User uShare Login | Register
Login
Register

Along with posting photos, videos, and stories, your uShare account lets you post Classified Ads, recipes on What's For Dinner, and Announcements.


77° View Weather Current Conditions Sioux Falls Change Location
Set Weather Options

RADAR LOCATION

TEMPERATURE LOCATION

News

[0] My Saved Articles
Back to all news

Business

Find local businesses
on the KELO Pages!

 

Most Popular Today


Spring Housing Shortage?

October 31, 2012, 9:53 PM by Angela Kennecke

Spring Housing Shortage?
SIOUX FALLS, SD -

The number of homes on the market in Sioux Falls is shrinking.

Inventory levels dropped by nearly 16 percent last month. And if the trend continues, realtors are predicting a housing shortage in the spring.

Builder Chad Javers is proud of his Parade of Homes house that sold just one week after being finished.  

After surviving the recession, Javers is happy to be busy again. 

“You drive down every street and it seems like every house has either a sale pending sign on all the new construction, or they're pre-sold homes out there,” Javers said. “We're looking at starting several more specs just to be ready for spring because spring is going to be really busy.”

Javers says he can get the loans to build spec house, despite tighter lending restrictions because he has an established relationship with his bank. But the spec homes being built may not be enough.

“It's easier to get a loan for a presold home because you have a buyer lined up and we have a lot of presold homes going on and we have a lot going ourselves. Those loans are easier to do,” Javers said. “It's a spec home loan that's a lot harder to get. That's where we're going to see a shortage of homes where there are not going to be as many spec homes available as far as new construction.”

“The spec houses, there are probably going to be more of them out there in the spring but by contrast it is not going to make up for the shortage I think is going to happen in the spring," Realtor Don Welker said.

Welker says the anticipated housing shortage may motivate owners to put their homes up for sale, but they still have to have someplace to go. 

“I think it's going to be a lot more difficult come spring.  With the interest rates as low as they are, I think they are going to continue to be low for a little while and the more people are going to come into the market; especially with the way Sioux Falls is growing, I think it's going to shrink it up even more," Welker said.

If the inventory of homes on the market doesn't meet demand, you could expect to see bidding wars on houses. That’s something we haven't seen since before the recession hit.

Previous Story

Next Story


Comments







 
Find Local Businesses on KELO Pages!

View business

You may also like

Former Sioux Falls Executive Investigated For Animal Abuse

8/28/2014 4:15 PM

A former Hot Stuff/Orion Foods President is being investigated for dog abuse in Canada.

Full Story
Westward Ho Country Club Changes Name

8/28/2014 12:56 PM

The Westward Ho Country club in Sioux Falls is changing its name to The Country Club of Sioux Falls.  Members were notified of the change on Thur...

Full Story
Cattle Spooked By LifeLight Noise

8/30/2014 3:58 PM

Farmers say the annual music event is louder this year, and it's causing some problems with their cattle.

Full Story
Sanford And First PREMIER Bank Hosting Concert For Employees

8/29/2014 11:30 AM

Employees from two Sioux Falls employers have an opportunity to see a private concert with two country headliners at the Denny Sanford PREMIER Center.

Full Story
Car vs Bus Crash Injures Two Teens

8/26/2014 6:00 PM

Two Iowa teenagers are hospitalized after colliding with a school bus early Tuesday morning.  It happened just east of Inwood on 240th Street at ...

Full Story | Watch


Events