The housing market has changed dramatically over the past few years. Starting in 2020, when the global economy took a massive turn, millions of workers began questioning their living situations. With many industries pivoting to remote work arrangements, many seized the opportunity to forego their apartments and secure their first homes. Still others opted for a simple change of scenery by migrating to smaller cities.
These societal movements led to a precipitous rise in home prices in late 2020, which has persisted for two entire years. While some markets are beginning to taper, growth remains strong in the majority of areas.
With more investors in homeownership than ever before, the most pertinent question is: what factors influence home value? Many are wondering if their newly purchased homes will be a profitable investment.
In short, custom-built homes hold their value better than factory, modular or mass-produced homes. If you’re looking for a stellar return on your homebuilding project, here’s why a custom luxury home is an attractive best option.
Timeless Yet Modern Style
Home trends ebb and flow, come and go. Factory, modular and mass-produced homes tend to capitalize on trends throughout, quickly becoming distractingly dated. Custom builds allow you to opt for style over trend.
When you invest in a custom luxury home, you can create a timeless style that will last for decades. Instead of inheriting a period home that needs serious updates just to be tolerable, consider crafting your own aesthetic from a blank slate. A custom-built home will hold its value more often because it won’t be confined to the transitory style of the time.
Construction Year Matters
On home sale sites such as Zillow, there are several key metrics that carry enormous weight. The most common factors that influence home value are square footage, acreage, condition, location and age. The older a home, the costlier it will generally prove to be over time.
This truth stems from the fact that all systems eventually wear out and break down. In an older home, the plumbing and HVAC might need replacing. A typical roof only lasts 10-15 years. When you buy a fixer-upper, you inherit these risks and the costs associated with them.
In contrast, a custom luxury home will have a construction date of this year. That alone will intrigue buyers who know they are getting a high-quality, mint-condition product. Even if you plan to live in the home for decades to come, a custom build offers brand new systems and appliances that older homes cannot match.
Remodeling Contractors Innovate
Custom-built homes also hold their value over time because of the noticeable craftsmanship of today’s remodeling contractors. As you design your custom luxury home to fit your family, your remodeling contractor will work through every detail until you are sufficiently satisfied. This level of intentionality yields an eye-catching and iconic product.
The character and charm that come from a custom build evoke a sense of wonder and comfort that cookie-cutter suburban units simply don’t possess. The imagination and inventiveness that go into a custom-built home add curb appeal and value.
Your custom luxury home will be unlike any other home on the planet. Because it stems from your vision and your family, it will have unique features and highlights that make it utterly special. Home buyers long for that same feeling. They want to know that they have a one-of-a-kind slice of the American dream – a private refuge that no one else has. A custom-built home holds its value due to the uniqueness that it will forever own. Modular homes and factory-build houses will never come close to the grandeur and splendor of a custom luxury home.
Design Your Custom Luxury Home With Gordon James
At Gordon James, our award-winning remodeling contractors have been crafting custom luxury homes for decades. Our team strives to bring dreams to life through the careful design and diligent construction of stunning homes throughout Minnesota. We partner with leading providers and craftsmen near you to install cutting-edge technologies, top-grade materials and high-quality furnishings to create an unforgettable experience in every space. Contact us to learn more about building your custom home or renovating your existing space. We look forward to celebrating your ideas.