construction work is not up to code, it is declared unsafe, and you will almost certainly be required to have it replaced if a building inspector discovers it.

4. A contractor is responsible for obtaining licenses and permits.

Certain types of repair, such as plumbing and electrical, require the assistance of licensed professionals. Additionally, many cities demand permits for specific types of development – even if it is within the confines of your own home. Knowing precisely which permits you require and when you must apply for them in order to begin your project on time is best left to the specialists. Additionally, keep in mind that without a license carries a hefty charge.

5. A contractor is required to issue a warranty.

When you perform home modifications on your own, you are not covered by a warranty. This implies that if the work is not done properly, you will have no recourse – and your time and money will be wasted. To compound problems, a substandard building job may potentially result in harm to your house. In other words, the cost of getting something wrong the first time might be substantial. One of the advantages of employing a contractor is that he or she provides a guarantee, which indicates that if something is not up to par, the contractor is responsible for repairing it.

In conclusion, there are just a few circumstances in which it makes sense to perform house modifications on your own. Certainly, if you prefer doing things yourself, have access to the necessary tools and supplies, and are capable of completing everything perfectly, DIY may be an alternative. However, even then, you risk running into license complications – not to mention the lack of a warranty for your work.

Therefore, it is preferable to choose a trained, experienced, and knowledgeable contractor who has access to a team of professionals and can obtain the necessary materials at a reasonable cost. This way, you can have peace of mind that the work will be done correctly the first time — and that you will be covered by the contractor’s warranty if anything goes wrong.

If you require any work on your home, including any home renovations, contact the Stone Creek Building team now. We’re always delighted to speak with you about your home improvement project and provide a no-obligation price. Contact us online or by phone at 503-496-7612.

Trends In Eco-Friendly Design

Green, environmentally friendly home design is gaining popularity. When creating a home, it adheres to strict energy efficiency standards, makes use of renewable energy sources, and uses non-toxic materials. Solar panels are a critical component of achieving this aim because they enable the production of clean, sustainable electricity directly from your own roof!

So, what is green home design exactly? According to one definition, “green building practices enhance a building’s environmental performance by integrating and optimizing all aspects of construction — energy conservation, water conservation, waste management, and indoor environmental quality — while adhering to accepted best practices and technologies. Green homes can help consumers save money on utility expenses and improve their level of comfort.” More broadly, it entails improving people’s living conditions and protecting the planet’s health.

Additionally, homeowners are beginning to consider building materials while designing a green home. Wood, bamboo, clay (adobe), and straw bale are also popular choices. Each of these materials has unique environmental characteristics that contribute to its eco-friendliness. Wood is naturally insect and rot resistant; bamboo’s root system aids in erosion control; clay absorbs carbon dioxide rather than creating it, as concrete does; and straw bale is an excellent insulator.

Eco-friendly house design also does not have to be prohibitively expensive. There are numerous inexpensive “green” materials that can be used in construction. The building industry is recognizing the importance of sustainable practices, and innovation has resulted in the development of more efficient equipment that will aid in the reduction of energy usage.

If you’re interested in having a custom green home built in the Portland, Oregon area, contact Stone Creek Building to see if we can help you build the house you’re looking for!

6 Benefits of An ADU Home

Tiny, adorable cottages installed on trailers may be a fashionable option for those in need of additional space. Nothing, however, compares to the tiny house you can construct on your legal property. ADUs, or accessory dwelling units, are permanent houses constructed on your land that include sewer, electricity, and water hookups.

An ADU is a detached or attached structure that adds space to the primary residence. It is also known as a backyard cottage or guest house. And, while constructing an ADU is an excellent investment, the majority of homeowners opt to expand their homes.

 

Therefore, if you are on the fence about adding this structure to your home, the following are some pros to consider:

 

Additional rental revenue

Accessory housing units might be extremely beneficial if you’re in need of short- or even long-term rental income. If you live in a desirable neighborhood, you might try renting out your extra housing unit to earn some money. Alternatively, you can live in your ADU while renting out your primary residence to short- or even long-term tenants.

 

Increased independence

A detached additional living unit will provide you with more freedom than an attached one. Service providers, as well as renters, can feel as if they have their own space, separate from other houses. Additionally, an extra dwelling unit enables you to provide significantly more independence to your older family members than they would have in a retirement home or assisted living complex.

 

Conservation of land

Because an ADU is smaller than a regular single-family home, it consumes fewer resources and has a minor impact on the environment. You will consume less energy cooling and heating it, and you will not require additional land.

