Affordability has become a major challenge in today’s real estate market, with high mortgage rates and rising home prices making it harder for buyers to find the right home within budget. But there’s good news—I can still negotiate with the builder to pay your closing costs and maybe even buy down your rate.  I have not closed a deal under 5.2% the past 2 years and that is because I negotiate for my buyers to get a lower rate with the builder’s preferred lender. If you want a lower rate than the average and a sprawling floor plan, new opportunities are emerging in new home communities.

I have been very successful in finding and negotiating killer deals for my buyers.  You have to work with someone like ME that has the builder relationships in place and is experienced and knows what you can ask for and get away with it. 

Homebuyers are prioritizing cost-effective options as affordability pressures increase. Builders have noted and are now designing homes with smaller footprints to offer more attainable price points. According to U.S. News:

“The combination of higher home prices and mortgage rates has strained a lot of people’s budgets. And that’s something builders recognize. To this end, they may be leaning toward smaller spaces . . . That, in turn, can lead to savings for buyers.”  

Las Vegas and Henderson are running out of land and Boulder City has building restrictions and they have finally approved a new community that is breaking ground in 2025.  Now is the time to get your piece since they are not building any more land, except for the man-made Island is Lake Las Vegas in Henderson.

LasRecent data from the U.S. Census confirms this shift, showing a consistent trend toward smaller, single-family homes over the past two years. In Q3 2022, the average new home was 2,309 square feet, but by Q3 2024, that number had dropped to 2,171 square feet—a reduction of 138 square feet.

Ultimately, builders are focusing on what sells, and right now, affordability is at the top of buyers’ wish lists. Multi-Housing News explains:

“The growing trend toward smaller homes is evident. These homes are less expensive to build and more attainable for many middle-income families, meeting both housing needs and modern lifestyle preferences.”