Unlocking the Potential of Newly Built Homes

In the current real estate landscape, purchasing a home in St. Louis or St. Charles County comes with its share of challenges. Higher mortgage rates may create affordability issues and there is a limited inventory of available homes compared to years past. However, what if there was a game-changing solution that could address both concerns?

Inventory Bright Spot: New Home Construction

Home seekers can opt for either existing homes or newly constructed properties. While the inventory of existing homes for sale has seen some growth this year, there are still fewer options compared to previous years like in 2018 or 2019.

Embracing newly built homes can expand your choices further. According to Danielle Hale, Chief Economist at Realtor.com explains,

“The shortage of existing homes For Sale has opened up the possibility of new-home construction to more buyers who may not have once considered it.”

At The Boehmer Team we know what recent data from the Census shows - new home construction is ramping up in two key areas: starts and completions. (See most recent spike on chart below in pink.)

Starts, or homes where builders just broke ground, have seen a big increase lately. And completions, homes that builders just finished, are also up significantly. So, if you want a new, move-in ready home or you want to get in early and customize your build along the way, you have more options right now.

See Our List of Preferred Builders

Affordability Incentives from Builders

Builders are currently providing incentives such as mortgage rate buy-downs to ease affordability challenges and help buyers achieve their dream home. Mark Fleming, Chief Economist at First American, explains why you may find builders have more wiggle room to offer than the typical homeowner:

“Builders aren't rate locked-in. They would love to sell you the home because they're not living in it. It costs money not to sell the home. And many of the public home builders have said in their earnings calls that they are not going to be pulling back on incentives, especially the mortgage rate buydown, so that will help the new-home market continue to perform well in the spring home-buying season.”

Expert Guidance from New Construction REALTORs

Purchasing a newly built home involves a different process than buying from a homeowner. It is essential to work closely with local REALTORs like The Boehmer Team. We have many years of experience working with home builders as well as special training and certifications to help the new construction home buyer. We offer expert guidance through intricate builder contracts, the build process and more.

In Summary

If you're facing difficulties in finding a suitable home or navigating affordability issues, considering exploring the potential of newly built homes as a viable solution. Connect with The Boehmer Team to explore if this option aligns with your home-buying needs. Or visit New Home Central on our website to search for new construction homes, see preferred builders, learn about the process and more.

 

 

 

St. Charles County Breweries

In St. Charles County, Missouri there are many fine breweries crafting their unique take on beer, the oldest recipe in the world. In fact, due to a growing number of elite microbreweries, the St. Louis area has become a major destination for beer lovers nationwide. But we don’t think you need to leave St. Charles County for an amazing microbrew tasting experience. Check out the following St. Charles County area breweries.

Exit 6 Brewery

https://www.exit6brewery.com 

5055 Highway N, Suite 113, Cottleville, MO 63304
Exit 6 Brewery touts that they are “St Charles County’s first nano-brewery”. In addition to five beers made in-house, they offer 70 different craft beers with 23 beers on tap. The beer selection includes high-flavor, unique and crafty brews reflecting owners who are true beer nerds. Exit 6 Brewery does not have a kitchen but you can bring your own food or have food delivered to the brewpub. Check them out in Cottleville any day of the week or catch their podcast The Brewsroom.

Friendship Brewing Company

https://www.friendshipbrewco.com
100 East Pitman Ave, Wentzville, MO
Six beer-loving friends started Friendship Brewing Company in Wentzville. Together they built their brewery and craft creative beers. The brewpub often gets compliments on service and atmosphere that includes a pet-friendly outdoor patio space. Food options include appetizers, street tacos and sandwiches, some of which integrate Friendship beer. Events at Friendship include trivia nights, paint nights, bands, special beer and food tastings, Sunday Bloody Mary bar and more. The next time you’re in Wentzville give it a try.

