Sable Homes recognized housing needs in 2018, anticipates strong housing demand for 2019
In early 2018, Sable Homes recognized the need to provide housing for work force or missing middle buyers or those wanting to downsize their homes throughout West Michigan. As part of that effort, we chose to broaden our territory to provide housing needs in specific communities and renew a sense of pride in these neighborhoods.
Throughout the past year, Sable Homes worked with The Newaygo County Area Promise Zone Authority, TrueNorth Community Services and River Country Chamber of Commerce to break ground on the revitalized River Hills neighborhood in Newaygo. We also worked with the Village of Sparta to complete the final phases of the 50-year-old Country Meadows neighborhood near 12 Mile Road.
It’s been great to bring these much-needed housing initiatives to the Newaygo and Sparta communities. We are grateful for their support and assistance in helping these projects get off the ground. They are sure to be beneficial for years to come.
Honored as one of the top 250 production home builders in the nation, Sable Homes closed the sales for many new homes in West Michigan in 2018. A recent report from the National Association of Home Builders reports concerns over housing affordability nationwide.
However, West Michigan is one of the most affordable places to own a home and Sable Homes is proud to be a builder that works hard to keep the West Michigan and Grand Rapids market reasonably priced for “Middle America.” As West Michigan continues attracting workers and the work force being on track for a strong 2019, Sable Homes remains committed to fulfilling the housing needs in the region.
There is a consumer demand for first-time buyers, those who are tired of renting or looking to downsize and everyone in between. It’s not just here in West Michigan, but throughout the country. We are the only builders in the area committed to providing for all the people within these walks of life who need and deserve quality homes.
In 2017, home builders across the nation were dealing with increased commodity prices, such as lumber, due to new tariffs on imported materials. It looks like those costs have stabilized at the end of 2018 and Sable Homes is hopeful this trend continues throughout 2019.
“We’re going to see a slow-down in interest rates for 2019. There will still be some increase, but it will be moderate,” said Dan Grzywacz, manager and senior loan officer at Mortgage One in Grand Rapids. “I predict 2019 will be similar to 2018 with home values steadily increasing and more housing inventory in the market. We’re also seeing a great need for affordable housing in West Michigan.”
Last August, metro Grand Rapids had an unemployment rate of 2.6 percent – lower than the state and national average, according to Jim Robey, director of regional economic planning services at the W.E. Upjohn Institute for Employment Research. Robey spoke at The Right Place’s regional economic and employment forecast meeting held in Grand Rapids earlier this month.
While Robey expects the region’s low unemployment rate to linger in 2019, it poses challenges for companies, like Sable Homes, that depend on skilled workers. This has been cyclical year after year after year. But those in skilled trades are an important part of our industry and our local economy.
Sable Homes expects 2019 to be similar to 2018 with a strong demand for homes and a strong resale of existing homes. Because of government regulations, the cost of lots for building new homes will continue to increase, causing overall home prices to increase over the next year.