New Homes are Now Selling $33,500 Cheaper Than Existing. Billionaire Real Grant Cardone Blames Interest Rates and ‘Other Gimmicks’

Group 1 - New homes are selling for an average of $33,500 less than existing homes, highlighting a significant pricing discrepancy in the U.S. housing market [1] - Home builders are motivated sellers due to holding inventories and construction debt, which pressures them to offer competitive pricing [2][4] - Approximately 70% of U.S. homeowners have mortgages below 4%, creating a strong incentive for them to retain their properties and sustain higher asking prices [4] Group 2 - The perception of lower quality in newly built homes contributes to their pricing, with builders like D.R. Horton facing criticism for poor construction standards [3] - Home builders are employing strategies such as buying down mortgage rates to attract buyers, but this may not be sufficient to compete with existing homes [2] - The dynamics of the housing market reflect a contrast between the urgency of builders to sell and the reluctance of existing homeowners to lower prices [4]