 

They add value to your property.

While ADUs may be an excellent investment for you, did you know they can significantly boost the value of your property? New buyers are constantly on the lookout for something unique and worthwhile. As a result, an ADU will be seen positively. The purchasers may wish to utilize it as a home office, a guest house for visiting family and friends, or, even better, as a secondary residential unit.

 

A place for your younger adults to call home

Young adults are increasingly living at home with their parents. If this is the case, an ADU may be a viable alternative. This provides them with additional flexibility and independence. Additionally, you can cohabitate with them in the same property without sharing a bathroom or kitchen. Therefore, if your child is not yet ready to move out, consider expanding the footprint of your home by building an ADU.

 

The ultimate location for a gym or a home office

If you reside in a city and work remotely, an ADU is an excellent choice for a home office. Additionally, whether you want to teach yoga, exercise, meditate, or host guests, this place will be ideal. Therefore, consider adding an ADU to your house to avoid the daily commute and the noise of the city.

 

Finally,

ADUs are so much more than a little place in your backyard. They are a fashionable option for adding additional room to your home. Additionally, they can add value to your house, generate passive income through rent, allow independence for your grown children, and serve as an exercise room or home office.

So, if you’re looking for a Portland ADU Builder, contact Stone Creek building to learn about what our process is and what we can do to help assist you in your dream ADU.

CUSTOM HOME BUILDING TRENDS FOR 2022

Are you in the midst of constructing a new house and unsure of what to include in your custom home design? We’ve got the ideal guide for you! We’ve developed a list of the most popular features our clients have requested for their custom homes based on the data we’ve gathered over the last year.

Therefore, utilize our Top 9 Home Building Trends for 2022 as a guide to choose what features you should consider adding to your home.

 

Family Room on Two Levels

By including a two-story family room in your home build, you can add a touch of elegance and the illusion of a larger area to your home, which will undoubtedly get many comments from your guests. When paired with an open concept floor plan, the two-story family room creates an illusion of space even on a small floor plan.

Due to the number of windows that may be added to two-story family rooms, they also provide an abundance of natural light. You can either use big picture windows that span the entire first and second floors, or you can simply use large windows on the first and second floors. On most days, with all of that natural light, you won’t even need to turn on a light.

 

Laundry Room on the Second Floor

When all of your bedrooms are located upstairs, bringing dirty clothes, towels, bed linens, and other washables downstairs to be washed and dried may be a major burden. Following that, you must carry everything back upstairs to store it. By building a second floor laundry room, you can streamline laundry day and eliminate the need to haul heavy baskets of wash up and down the stairs.

Additionally, having a second floor laundry eliminates the need for hampers, as your dirty laundry can be placed directly into the laundry room after you change. Another advantage is that you’ll gain additional living space on the lower levels of your home that was previously occupied by your laundry room. That additional square footage can be used to build a half bath or to expand the size of your kitchen or living area.

 

Shower on the First Floor

While a first-floor master suite may not always be the best option, a first-floor shower most certainly is and has become a popular feature in many custom houses built in the last year. Showers on the first floor are an excellent method to quickly make your guests feel more at ease in your home while they are visiting.

Additionally, it allows for greater flexibility in your household regarding when family members must prepare.

 

Accent Walls in Vibrant Colors

More homeowners are preferring to incorporate dramatic accent walls into specific rooms of their custom home builds to add personality, color, and character. From bold color choices to whimsical wallpaper, elaborate millwork, and timeless brick wall accents, there are numerous ways to enhance the look of your home’s spaces.

Feature walls and accent walls allow you to experiment with color without overwhelming the space; they may also give visual appeal to a room that may feel too large and provide a focal point for the space.

 

Ceilings with Statements

Another excellent method to enrich your new home’s rooms with character is to incorporate a spectacular ceiling. One of the most popular approaches is to include wood beams into your living room’s ceiling. Homeowners are choosing salvaged timber for a rustic look or manufactured wood beams for a more modern appearance.

Additionally, some homeowners have added flair to their ceilings by using millwork, a distinctive paint color, and even wallpaper.

 

Vinyl Plank Flooring

Vinyl flooring is a fairly popular choice among new construction homeowners. Vinyl flooring are more durable than their wood counterparts, especially if you have a growing family with small children or family pets. Additionally, vinyl floors are more waterproof, easier to clean, and more affordable than hardwood floors.

Luxury vinyl floorboards are now available in a range of colors and finishes; several are designed to resemble hardwood floorboards and, when combined with the extra texture on the finish, can easily trick the eye into believing they are genuine hardwood flooring.

