Should I buy new construction or an existing home? Pros and Cons
Deciding to purchase a new construction home versus an existing home is a truly a personal decision based on your lifestyle. New construction homes are very appealing because,… well they are new! They have all the shiny objects along with the latest and greatest bells and whistles we want in a new home.
However, there are a few factors that buyers need to consider when considering purchasing a new construction home versus an existing home.
New Construction
Pros:
- Construction products are new
- Most recent safety building codes are used
- Extended warranties on workmanship and systems (HVAC, electrical, etc.)
- Energy efficient construction
- Newer communities may have a Homeowners Association helps protect value of home
- Move-in ready with fewer repair costs
- Buyers can customize finishes and upgrades
Cons:
- Easy to overspend on upgrades
- Less character with cookie-cutter designs
- Unknown issues from faulty construction
- Additional hidden costs
- May have a homeowners association (can put limits on how you use your property)
- Locations might be further away from amenities like grocery stores, shopping, and restaurants.
Existing Home
Pros
- More character, individuality and history
- Location, location, location
- Buyers have more room to negotiate on price
- Known issues revealed in disclosure and inspection reports
- Necessary repairs may be completed prior to closing
- Established neighborhood
Cons
- More maintenance
- Less energy-efficient: More costly to operate
- Dated designs
- Customizing can be costly with remodels
- Higher desirable neighborhoods have less inventory causing the sale price to be more than some new construction homes
Searching for a new home can take time and energy. There are many different factors to consider when trying to decide which is the best fit for you.
Things to Consider
Price, location, HOA fees, property taxes, school district and local real estate market trends all come into play when making a home buying decision.
Do you want to buy an existing home, which may need some work, but is located in an established neighborhood? Are you okay with living in a newer community with additional fees, when buying a new construction home?
What features of you ideal home are absolute needs and which are only wants? Think about your lifestyle must-haves, like buying a home in the best school district for your children or purchasing a new home with a convenient, short commute to work or easy access to dining and shopping.
Still not sure which option is best for you. Feel free to use the form below to contact me and I’ll help you come up with your personal Pros and Cons list based on your needs.