Good News Brewery

https://www.goodnewsbrewing.com
330 Sonderen, O'Fallon, Missouri
Sharing the good news through Bible study is what brought Matt Fair and Dan Tripp together. Along with friend Josh Brewer, they created Good News Brewing Company in O’Fallon. They offer some great examples of traditional beers as well as twists on the classics. Enjoy a wood fired pizza and a salad with your beer. Also you can reserve the patio for your next private party.

Third Wheel Brewing

http://www.thirdwheelbrewing.com/home
4008 N. Service Rd, St. Peters, MO 63376
At Third Wheel Brewing in St. Peters you’ll find a range of beer styles brewed on site by head brewer Abbey Spencer. The helpful staff can help you select your new favorite beer. They offer a full menu of items designed to be paired with beer. Check out their events page to find events like Beer Bingo, Burger Battles, Bluegrass Brunch, bands and special beer releases. Bring the family because this pub is all ages.

Two Plumbers Brewery + Arcade

https://twoplumbers.com
745 Friedens Road, St. Charles, MO 63303
You might be surprised to learn that Two Plumbers Brewery was not founded by plumbers but by two childhood friends, a microbiologist and an animator, that love making beer. The plumbers are actually a reference to characters in a classic video game. In March 2017 Two Plumbers Brewery + Arcade was opened in an accessible strip mall location in St. Charles. Part brewery and part arcade, this 21 and over brewpub offers a bit of a departure from your usual brewery. In addition to their own beers they have several rotating taps serving beers from other Missouri breweries. They offer Dan O's pizza or you can bring your own food.

 

 

Shortleaf Brewing

https://www.shortleafbeer.com/
7434 Village Center Dr, O'Fallon, MO 63368

Shortleaf Brewing is a family-owned and operated craft brewery with two locations. The brew pub in Winghaven (O'Fallon), MO and also a  Microbrewery in Camdenton, MO include state-of-the-art facilities that implement eco-friendly technology for brewing the highest quality beers possible. Visit Shortleaf for great brews and food!

 

Crossroads Brewery

https://crossroadsbrewery.net/
9995 Winghaven Blvd., O'Fallon, MO

At Crossroads Brewery in O’Fallon, Missouri, the beers are handcrafted works of delicious liquid art. They create small batches with big flavors by selecting the finest ingredients for every batch. They regularly release new beers, including some experimental batches. They are worth visiting often to try new releases of beers.

- - -

From the ancient Egyptians to modern times, beer continues to be an important consumable in our culture and economy. We’ve seen how a brewery can be an amenity to a community and we understand the importance of community establishments that attract people and bolster home values. Thinking of moving to a new neighborhood in St. Charles County? Contact The Boehmer Team.

Originally published October 8, 2018. Updated April 5, 2024.

References: https://beerandbrewing.com/dictionary/UqfrcsPoAI/the-history-of-beer/

Why Buy New Construction

Buying a new construction home in the St. Louis and St. Charles County areas of brings benefits and advantages that resale properties just cannot offer. Here are a few reasons numerous Missouri real estate buyers have opted for a newly constructed home:

Know What You Are Getting

When building a home, you have the opportunity to witness the construction, ensuring transparency and eliminating surprises upon moving in. Understanding how your home was built and what lies behind the walls is invaluable. You will also be familiar with operating and maintaining your home's equipment, with your builder available for any assistance you may need. Moreover, the builder should offer a warranty, in addition to any manufacturers' warranties that might need to be activated by the buyer.

Get What You Want

When buying new construction, you don’t have to settle for outdated designs or eccentric decorations left behind by others, nor do you have to invest in revamping the previous owner's upgrades. New-home builders provide a variety of designs, floor plans, and premium features from the layout to the cabinets and flooring. With new construction you have the opportunity to personalize your new home to match your style and preferences.