 

Office Space in the Home

The year 2020 brought about numerous changes to our lives and houses; it also altered our outlook on employment, since many individuals were obliged to work from home. Everyone quickly recognized that working from home might easily become a permanent situation. This is why, over the last year, home office spaces have become a very common request from custom home buyers.

These office areas are frequently added to the first floor, with some homeowners asking built-in custom wall units and workstation layouts to completely tailor the space to their unique needs.

 

Two-Tone Kitchens

Two-tone kitchens have become a popular feature in new custom house construction over the last couple of years, and the trend is continuing. The kitchen is the space in your home that will be used the most, so why not give it a bit extra style?

The simplest two-tone kitchen design is one in which the island cabinet color contrasts with the other cabinets. In certain instances, the homeowner can experiment with color, painting half of the cabinets a bold shade and the other half a matching shade.

Additionally, you can combine painted cabinets with finished wood cabinets to create a totally unique kitchen environment.

 

Backyard Recreation Area

Many homeowners are also on the lookout for homes with adequate space for a backyard they can truly call their own. Some custom homeowners budget for a secondary living area in their backyard by installing a patio, built-in grill, and a custom fire pit, among other features that fully personalize their outdoor space.

 

With Stone Creek Building, You May Create The Custom Home Of Your Dream

Are you prepared to design and construct your bespoke dream home? With a reputable and skilled builder like Stone Creek Building on your side, you can rest confident that every step of the process will be as seamless and stress-free as possible due to their decades of experience in the industry.

Contact Stone Creek Building professionals at 503.496.7612 or using the contact form to get started on your home building journey today.

3 Things to Consider When Remodeling Your Home in 2022

Undertaking a home renovation can be an excellent way to save money on the purchase price of a property and create a unique environment that can serve as a source of pride. However, for the majority of individuals, even in the smallest of instances, a house renovation is a big task.

Meeting with architects and contractors, evaluating numerous proposals, selecting materials, and budgeting are all time-consuming tasks that frequently fall outside the skill range of the average homeowner. Renovations can be costly and disruptive after these ideas and decisions are made, regardless of whether everything goes according to plan. Even modest renovations are becoming more difficult than ever.

Planning a house remodel in 2022 adds additional complications, such as supply chain delays, inflation, and a tradesperson shortage. Three points to consider ensuring that your home remodeling experience is as positive and effective as possible:

Renovations require forethought, patience, and financial resources.

“To refurbish,” interior designer Jamie Drake, co-principal of New York-based interior design firm Drake/Anderson, says, “three things are required: forethought, time, and capital.” Though these three items have always been required to do any size remodeling, it appears that you may require more of all three than you anticipated.

Consideration: Consideration “means generating a set of renovation proposals and presenting them to building management (or the homeowners association) for approval,” Drake adds. This may include obtaining permits from the city or county, or, as Drake observes, from the New York City Department of Buildings.

Planning ahead is critical in today’s climate. “Previously, a contractor could order materials on an as-needed basis,” explains Tanya Koul Strausbaugh, a RE/Max Select agent and founder of Common Ground Investments, a Pittsburgh-based redevelopment and leasing company. “Nowaday, due to supply chain delays and rising material costs, anyone renovating should defer starting the job until all materials are on site. You should anticipate supply delays, and it is preferable to resolve them prior to the start of demolition. Before the project begins, have the foreman check off each item, down to the last nail. You don’t want your kitchen to be completely finished but with a gaping hole between cabinets and counters while you wait for your oven.”

Patience: is required more than ever before due to supply chain delays and manpower shortages. “Material delivery and approval processes are currently slower than they were previously, as building departments across the country are approving projects twice as quickly as they were pre-pandemic,” Drake explains. “And the contractor you may want is almost certainly booked solid, so you’ll have to wait in line. Additionally, the supply chain difficulties that we have all been reading about are not fictitious. Everything is facing delays, from framing to sheetrock to appliances.”

Luckily, Stone Creek Building is extremely fast at responding to their clients and takes every inquiry serious.

Strausbaugh continues, “If you did a bathroom five years ago or a kitchen two years ago, it could take three to five times as long to complete.”

In many circumstances, patience necessitates flexibility. “Renovating today is a little different than it was in the past,” says Alexander Chingas of Coldwell Banker Realty’s Bross Chingas Bross Team in Connecticut. “An intriguing element to consider is the delay in acquiring construction permits and the necessary sign-offs from building department authorities as work continues on larger projects.” This has simply served to lengthen already lengthy timelines.

