A new Realtor.com report shows the new-construction price premium at a record low as builders use incentives to lower rates and down payments for buyers.

New homes are now priced closer to existing homes than ever, and builders’ incentives are cutting mortgage rates.

For most of the last 50 years, new homes have cost more than existing ones, nationally. Thanks to builder strategies, shifting home designs and a new construction glut the trend has flipped. Something ...