Stonecrest Blog

Jim’s Corner – Real Estate: It’s Time to Buy Again

Stonecrest Homes’ CFO, Jim Chapman, regularly comes across interesting news about the market.  For this reason, Stonecrest would like to present Jim’s Corner, a division of our blog dedicated to interesting information Jim would like to share with our investors, homeowners and fans. Enjoy!

The following is an exerpt from Fortune Finance, daily breaking financial news.

Forget stocks. Don’t bet on gold. After four years of plunging home prices, the most attractive asset class in America is housing.

So let’s state it simply and forcibly: Housing is back.

Two basic factors are laying the foundation for dramatic recovery in residential real estate. The first is the historic drop in new construction that so amazes [Mike] Castleman [Founder and CEO of MetroStudy]. The second is a steep decline in prices, on the order of 30% nationwide since 2006, and as much as 55% in the hardest-hit markets. The story of this downturn has been an astonishing flight from the traditional American approach of buying new houses to an embrace of renting. But the new affordability will gradually lure Americans back to buying homes. And the return of the homeowner will start raising prices in many markets this year.

Of course, home prices are low and home construction is weak for a reason: incredibly low demand. For our scenario to play out, America will need a decent economy, with job creation and consumer confidence continuing to claw their way back to normal.

One big fear is that today’s tight credit standards will chill the market. But we’re really returning to the standards that prevailed before the craze, and those requirements didn’t stop prices and homebuilding from rising in a good economy. “The credit standards are now at about historical levels, excluding the bubble period,” says Mark Zandi, chief economist for Moody’s Analytics. “We saw prices rising with fundamentals in those periods, and it will happen again.”

To see why, let’s examine the remarkable shift in home affordability. A new study by Deutsche Bank measures affordability in two ways: first, the share of income Americans are paying to own a home. And second, the cost of owning vs. renting. On the first metric, the analysis finds that homeowners now pay just 9.8% of their income in after-tax mortgage, tax, and insurance payments. That’s down from 17.2% at the bubble’s peak in 2007, and by far the lowest number in the Deutsche Bank database, going back to 1999. The second measure, the cost of owning compared with renting, should also inspire potential buyers. In 28 out of 54 major markets, it’s now cheaper to pay a mortgage and other major costs than to rent the same house. What’s most compelling is that in all of the distressed markets, owning now wins by a wide margin — a stunning reversal from four years ago. It now costs 34% less than renting in Atlanta. In Miami the average rent is now $1,031 a month, vs. the $856 it costs to carry a ranch house or stucco cottage as an owner. (For more, see The top 10 cities for home buyers).

To read the full article and why you should buy now, click here.

For more information on Stonecrest Homes, visit our website www.stonecresthomesga.com.

Atlanta is ranked as #1 on the 10 Best Cities for Home Buyers - Buy Today!

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Construction Progress at Serenity Estates

Serenity Estates, Stonecrest’s first community in West Cobb, is up and running with its first two starts under way, a Belmont and a Churchill of the Executive Series. With only 7 lots remaining, it is located in the middle of the charm and beauty that is West Cobb, near the intersection of West Sandtown and Macland Road on Friendship Church Road. These beautifully appointed traditional homes are highly engineered with “no worries” construction and are situated on large wooded estate lots.

The Belmont, a 5 bedroom, 4 bathroom 3,300 square foot slab home and the Churchill, a 5 bedroom, 4 bathroom 3,700 square foot slab home are both in progress and set to be completed by the beginning of summer.  Both homes will feature brick fronts, 3 car garages and extensive high end interior finishes.  Prices start in the low $300s.

For more information on Serenity Estates, visit our website www.StonecrestHomesGA.com
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Estate Series Now Being Built in Lake Forest, a Conservation Subdivision in Perry, GA

This has resulted in a gorgeous community with lots of trees and ample privacy behind each homes’ backyard. Upon the sale of the 100th home at Lake Forest Estates the developer will begin developing the amenity, an outdoor pool with a cabana featuring his and her baths and a tot lot.

Stonecrest has started building its Estate Series of homes there. Continue reading Estate Series Now Being Built in Lake Forest, a Conservation Subdivision in Perry, GA…

Jim’s Corner – Optimism Is Palpable

Stonecrest Homes’ CFO, Jim Chapman, regularly comes across interesting news about the market.  For this reason, Stonecrest would like to present Jim’s Corner, a division of our blog dedicated to interesting information Jim would like to share with our investors, homeowners and fans. Enjoy!  Continue reading Jim’s Corner – Optimism Is Palpable…

Stonecrest Welcomes Fourth Project Manager

Brian Coburn joined the Stonecrest Homes team this week as our newest Project Manager in charge of Palladian Manor, Pine Grove Estates and Serenity Estates.  Brian has a Bachelor of Science Degree in Business Administration from Auburn University.  Brian worked for Traton Homes from 1999 – 2002 as an Estimator and for McBride and Son as a Builder / Project Manager from 2002 – 2010. He is a licensed builder in the state of Georgia and a US Army veteran having served in Desert Storm.

Welcome to the team Brian!

To see where Stonecrest Homes is actively building, visit our website www.stonecresthomesga.com or follow us on Facebook, Twitter and LinkedIn!