Cash: You’ll also require more cash than you anticipated, owing to delays and inflation. “Prices have increased across the board,” Drake notes. “The top contractors are in high demand, and their rates reflect their ability to pick and choose the projects that interest them the most. The cost of raw materials has increased, as have the prices of appliances.”

Strausbaugh notes, “In our market in Pittsburgh, what used to take eight weeks now takes 19 or 20 weeks.”

Strausbaugh says nine semicustom doors for the interior of a building she restored a few months ago took 20 weeks to come from Ohio, rather than the typical five. “And three of the doors were sized incorrectly,” she continues. “While the normal error rate on this type of order is 2%, this 30% error rate appears to be closer to the ‘new normal’ in today’s construction industry.”

Additionally, the bottom line is impacted. “In New York City, for example, $800 to $1,000 per square foot was once considered a decent rate for a high-end remodel,” Drake explains. “Nowaday, we sometimes see prices of up to $1,500 to $1,600 per square foot.”

The Price Difference Between Renovated and Unrenovated Homes Continues to Grow

Properties that have been renovated typically sell for more than those that require extensive work. Buyers will pay a premium for a “bring your toothbrush” house and will expect a discount if the property requires thousands of dollars in updates. However, with today’s supply chain delays, a shortage of competent labor, and rising material costs, that gap has grown wider.

“There is no doubt that we have witnessed a trend toward properties that deliver immediate gratification,” Chingas says. “Recently constructed homes or those that have been renovated to appeal to today’s consumers are attracting the most interest and selling the quickest.”

If you’re in the Portland, Oregon, area and are looking to start renovations for your home to increase the price or just make it more appealing to you, contact Stone Creek Building to see if we can help you get your dream home or make you some extra money when selling!

Buying or Building a New Home in 2022?

For Builders: Construction Costs Should Decrease

The majority of residential developers and homebuilders spent the first half of 2021 wringing their hands and wondering when the supply chain will resume normally. According to this source, “a significant factor in the low inventory in the new construction segment was the high cost of production.” There was (also) a problem with inflation, albeit a temporary one, harming the industrial industry. This has resulted in an increase in the cost of construction materials for homes and even automobiles. Lumber costs alone added almost $36,000 to the cost of new homes. In the 2022 real estate market, supply chain bottlenecks will be resolved as a result of ongoing economic expansion, and many businesses will refill their shelves.”

Finally, there was news in December that supply chain concerns are easing. “Port congestion in epic proportions is easing. Shipping costs are declining from record highs. Deliveries have sped up slightly. Businesses continue to face an alarming scarcity of truck drivers. Critical components, like as computer chips, continue to be in short supply. And the Omicron variety threatens to exacerbate supply chain constraints. Nonetheless, there is evidence that bottlenecks are unclogging.”

Everything Screams “Buy Now!” for Buyers

Pummeled by record-breaking property prices and bidding wars, many potential home buyers hunkered down and hoarded their money in 2021. They were waiting for the inevitable reorganization of the supply/demand equation. Even first-time buyers will undoubtedly pounce in the coming year, ready with larger incomes and stimulus resources in the bank. If both new and existing housing inventories increase, this could result in robust demand.

Many experts believe that by 2022, “these buyers will re-enter the market in droves.” While prices may remain elevated in 2022, they are unlikely to appreciate at the staggering rates seen in 2020 and 2021.”

Increased Mortgage Interest Rates May Suppress Demand

In December 2020, the mortgage interest rate was 2.66 percent; one year later, it is 2.75 percent. While this indicates minimal change year over year, home financial experts anticipate an increase in that rate in 2022, although it will remain lower than rates just a few years ago, which will decrease demand for new mortgages slightly.

The 30-year fixed mortgage rate will grow to 3.8 percent in the fourth quarter of 2022, according to Freddie Mac. As long as the price-inventory dilemma persists, this would have a stabilizing effect on price growth. According to Freddie Mac, home prices will increase to 4.4 percent in 2022, while new and existing home sales will reach 7.1 million in 2021 before declining to 6.7 million in 2022.”

This scarcity of land – or, more precisely, residential construction lots – will be a trend that homebuyers and builders will have to contend with in the coming year. According to a recent poll conducted by the National Association of Home Builders (NAHB), “76 percent of builders said that the overall availability of developed lots in their communities was limited to extremely limited.” This is an all-time high — by a significant margin — since the NAHB began collecting data in the 1990s. The previous high was 65%, set in 2018.

