Builders Are Offering Big Incentives—Here’s What That Means for You

Even with more homes on the market right now, some buyers are still struggling to find the right one at the right price. Maybe the layout feels off. Maybe it still needs too many updates. Or maybe it’s just more of the same.

That’s why more buyers are turning to new construction—and finding some of the best deals available today.

Builders Are Motivated To Sell

Here’s the inside scoop: many builders have more finished homes sitting on the market than usual. And sitting on inventory costs them money. They want those homes sold before they move forward with new projects.

That urgency works in your favor. As Lance Lambert, Co-Founder of ResiClub, explains:

“In housing markets where unsold completed inventory has built up, many homebuilders have pulled back on their spec builds—and many are doing bigger incentives or outright price cuts to move unsold inventory.”

Incentives Are the Highest They’ve Been in 5 Years

According to the National Association of Home Builders (NAHB), 66% of builders offered sales incentives in August. That’s not only the peak so far this year—it’s also the highest percentage in the past 5 years.

That means 2 out of every 3 builders are sweetening the deal. And when builders throw in incentives, it’s the buyers like you who win.

Price Cuts Are Back on the Table

One of the biggest incentives right now is simple: lower prices. NAHB reports nearly 40% of builders are doing price cuts, averaging about 5% off the purchase price.

Take a $500,000 house. A 5% cut saves you $25,000. That’s not pocket change—it’s money that could cover your closing costs, furnish your new place, or stay tucked away in your savings account.

And even if a builder won’t budge on price, don’t count them out. Many are offering rate buydowns, closing cost assistance, or upgrade packages to get buyers across the finish line. Realtor.com sums it up well:

“There are deals to be found in the market for new homes, with builders increasingly willing to negotiate on price or offer incentives such as rate buydowns and closing cost assistance.”

Why New Construction Might Be Right for You

When you picture your dream home, chances are you have a clear vision. New construction can check a lot of those boxes because today’s homes often come with:

• Spacious kitchens and open layouts

• Energy-efficient features that keep utility bills lower

• Smart-home upgrades for modern convenience

• Less worry about repairs or maintenance right away

Combine all that with today’s builder incentives, and you may find a brand-new home is more attainable than you realized.

One Word of Advice: Don’t Go At It Alone

Here’s the catch: builder representatives work for the builder, not for you. Their goal is to protect the builder’s bottom line.

That’s why having your own real estate agent by your side is key. Your agent will:

• Run the numbers to make sure the deal makes sense

• Spot which incentives are actually valuable (and which are just marketing)

• Negotiate on your behalf so you don’t leave money on the table

• Keep your best interests front and center, always

Bottom Line

If you’re not finding a resale home you love, don’t overlook new construction. With incentives at a 5-year high, price cuts in play, and builders eager to move inventory, this may be the best time in years to buy new.

Curious how far today’s incentives could stretch your budget? Connect with a local agent to see what builders are offering in your area.

Amber Johnson, Founder
Pillar Real Estate
805.835.3425
[email protected]
1345 Park St. Paso Robles, CA 93446
DRE# 01925434