The Housing Chronicles Blog: Yes, there is still a move-up market in the Inland Empire!

Friday, August 13, 2010

Yes, there is still a move-up market in the Inland Empire!

Although one would think that the Inland Empire would not be a primary place for a builder to build move-up product, with the right price point even half-million dollars can be sold, something which Ryland Homes has been finding out lately. From a story in the Riverside Press-Enterprise:

Dale F. Casey, Ryland's Southern California division president, said Sunset Ridge is the first new community that Ryland has launched in the region in about five years. He said Ryland aims to build homes that can compete with existing houses for sale in The Retreat. He said he also expects to attract buyers who want to avoid the risk of buying foreclosed homes "as is."

Houses in the first phase at Sunset Ridge range from 2,695 square feet to 4,248 square feet and are priced from $489,550 to $594,240. They have such amenities as hardwood cabinets, granite countertops, stainless steel appliances, extra-wide staircases, walk-in pantries and cavernous master suites.

Sunset Ridge homes are unlike most new homes being built in Inland Southern California that have been downsized and streamlined for young, first-time buyers. Move-up home construction generally is considered risky for builders today because many homeowners who would like to upgrade won't accept the deflated prices that their existing homes will sell for or are stuck in homes that are worth less than the mortgages on them.

Patrick Duffy, principal of MetroIntelligence, a Los Angeles real estate consulting firm, said The Retreat is "one of the few places in the Inland Empire where you can build move-up (homes) and get away with it in this market." He said that is because of the community's upscale appeal and location, where it can compete favorably on price with nearby Orange County.

Casey said he believes there are well-qualified buyers with cash "who have been waiting on the sidelines for an opportunity to buy their dream."

Heather Stevenson, vice president of sales and marketing for Ryland's Southern California division, said some potential buyers intend to rent out their existing homes and make a down payment on a new one with cash tapped from their savings or retirement accounts...

Click here for entire article.

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