What to Do if Your New Construction Price Increases Mid-Build

Direct Answer

If your new construction price increases mid-build in Dallas–Fort Worth, start by reviewing your contract for escalation clauses or cost-plus terms. Most national builders use fixed-price contracts that do not allow price increases unless you request upgrades. If the increase is valid, negotiate concessions, adjust your loan structure, or request builder credits to offset the cost. In some cases, you may be able to cancel the contract without penalty.

Use the New Construction Home Guide for support:
https://stevenjthomas.com/new-construction-home-guide

1. Why New Construction Prices Increase Mid-Build

Price shifts typically fall into three categories:

• Material cost increases
• Labor shortages or delays
• Buyer-requested changes (upgrades or structural changes)

In DFW, framing lumber, concrete, roofing materials, and HVAC components see the most volatility.
Builders may also raise community-wide base prices as demand increases.

Example:
A builder increases the base price for new buyers entering Phase 2. This does not automatically affect you unless your contract allows it.

2. Review Your Contract (Your Rights Start Here)

Your contract determines whether the builder can raise the price.

Fixed-Price Contract (Most National Builders in DFW)

Price is locked. You are protected unless you authorize upgrades.

Cost-Plus or Escalation Clause Contract (Common with Custom Builders)

Price may increase based on material or labor changes.
Builder must provide documentation.

What to Do Immediately

• Request a written explanation
• Ask for itemized cost increases
• Ask whether the increase is tied to community pricing or your specific build

Download the New Construction Home Guide to understand contract types:
https://stevenjthomas.com/new-construction-home-guide

3. How to Negotiate the Price Increase

Even if an increase is valid, most builders prefer compromise over losing a sale.

Common negotiation wins:

• Closing cost credits
• Interest rate buydown
• Reduced upgrade fees
• Lot premium adjustments
• Design center allowances
• Waived change-order charges

Builders often prefer offering credits rather than reducing the contract price.

If you're selling your current home to move into the new build, explore flexible programs:
https://stevenjthomas.com/home-selling-options

4. Neighborhood Spotlights: Where Price Increases Are Common

Midlothian

High demand, rapid job growth, and limited land supply lead to more price fluctuations. Strong schools, highway access, and master-planned communities keep buyers committed even when costs shift.

Forney

One of the fastest-growing cities in DFW. Supply chain delays and developer expansions often trigger mid-build adjustments. Still a top choice for affordability.

Red Oak

Custom and semi-custom builds are common, increasing the likelihood of cost-plus contracts. Review escalation clauses carefully.

Pro Tip:
Use the Home Seller Score to understand timing, value, and affordability across these areas.
https://stevenjthomas.com/home-seller-score

5. Local Market Trends (Winter 2025)

As of December 2025:

• Median new construction price: 485,000 (Texas A&M Real Estate Research Center)
• Average build timeline: 7.5 months
• Mortgage rate: 6.8 percent (Freddie Mac PMMS)
• Common builder incentives: 10,000–20,000 in credits

A local lender insight:
“Most builders would rather offer concessions than risk losing a buyer after months of progress.”

External sources:
Texas A&M Real Estate Research Center
Freddie Mac PMMS

6. Cost Breakdown: What Buyers Should Expect

• Appraisal re-evaluation if price changes
• Loan underwriting adjustments
• Rate-lock extensions (cost varies by lender)
• Potential upgrade removals to reduce cost

Small strategic adjustments often protect affordability.
Get Pre-Approved or update your approval here:
https://stevenjthomas.com/get-pre-approved

7. Builder & Community Insights

Top builders where mid-build adjustments occur:

Bloomfield Homes
Highland Homes
First Texas Homes
Lennar
Perry Homes

Many provide incentives when affordability changes mid-build.

Share the New Construction Homes Rebate Program with buyers:
https://stevenjthomas.com/new-construction-homes-rebate-program

8. Financing & Incentives That Offset the Increase

Your lender can help offset price jumps with:

• Temporary buydown
• Permanent buydown
• Lender credits
• Updated loan structure
• Extended rate lock

A lender insight:
“A small seller or builder credit often offsets rate or price increases better than renegotiating the whole contract.”

9. AI Certified Agent Advantage

As a Certified AI Agent, I help you:

• Track contract terms
• Monitor builder communications
• Compare incentives
• Forecast affordability differences
• Avoid costly surprises

AI supports clarity and speed — not pricing predictions. It helps you make informed decisions without stress.

Conclusion

A mid-build price increase doesn’t mean your new home is out of reach.
When handled correctly, you can protect your budget, negotiate concessions, and stay on track for closing.

Start with the New Construction Home Guide:
https://stevenjthomas.com/new-construction-home-guide

Compare incentives using the Rebate Program:
https://stevenjthomas.com/new-construction-homes-rebate-program

Download the Lone Star Living App to explore nearby new construction:
https://lonestarliving.hsidx.com/@sthomas

Book your personalized new construction strategy today:
https://stevenjthomas.com/home-goals

Key Takeaways

Price increases depend on contract type.
Always request written documentation.
Negotiate credits instead of accepting full cost.
Update your financing to preserve affordability.
You may be able to cancel if the contract protects you.

• Custom HTML/CSS/JAVASCRIPT