Housing crunch brings big changes to Spring Parade of Homes

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SIOUX FALLS, S.D. (KELO) — Home builders have been in high demand across KELOLAND for the past couple of years, but 2021 has brought an even bigger surge in demand. That housing crunch means some big changes to the Spring Parade of homes, the Home Builder’s Association of the Sioux Empire’s biggest showcase.

“I’ve been in this industry over 28 years and I can’t remember a time being busier than we are right now,” Craig Wynia with Jeren Homes said. 

With more than a dozen new homes currently under construction…

“All of the lots have been sold and all of them have intentions to be built on them in the next 6 to 8 months,” Wynia said. 

The Heritage Lake Addition in Tea is a perfect illustration of the housing boom now underway all over KELOLAND.

“They’re selling about as fast as you can build them,” Top Construction owner Doug Top said. 
It’s why numbers in this year’s parade of homes are down.

“A lot of the homebuilders had to choose not to put their homes on the parade because people had bought and moved into them or others could not get them done in time because lack of materials, supplies, whatever it may be,” Wynia said. 

The ongoing pandemic supply chain issues meant builders had to prepare far in advance for this year’s parade of homes. 

“They ordered their furniture six, seven months ago to make sure it was here today,” Wynia said. 
“The timing is not always right to get a home on the parade,” Top said. 

Eleven home builders are offering virtual tours of their workmanship because their clients need to move out of their previous homes as soon as possible.

“In today’s market, as soon as you have a house that you know you want to sell, it’s been going pretty fast,” Top said.

The rise in demand and short supply combined with rising costs of materials has also driven up the price of many of the homes on this year’s parade of homes.

“The market for $500,000 and below especially, it’s hard to even get one of those that’s available on the market its going so fast. Sometimes even bidding wars on the market as they’re finished,” Top said. 

So anyone looking to build right now should prepare for an increase in price, and patience.

“We have lots still available and you can still get materials, it’s just patience. Cost is one thing, patience is another, if you can absorb the costs, be patient, we can still build homes,” Wynia said. 

The parade of homes begins Saturday and runs through next Sunday. Usually many of the homes on the parade are still for sale, this year, there are only a couple still for sale and they are expected to be spoken for by the end of the weekend.

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