• New homes often include advanced appliances with updated features.
• They are equipped with more electrical outlets and can be wired for internet and other technology needs, including charging stations and streaming capabilities.
• New homes tend to be larger than older ones, with the average size increasing from around 1200 square feet to 1900 square feet.
• Typically, new homes come with 2-3 bathrooms, whereas older homes averaged 1-2 bathrooms.
• Bathrooms and kitchens in new homes feature luxurious amenities such as expansive islands, storage solutions, stylish vanity mirrors, linen towers, walk-in showers, and oversized tubs.
• Some new homes offer advanced technology options like programmed lighting, security systems, and intercoms.
• Many homebuilders provide assistance to help potential buyers secure affordable financing for a new home.

 

Less Maintenance Than Older Homes

With a new home, everything is brand new, minimizing concerns and repair needs. Today's new homes often feature siding, window, and trim materials that seldom require painting. Many exterior elements of modern homes demand far less maintenance compared to older properties. Materials like vinyl siding, fiber cement siding, 30 to 50-year shingles, fascia/soffit materials, and vinyl trim pieces are exceptionally low maintenance. Builders typically offer walk-throughs and warranties that cover the initial year of ownership (varies by builder).

Built Better Than Ever

There have been remarkable advancements in building technology. Building codes have become significantly more stringent, while the design and inspection processes are now much more detailed than in the past. New homes are not only safer but also highly energy-efficient, leading to savings on energy bills. Improved indoor air quality is achieved by using healthier products with fewer allergens. Modern building products perform better, have longer lifespans (depending on the product), and often boast enhanced aesthetics. Some government-regulated products may have shorter lifespans due to specific regulations and limitations. Appliances serve as a prime example of products with reduced lifespans.

 

More Safety Features

If safety at home is important to you, know that today's new construction homes are much safer than older homes for many reasons.

• Residents of modern new construction homes are nearly six times less likely to succumb to fire compared to those in older homes.
• The majority of new homes are equipped with hard-wired smoke detectors on the main level, often interconnected with those on the upper floor. Note: specific smoke detector regulations and placements are mandated by the municipality or county.
• New homes are equipped with central heating systems, reducing fire risks associated with space heaters or wood stoves common in older homes.
• Circuit breakers are standard in new homes, replacing fuse boxes that may overload with the wrong fuse size.
• Ground fault interrupters are installed in key areas like kitchens, bathrooms, and outdoors to mitigate fire and electrocution hazards.
• Contemporary homes feature tempered glass that crumbles instead of shattering into sharp fragments, reducing injury risks.
• New home communities offer safer surroundings with amenities like sidewalks, cul-de-sacs, open spaces, playgrounds, pools, and clubhouses to enrich your lifestyle.
• Purchasing a new home allows you to enjoy customizable features tailored to your preferences.
• The abundance of safety measures in new homes may lead to lower insurance rates.

It's important to have the assistance of a REALTOR experienced in new construction to navigate the St. Louis and St. Charles County area new construction market. Click Here to find out why.

More Energy Efficiency

Energy efficiency is greatly improved in new homes. Energy efficiency codes, including regulations for ceiling, wall, and floor standards, have become more stringent in recent years compared to the past. Also, modern heating and cooling systems now use half the energy they did in previous years.

Warranty

When purchasing a resale home, you won't receive the extensive warranty provided by new-home builders. Professional homebuilders go beyond by providing a 1-year comprehensive warranty, a 2-year assurance on electrical, plumbing, and heating/cooling systems, and a 10-year structural guarantee (specific terms may vary by builder). Investing in a new home now more than ever ensures peace of mind.

Maintenance

When purchasing a new home, you can expect many years without the need to re-roof, replace the furnace, address plumbing issues, or renovate the kitchen. Acquiring a new home provides the advantage of predictable housing costs for the foreseeable future, enabling you to plan your budget with ease. Thanks to modern home construction methods, your time will be less consumed by maintenance tasks, giving you the opportunity to fully appreciate your new neighborhood and lifestyle.

- - -

Want to enjoy a fresh start with a brand-new home? The Boehmer Team consists of top performing Realtors and specializes in new construction sales. Contact us today to learn more about how we help homebuyers buy new construction homes.

