In this post I asked, “Do any readers out there know of any new homes selling for $60 to $80 a square foot?”
I got this comment reporting second hand a $62 a square foot sale.
Today, I received this email that reports firsthand a $79 a square foot sale, although it hasn’t closed.
I’m an investor currently residing in Gurnee, IL but with ties to Arizona (family). I also have a buddy in Arizona that I purchase real estate with. He just called me today on a few NEW homes he would like us to purchase. I’ll be wiring money Monday morning. The price per square foot was just under $79.00. These homes are the last homes built in a subdivision. We’ll be picking these homes up at ~20% below market value. My realtor buddy is also pulling a 10% commission from the builder. Sweet deal. Couldn’t pass up the opportunity.
Wow! Don’t pass that up.
I don’t know the location, or anything more than in the email… but I can’t think of a scenario where $79 per square foot isn’t a “Wow!”
If such sales are common, and I don’t think they are, they would suggest the spec home inventory will fall faster than I expected.
On the other hand, if such low priced sales were common, it would undercut prices more than I expected, especially in areas were Arizona new home builders are active.