New Home Discounted Prices

[jcvdd1]

Hello---
My wife and I are in the process of purchasing a new, never lived-in home in The Villages and we have seen several new, never lived-in homes offered at a discounted price although our salesman advised that the price of the new homes are non-negotiable.

My question is if The Villages are adamant and firm on their new home selling prices, why are some of the homes so deeply discounted and has anyone here purchased a discounted new home ?

Thanks Joe & Cristina

[thelegges]

Hello---
My wife and I are in the process of purchasing a new, never lived-in home in The Villages and we have seen several new, never lived-in homes offered at a discounted price although our salesman advised that the price of the new homes are non-negotiable.

My question is if The Villages are adamant and firm on their new home selling prices, why are some of the homes so deeply discounted and has anyone here purchased a discounted new home ?

Thanks Joe & Cristina

Discounted homes are the villages that are almost sold out, and TV is offering a discount on the last of the homes to finish out that village.

[retiredguy123]

I would be careful when buying a discounted house because there is probably a good reason why it is still on the market after other houses around it did sell. If your salesperson is honest, he/she should tell you why it hasn't sold, and let you decide if you still want to buy it. The Villages non-negotiable policy is great for them because it makes the transaction much easier and more profitable to complete, and less complaining about who paid what for their house.

[vintageogauge]

I would be careful when buying a discounted house because there is probably a good reason why it is still on the market after other houses around it did sell. If your salesperson is honest, he/she should tell you why it hasn't sold, and let you decide if you still want to buy it. The Villages non-negotiable policy is great for them because it makes the transaction much easier and more profitable to complete, and less complaining about who paid what for their house.

True there is always a good reason they are discounted but not necessarily a bad reason. They usually have only a 2 car garage or have carpet in the living area, possibly on a busy corner, even a color that is not acceptable to all, or back up to non-Villages property, they are not defective in any way. If the "good reasons" for the discount don't bother you there are some great deals out there.

[fw102807]

True there is always a good reason they are discounted but not necessarily a bad reason. They usually have only a 2 car garage or have carpet in the living area, possibly on a busy corner, even a color that is not acceptable to all, or back up to non-Villages property, they are not defective in any way. If the "good reasons" for the discount don't bother you there are some great deals out there.

When my friends were here to visit there was one house plan that none of us liked. There were also lots they did not like. Nothing wrong with them just not as appealing.

[Joeg180]

The Villages does this as these houses age in inventory. There is nothing wrong with them. We were tracking several properties when we noticed the reduced prices last year. Some models didn’t check all our boxes, so in the end we built the house we wanted.

When building if you know the addresses of houses with features you like you can work with your designer to get the cabinets, flooring, paint colors etc to build your new home.


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[justjim]

We purchased a discounted home and it was a very “Profitable” purchase. Homes are discounted for a number of various reasons that other posters have already pointed out.

[Topspinmo]

Maybe over priced to begain with?, and they made enough profit to unload the rest, rather than set there and costing them money? Why else would the discount? retailer’s do it all the time to unload product the already made profit on and don’t want it to set on self.

[Aw Man]

True there is always a good reason they are discounted but not necessarily a bad reason. They usually have only a 2 car garage or have carpet in the living area, possibly on a busy corner, even a color that is not acceptable to all, or back up to non-Villages property, they are not defective in any way. If the "good reasons" for the discount don't bother you there are some great deals out there.

I agree that the typical reasons for new home discounts are as stated in the above post.
We've looked extensively at the new homes south of Rt 44 and the largest discounts seem to be on houses that back up to non-Villages property. I'd be very concerned about buying such a house. Seems the second biggest reason for discounts are on homes that back up to busy streets.
In 2014 we bought a deeply discounted new home just south of 466A between Buena Vista and Morse Boulevards. It was the last home available on our street; it doesn't have a golf cart garage; and it backs up to a semi-busy street. 5 years later we still absolutely Love our home. The garage has plenty of room for 1 full size SUV and 2 golf carts parked back to back, and we love sitting on the lanai and watching the passing activity on the street and sidewalk. (There's no way we could enjoy living in a home that backs up to three kissing lanais within 30 feet of our home.)
However, we are fully expecting that the reasons our home was discounted will also be the reasons our kids will have less interested buyers when the time comes to sell.