 

 

 

 

2024 Mortgage Rate and Real Estate Predictions

Mortgage interest rates are a crucial factor in the St. Louis and St. Charles County, Missouri real estate markets, as they directly impact both homebuyers and homeowners. While rates at the end of 2023 rates held steady, the current trend suggests rates in 2024 could be on a downward trajectory- good news for those looking to buy a home or refinance their existing mortgage.

What Mortgage and Real Estate Experts are Saying About 2024 Mortgage Rates

According to Forbes, experts are predicting that mortgage interest rates will continue to decrease over the next few years. This positive prediction is supported by Fannie Mae, which recently released a report forecasting that mortgage rates will drop below 6% by the end of 2024. Meanwhile Danielle Hale, chief economist at Realtor.com, said “Our modeling suggests a gradual, steady decline” when discussing 2024 mortgage rates,

 

These predictions are based on several factors, including slower economic growth, lower inflation, and a more stable global economy. These factors are likely to contribute to a decline in interest rates, which will benefit both homebuyers and homeowners.

 

Source: https://www.wsj.com/buyside/personal-finance/will-mortgage-rates-go-down-in-2024-predictions-16fffcaa

The Impact of Lower Interest Rates

The impact of lower interest rates on the real estate market could be significant. Lower rates make it more affordable for buyers to purchase a home, which could lead to an increase in demand for housing. This could, in turn, push up home prices a bit in certain areas. Homeowners who are looking to sell their homes could benefit from this trend, as they may be able to sell their homes for a higher price than they would have in a higher interest rate environment.

 

Lower interest rates also make it more affordable for homeowners to refinance their mortgages. This could be especially beneficial for those who are struggling to keep up with their monthly mortgage payments. By refinancing at a lower interest rate, homeowners could potentially lower their monthly payments, reduce the total amount of interest they pay over the life of their loan, and even shorten the term of their mortgage.

 

Other Factors That Could Affect the 2024 Real Estate Market

It’s important to keep in mind that interest rates are just one factor in the real estate market, and other factors such as job growth, inventory levels, and consumer confidence also play a role. While the prediction of lower interest rates is positive news, it is important to remain cautious about the future of the real estate market. Experts predict that slower economic growth, lower inflation, and a more stable global economy will contribute to a decline in interest rates. However, unforeseen events such as natural disasters, political instability, or global economic shifts could still impact the market.

 

In conclusion, the trend of decreasing mortgage interest rates is positive news for both homebuyers and homeowners. It could boost the housing market, make it more affordable for people to buy and refinance homes, and even lead to an increase in home values. However, it is important to keep in mind that interest rates are just one factor in the real estate market, and other factors can also impact the housing market. Homebuyers and homeowners should carefully consider their individual circumstances before making any decisions.

- - -

Have questions or need advice about St. Louis or St. Charles County real estate? The Boehmer Team are highly qualified, experienced, and available for you. Contact us to assist you with buying, selling, building, or investing in real estate.

 

 

 

Sources:

https://www.wsj.com/buyside/personal-finance/will-mortgage-rates-go-down-in-2024-predictions-16fffcaa

https://www.fanniemae.com/newsroom/fannie-mae-news/mortgage-rates-expected-dip-below-6-percent-2024-boosting-home-sales

https://www.freddiemac.com/research/forecast/20240122-us-economy-continues-expand  

https://www.forbes.com/advisor/mortgages/mortgage-interest-rates-forecast/

https://www.realtor.com/news/trends/mortgage-rates-have-dropped-quickly-how-low-will-they-go-in-2024/

Full-Service Realtors – At Your Service for Life

While some real estate agents may come and go, others are determined and committed to being full-service REALTORS for life. In the St. Charles County, Missouri area The Boehmer Team is leading by example in what they offer as a full-service real estate team. There are many ways in which our team goes above and beyond simply helping you buy or sell a home. Here are just a few of the ways in which full-service REALTORs can provide added value to your real estate experience and to your life:

 

Availability and Consistency

Often times, primarily with discount brokerages and agents or very large teams, clients feel passed on once the listing agreement is signed. The team leaders often move on securing new business and let existing clients be maintained by a variety of team members. There are often questions about scheduled showings, no-shows, inspection concerns, financing issues that unexpectedly arise, survey concerns, troubleshooting homes that are not selling and more. Your primary agent should be available to assist you and be available for you. Your REALTOR should discuss with you up front as to who and how your concerns will be addressed and they should be an active part of the solutions.