“In response to questions in the September 2021 NAHB/Wells Fargo Housing Market Index (HMI) survey, 46% of single-family builders described the availability of lots merely as low, while 30% described it as extremely low, for a total of 76 percent of builders reporting some form of supply difficulty.”

Homebuyers Will Be More Afraid of Making a Mistake When It Comes to Closing the Deal

Several of the variables mentioned above caused homebuyers to lose their bearings and go a bit insane. When homes are on the market for less than a week and the supply chain holds construction supplies, appliances, and even furniture on a boat someplace offshore, home purchasers become panicked and make poor decisions.

A Wall Street Journal story provides one example of this. “In such a fast-paced market, purchasers frequently ignore established precautions in order to commit to one of the largest purchases of their lives. Numerous buyers have sacrificed their right to terminate a contract due to a low appraisal or unfavorable inspection in order to increase their offers’ competitiveness in a bidding war.”

In 2022, as inventory increases, house buyers will spend more time weighing the pros and disadvantages of purchasing an older/existing property. Additionally, as a result of the flexibility afforded by working from home, some individuals will choose to abandon their previous urban residence in favor of a lower-cost, more peaceful smaller neighborhood.

Property Values Will Remain High… Or not?

Zillow, a highly recognized real estate brokerage business, was widely believed to be bullish on property values remaining high for the foreseeable future. According to this article, “Zillow’s market estimate indicates that house prices in the United States will have increased 11.8 percent by April 2022. Zillow Economic Research forecasts that yearly home value growth will reach 13.5 percent in mid-2021 and will reach 10.5 percent by the end of 2021. According to Zillow, sales volume will continue to rise in the coming year, hitting 6.9 million in 2021, the highest level since 2005.”

Recent developments cast doubt on the messenger’s wisdom – Zillow. As noted in this news source, “Real estate firm Zillow Group Inc. is abandoning the home-flipping market, stating Tuesday that its algorithmic strategy for fast buying and selling homes does not perform as expected.” The firm’s decision to discontinue its technology-enabled home-flipping business, dubbed ‘iBuying,’ comes on the heels of Zillow’s statement two weeks ago that it would suspend all new property acquisitions for the remainder of the year.”

If Zillow, despite its technical prowess and billions of dollars invested in residential properties, is unable to reliably forecast the future worth of homes, real estate brokers and their clients should tread carefully when seeking “expert” advise on projected property assessments.

With any luck, 2022 will be a fantastic year for homebuilders and purchasers. However, inflationary pressures, new COVID variations, or other market upheavals may alter everything. As is customary, caveat emptor. “Let the purchaser use caution.”

In 2022, are you planning to build or renovate a home? Consult the professionals at Stone Creek Building for environmentally friendly and low-maintenance custom homes, as well as a comprehensive range of home improvement services.

Traditional Custom Homes vs. Environmentally Friendly Custom Homes

Since its LEED in 2008, the United States Green Building Council’s LEED for Homes program has certified 10,000 homes. What was once considered a specialty is now considered mainstream.

Many builders are increasingly addressing their customers’ expectations for energy efficiency and water efficiency while also providing a better environment and financial rewards by developing more sustainable custom homes.

Many homebuyers are curious about the differences between an ecologically sustainable (green) home and a conventional (traditional) home, as well as the advantages of both. Green home builders like Stone Creek Building uses a variety of techniques to create environmentally sustainable homes, all of which result in high-quality homes that are just as durable and even more comfortable than traditional homes.

More environmentally sustainable building materials, practices, and processes are being incorporated

Building a new home necessitates a large number of supplies. Companies like Stone Creek Building who make extensive use of environmentally friendly materials to reduce their environmental impact. Reputable sustainable builders also strive to reduce the quantity of garbage produced during building. They usually concentrate on recycling as much material as possible, for example.

Increasing Insulation

In the summer, you lose warm air, and in the winter, you lose chilly air, increasing your fuel use – and your energy expenses. Traditional wall and roof insulation, as well as more novel approaches like triple-pane windows and an insulated foundation, are used in sustainable building practices to insulate a home. Which results in a home that is much more pleasant throughout the year.

Using Alternative Energy as a Substitute

Most energy in the United States comes from carbon-emitting fossil fuels, therefore a sustainable home will ideally rely on the traditional energy system as little as feasible. Many eco-friendly homes employ solar panels to generate electricity or geothermal pumps for heating and cooling. Some of these technologies, such as solar panels, allow you to create more energy than you use, in addition to allowing you to generate your own power.

