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Old Homes Cost More Than New: A Housing Market Crisis Unfolds

Something shocking is happening in America’s housing market that goes against everything we’ve known for decades. For the first time in modern history, old homes are costing more than brand new ones. This flip should worry every American family trying to achieve the dream of homeownership.

The numbers tell a clear story that the mainstream media won’t admit. In the second quarter of 2025, existing homes sold for a median price of $429,400 while new homes only cost $410,800. That means families are paying nearly $19,000 more for someone else’s old house than for a sparkling new one built just for them.

This crazy situation happened because liberal policies have choked off the supply of existing homes. Homeowners are trapped in their current houses by sky-high interest rates and can’t afford to move. Meanwhile, smart builders have flooded the market with new construction, creating the first real competition we’ve seen in years.

New home prices have now dropped for nine straight quarters while existing home prices keep climbing to record highs. The free market is finally working the way it should, with builders cutting prices to compete for buyers. This is exactly what happens when government gets out of the way and lets business do what it does best.

But don’t expect this good news to last forever. The housing shortage created by decades of red tape and NIMBY regulations means existing homeowners can still demand whatever they want. These folks are sitting on goldmines while hardworking families struggle to find affordable places to live.

The regional differences prove that conservative states are leading the way. The Midwest offers the best deals for families, with new homes at $367,500 compared to existing homes at $297,800. Southern states also show smaller gaps between new and old home prices, proving that business-friendly policies work.

This price flip gives smart families a real chance to buy new instead of settling for someone else’s problems. New homes come with warranties, modern designs, and energy-efficient systems that will save money for years. Why pay more for outdated wiring and old appliances when you can get better for less?

The lesson here is simple: when builders compete and government stays out of the way, American families win. This housing market flip shows what happens when the free market gets a chance to work. Now we need politicians who will keep regulations light and let builders build the homes America needs.

Written by Keith Jacobs

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