 

Negotiation Experience

A quality REALTOR is extremely valuable in the process of negotiating.  Not only your contract terms but your inspection process and a variety of other things that may come up along the way. Negotiating is a skill that comes with experience and training. Is your REALTOR an experienced negotiator?  Have they earned the RENE Real Estate Negotiation Expert designation?  Both Linda and Kelly hold this designation. Feel free to ask any agent you consider for their history of negotiating expertise. 

Referrals to Contractors

Whether you're looking to do some minor repairs or a major renovation, a good contractor can be hard to find. As a full-service REALTOR, we have relationships with a variety of contractors in our area and can help connect you with someone who can get the job done right.

 

Referrals to Insurance Agents

Homeowners insurance is an important part of protecting your investment, but finding the right policy can be overwhelming. We can help connect you with a reputable insurance agent who can provide guidance on the best coverage options for your needs.

 

Storage, Recycling and Disposal Information

In homes there is often lots of “stuff” from furniture to bedding, clothes and shoes, dishes and cookware, toys and electronics, old flags, and of course clutter and trash. There are different ways to store, donate, recycle or dispose of all this stuff. The Boehmer Team offers information on local establishments where items can be stored, recycled, donated or disposed of. 

 

Documents Related to Tax Time

When it comes time to file your taxes, having the right documents in hand can save you time and headache. As your full-service REALTOR, we can provide you with all of the necessary paperwork related to your home sale or purchase, making tax time a breeze.

Evaluations on Home Improvements

If you're considering making improvements to your home, it's important to know how much value those improvements are likely to add. We can provide you with an evaluation of how much equity a particular improvement (such as a kitchen remodel or bathroom renovation) is likely to add to your home's value, helping you make informed decisions about where to invest your money.

 

Annual Home Equity Review

Just as you might meet with a financial planner to review your investment portfolio; we can also offer an Annual Home Equity Review. This is an opportunity to sit down and review your current home value, as well as any changes or improvements you've made over the past year. We can also discuss your long-term real estate goals and provide guidance on how to achieve them.

 

- - -

By working with a full-service REALTOR, you're not just getting help with buying or selling a home - you're gaining access to a wealth of knowledge and expertise that can help you make informed decisions about your real estate investments. And with our network of trusted contractors, insurance agents, and other professionals, you can rest assured that you're in good hands with The Boehmer Team every step of the way. Contact us if we can provide full-service REALTOR benefits to you.

 

Seasonal Opportunities in New Construction

Builders create more than just new homes; they create neighborhoods and communities.  Many builders construct “inventory homes” that allow a buyer to purchase a brand new home without the wait time to build.  When the end of the calendar year comes near, many builders increase their supply of inventory to accommodate the numerous homebuyers looking to get settled into their new home before year’s end.  This creates the perfect opportunity to secure a new home and  take advantage of pricing incentives that the builder may be offering.

 

The Boehmer Team has worked closely with multiple homebuilders in St. Louis County and St. Charles County, Missouri for years. We have found that by taking advantage of the builders advertised opportunities, the potential to save some money as well as secure a new home by the end of the year is a win-win for both the buyer and the seller.

Another good reason to buy a new construction inventory home according to Mark Murphy from Bridgewater Community Homes is, “Many of our buyers are putting their existing home on the market and selling right away. Buying our Jump Start home (a completed new construction home) removes the need and expense of a double move and/or putting all possessions into storage for a few months.”