Alternatives to the Standard

If your municipality allows it, you might install a greywater system in your house to reuse some of your water if you’re concerned about water conservation. Replacing your grass with a low-water garden could be beneficial as well.

Final Thoughts

It doesn’t have to be difficult to find ways to incorporate more green into your life. You’ll save money on energy bills and make Environmentally friendly homes are created through sustainable construction and design principles, and as more people adopt green building best practices, we can actually build a greener planet!

If you’d like to learn more about Stone Creek Building’s green building processes and design methods, please contact us.

In Portland, Oregon, are you looking to create a green custom home? Make an appointment with a Stone Creek Building  consultation today!

Should You Build a Custom Home? Here Are 10 Reasons You Should!

THE TEN MOST COMMON REASONS TO BUILD A CUSTOM HOME

1) A HOME THAT IS FUTURE-PROOF

Future-proofing can mean a variety of topics, but we’re referring particularly to family planning here. One of the most common reasons people are forced to relocate, sell their current home, and purchase a new one is to make room for their growing family.

A custom home enables you to create a living area that meets your current demands while also anticipating future changes.

2) MONTHLY ENERGY BILLS REDUCED

While purchasing an existing home may be advantageous for some, renovating older homes with contemporary, energy-efficient fixtures can quickly become prohibitively expensive.

While a new home buyer should always anticipate energy-efficient fixtures, with a custom construction, there is an even greater chance to incorporate energy efficiency and significantly reduce monthly energy expenditures.

3) ADDITIONAL FLEXIBLE SPACE FOR FAMILY LIFE

The majority of younger families anticipate open, well-lit flex spaces that seamlessly integrate cooking, dining, and rest. The layout of a custom house enables you to create a more inclusive family setting while still keeping privacy in key areas.

4) A FLOOR PLAN THAT IS PERFECT FOR YOUR STYLE

The ability to entertain visitors comfortably may have a significant impact on a homeowner’s quality of life, and designing a custom home provides the ideal opportunity to showcase your hosting abilities. Construct a custom patio to complement a barbeque pit or an in-ground pool. Convert a conventional living room into a great room or construct a kitchen large enough to cook for the entire extended family comfortably.

5) EXPRESSION OF SELF IN THE DETAILS

The opportunity to choose your own doorknobs, light fixtures, and kitchen appliances? Custom homes are an authentic manifestation of the owners’ personalities. This is your opportunity to build a unified living environment that is entirely unique to you.

6) UP-TO-DATE TECHNOLOGY INTEGRATED

Along with open floor layouts, integrated home electronics is one of the most rapidly evolving facets of modern home design. From the start, if you’re designing a custom house, multi-room audio systems, smart appliances, and home automation are all options.

7) BUILT IN THE LOCATION OF YOUR CHOICE

Before you consider fantastic room ideas or roofing materials, you have the option of deciding where to construct — and that gives you a lot of control.

If you’re considering starting a family, you have the option of building in the appropriate school districts or being close to family and friends.

Additionally, by working with the proper home builder, you can build directly into your lot’s natural terrain. Anyone up for a walkout basement?

8) REDUCED MAINTENANCE FEES

Purchasing an older house can feel risky, particularly when it comes to unforeseen maintenance issues that arise months or years after all the paperwork is signed and completed.

And, while it should go without saying, everything in a custom home is brand new. This means that a large number of building materials, appliances, and home furnishings come with warranties directly from the manufacturer. Thus, you won’t need to worry about routine maintenance, and if something does break, you’ll likely be able to repair it at little or no cost.

9) OPPORTUNITY TO SELECT YOUR BUILDING CONTRACTOR

Custom home development is all about choices, and that includes the contractor you choose.

When you put your future to a homebuilder, you have the option of selecting the best. A company that uses only the finest materials and craftspeople increases the likelihood that you’ll end up with a home that exceeds your expectations and retains its worth for years to come, in case you ever need to sell.

10) OWNERSHIP PRIDE

There is an ethereal quality to owning a fully customized home. It’s a work of art and craftsmanship, as well as a reflection of your personal style and values.

If you’re interested in learning more about how Stone Creek Building may be able to assist you in building a custom home that meets your needs, vision, and budget, send us a message or call us at 503.496.7612.

CUSTOM HOME BUILDERS IN PORTLAND, OREGON

Stone Creek Building is a locally owned, trusted, and licensed general contractor specializing in custom home construction services and superior craftsmanship. Our team collectively has over 100 years of construction related experience.