How Soon Can Your New Home Project Begin In Florida?
Over the last few years, Florida has become a popular place to live and the new home construction market has been booming. Building a new home comes with many advantages such as the ability to create a personalized house plan with everything you need. If you are thinking about building a new home in Florida, you may be wondering how long it takes to start work on new construction? The answer to that question is complex and depends on multiple factors. Let’s look at three of the most common factors affecting the lead time for building new homes in Florida.
Related Blog: How Long Does It Take To Build a Luxury Custom Home?
1. Massive Influx of Population to Florida
Florida has always been a destination for vacation and retirement. The year-round great weather has always attracted people from up North and has caused a lot of them to move to Florida permanently. Many people are working remotely since the COVID pandemic so workers can leave densely populated urban areas and move to a place with more of a vacation setting. In fact, Florida recorded 329,717 new residents from April 2020 to April 2021.
Many people move here due to favorable tax advantages. The fact that Florida doesn't have a State income tax is a major factor that drives people to move here. Homeowners also generally pay less than 1% in municipal taxes in the State, compared to around 2% in other well-known states, which equally attracts the need to build more houses. This massive population influx translates to more construction needs, especially in the Southwest part of Florida.
2. Significant Increase in Construction Demand
This massive influx in the population has translated to a significant increase in demand for housing and construction in general. You’ve probably noticed the increase in new apartment complexes or new neighborhoods in your area in response to the increased demand. In order to accommodate the housing demand, many construction companies are booked out months, or even years, in advance. If you are wanting to build a new home, it is prudent to begin identifying, selecting, and working with your chosen builder as early as possible.
3. Limited Labor Pool
We have seen the effects of limited labor supply all over the country throughout a broad spectrum of industries and construction is no different. Labor constraints have been particularly acute in the Southwest Florida construction market. One of the primary drivers of the current labor supply shortage is the increase in housing costs due to the demand generated from the increase in population mentioned above. Simply put, the housing market has risen so high that many skilled labor workers cannot afford to move to Southwest Florida, resulting in an essentially fixed supply of skilled labor. As construction needs have drastically increased, there is not enough manpower to keep up with the demand, which continues to add to the delay in project start time as well as contributing to the costs to build.
These factors are not currently showing any signs of positive change, however, they are able to be overcome with enough time to properly plan and sequence projects. While these conditions do make it more challenging for a potential client, clients can best mitigate the effects of these factors by starting to identify, interview and select their desired builder as early as possible.
At Aerial Companies, we have over 40 years of experience in construction and as a full-service general contractor. Are you wondering about your new construction start time in Florida? We are here to help. Contact us to get the help you need from a trusted home builder.