A huge advantage in purchasing a new construction inventory home, other than the fact it is ready to move in and enjoy, is that they often include the most popular upgrades and desirable features that buyers want, without the stress of having to make a lot of decisions.

- - -

Have you been imagining yourself in a brand new home? The Boehmer Team can help make it possible.  We have connections with multiple builders, know the ins and outs of the entire new home sales process and have other resources such as mortgage and title companies that can assist.  Check out www.BuyNewAndNow.com to see our current list of new construction inventory homes waiting for you to move in.

 

 

What To Know Before Starting The Home Buying Process

Before shopping for a St. Louis or St. Charles County home, there are some important things you should know. Once you’ve learned how to start the home buying process, you’ll be better able to get the right home at the right price. Consulting a qualified lender to find out how much house you can afford and getting preapproved for a loan is always a good place to start. Below we’ve put together a list of frequently asked homebuyer questions and our answers to help you prepare and start the home buying process on the right foot.

 

How much house can I afford?

When determining how much you can afford, one must look at savings, income and the current interest rates to figure the maximum price you can spend on a home. Most lenders recommend that you spend no more than 28% of your monthly income on mortgage payments. Also, don’t forget to consider any monthly fees that may be included if you choose a condo/low maintenance lifestyle.

 

What are the current interest rates?

Interest rates fluctuate daily based on the market and your individual rate will additionally be based on your credit history. Talking to a qualified mortgage loan officer will help you determine your rate. Contact The Boehmer Team if you would like the names of some reputable mortgage loan officers in St. Louis City, County, St. Charles County and surrounding areas in Missouri.

 

What is an appraisal and how much does it cost?

An appraisal is a valuation of a property that determines property value for tax and home loan purposes. Currently an appraisal costs between $350-$500 in the St. Louis, Missouri area.  This is considered part of your closing costs. Keep in mind that prices may vary depending on the size of the home and the amount of land included.

 

What inspections will be required & how much do they cost?

A building inspection is the best opportunity to learn about your new home. This tells the buyer about the condition of the mechanical systems, roof, plumbing and electric just to name a few. Currently in the St. Louis, Missouri area a building inspection runs approximately $500-800 and is based on the sale price of the home.

 

Additionally, you can get termite inspections ($80-$100) and radon inspections ($100-$150). There are several other items that you can also inspect for including sewer laterals, septic systems, swimming pools, wells and environmental testing if desired.

 

What is a home closing?

The home closing is the final transfer of the ownership of a house from the seller to the buyer, which occurs after both have met all the terms of their contract and the deed has been recorded. This term can also be used to explain the timing of when the deed/ownership of the house will be transferred to the new owners. The closing usually takes place at the office of someone like a title officer, escrow officer, or real estate lawyer (someone who is licensed in initiating the transaction and purchase agreement).

 

How much will the closing costs be?

The amount of closing costs will depend on the amount of points a buyer will be paying with their mortgage loan. (Each point is 1% of the mortgage loan amount). Closing costs vary depending on the type of loan you are using.  They can include title fees, origination fees, pre-paids including insurance, setting up your escrow account and survey to name a few. Depending on the loan amount and loan type, closing costs usually run approximately 2-3% of the loan amount. Your loan officer will be able to give you more accurate information on what your total closing costs will be.

 

I’m also thinking of buying a car, a boat or other big-ticket item. Should I wait?

Do NOT make any large purchases while in the home buying process as it could affect your ability to get a mortgage loan. Consult your loan officer before opening any charge cards and obtaining any other type of loan or credit.

 

 

-- - -

 

Now that you have the information you need to start the home buying process visit TheBoehmerTeam.com to see homes currently for sale in the St. Louis and St. Charles County areas of Missouri. You can narrow the results by the area and price range of your choice in addition to many other advanced features. Our website gets listing updates multiple times daily and has features like saved search, saved favorites and email notifications of new homes that meet your criteria as the come on the market. Contact us if you have any questions about the home buying process.