[petsetc]

I think that "discounting" is built into the initial pricing structure. Since there is no real competitiveness in the TV new home market, I believe "discounting" is purely a marketing ploy to accommodate the consumes need to feel like they got a deal. I do not think this is deceptive, just a marketing stategy.

JMHO

[HoosierPa]

As already mentioned, new homes are only discounted based on inventory aging.

[VillageIdiots]

There are various reasons as many have pointed out. I have seen homes newly on the market advertised with a so-called discount. South of 44, some reps will tell you the properties are somewhat discounted due to ongoing construction, incomplete amenities, and still being disconnected by golf cart from the "mainland", so "get in now at a discount because the prices will go up once all that stuff is finished". But I've also seen homes sit for a while at one price and then get discounted. A home 2 doors down from me sat for a long time while all of the others around us were selling. They must have had 2 dozen open houses at that location. They discounted it, raised the price back up for a while, and then discounted it even further than the first time and then it finally sold.

But, OP, if your actual point is: "if they are willing to discount house X $15K, then why can't I make an offer on house Y for $15K less than asking?", that's not going to happen. They allow that once and it would open a whole can of worms they don't want opened.

It's not just homes next to non-villages property that get discounted. There are multiple scenarios. Once a village is almost sold out, you will sometimes see them discount the remaining homes, or most of them, to get that village closed out.

[graciegirl]

Maybe over priced to begain with?, and they made enough profit to unload the rest, rather than set there and costing them money? Why else would the discount? retailer’s do it all the time to unload product the already made profit on and don’t want it to set on self.

No. No. No. Just what several people said. Read the posts above. Some items and lots are more to the liking of some and not others.. We chose a home right next to a rec center for our first home here in Hadley so we could go out the back door and swim. Some people wouldn't like the noise. The Villages is not having any problem selling their homes. This is the fastest growing area in the U.S. and the homes we all own are getting more and more valuable.

Those who have worked in sales of any kind understand marketing. I think every high school kid should have a summary course on economics and marketing. There is so much about both that are misunderstood.

I hear the word "Greed" overused.

[Carla B]

Our home was "discounted" in 2008 when it wasn't even a home yet, just a piece of dirt. The large premium on the lot wasn't discounted, the stated price on the completed house was. We could either choose to take a cash discount or get a credit for $18,000 worth of furniture at Southern Lifestyles.

[vintageogauge]

Our home was "discounted" in 2008 when it wasn't even a home yet, just a piece of dirt. The large premium on the lot wasn't discounted, the stated price on the completed house was. We could either choose to take a cash discount or get a credit for $18,000 worth of furniture at Southern Lifestyles.

The "bubble" burst in 2008.

[justjim]

I think that "discounting" is built into the initial pricing structure. Since there is no real competitiveness in the TV new home market, I believe "discounting" is purely a marketing ploy to accommodate the consumes need to feel like they got a deal. I do not think this is deceptive, just a marketing stategy.

JMHO

Petsetc, I think you are spot on about The Developer’s marketing and it can be good for the buyers.

[justjim]

The "bubble" burst in 2008.

Housing slowed but the “bubble” didn’t bust here in The Villages.

[vintageogauge]

Housing slowed but the “bubble” didn’t bust here in The Villages.

Correct, it only slowed down here but it did allow for better discounts than say 2006 and into 2007 when there were no discounts to be had for any reason. You even had to pay extra for a "peak a boo" golf front home at that time.

[I Tango]

Petsetc, I think you are spot on about The Developer’s marketing and it can be good for the buyers.

Not totally sure about this. We bought our new discounted CYV for the same price as a new patio villa. So I don't think building in discounted CYV prices to sell at the normal price of patio villas would be something they'd do on a regular basis. Although there can be exceptions to every rule. :MOJE_whot: