In recent months, new homes have seen stronger buyer demand as sales incentives helped to bolster sales. However, as new-home prices stagnate and existing-home prices drop, demand for new homes is weakening. Existing-home prices have come down in recent quarters, causing local competition to grow. But while local competition may be falling flat, the new-home market is still seeing demand from out-of-town buyers, according to a recent report from real estate marketing platform Realtor.com.

The new-home premium is growing nationwide

Despite new-construction listing prices remaining unchanged in Q-2 2026, existing-home prices have fallen, causing the new-construction premium to grow from 8.2% to 10.3% year-over-year.

In an attempt to compete with the resale market, however, the new-home market is more likely to see price cuts. The report shows that for the third straight quarter, the share of new homes receiving price cuts exceeds the share of existing homes receiving price cuts. Of the total market share, 20% of existing homes received a price cut versus 18.6% of new homes.

New homes are seeing more demand from out-of-town buyers

According to the report, new-home demand is more likely to come from buyers in another metro. This is true for 67.2% of new-construction homes compared with 65.4% of existing homes.

The metros that get the most interest from other metro areas on their new construction listings tend to be Southern and affordable, and they also tend to have more price cuts on their new construction listings.

Florida’s new-home market in particular tends to see a lot of interest from out-of-town buyers. In Lakeland, Fla., for instance, 83.1% of interest in the new-home market comes from out-of-town shoppers, and for Cape Coral, Fla., it’s 82.4%. In Port St. Lucie, Fla., and North Port, Fla., it’s a respective 80.9% and 80.5%.