Home builders trying to keep up with demand for new homes in the Valley

Tuesday, March 20, 2018
Home builders trying to keep up with demand for new homes in the Valley
The sounds of construction are a positive sign for home developers in the Valley.

FRESNO COUNTY (KFSN) -- The sounds of construction are a positive sign for home developers in the Valley.

Building Industry Association President and CEO Mike Prandini said, "Madera and Fresno are seeing an increase in buildings. Fresno and Clovis are running about the same."

Prandini said they are seeing steady building growth.

Developer De Young has its first zero energy community in Central California underway off Shaw and Highland. The homes have been selling so well, they're now moving on to phase two.

Brandon De Young of De Young Properties said, "The demand is extremely well right now and we're kind of limited by the amount of homes we can build from the construction side... but it's a better challenge than we used to have 10 years ago."

Brandon said, like many developers, they are in need of more skilled workers to build homes.

"The construction industry is starving for jobs, for people to help build our homes."

While home building rates are about even in Fresno and Clovis, southeast Madera is taking off with new developments like Tesoro Viejo and Riverstone.

In addition to a labor shortage, home builders are also being hit with rising costs.

"Recently there has been a spike in lumber prices which will affect the home prices," said Prandini.

Developers like Granville Homes said these obstacles are also affecting home buyers.

Granville Homes President Darius Assemi said, "Unfortunately all of this translates to higher new home prices for our customers and the most impacted would be the $280,000 to the $350,000 price range."

Experts said last year around 2,000 homes were built, and this year builders are on pace to do the same.

While developers would like to have more labor on hand, they will take this steady growth and sales as they expand.