Buying a newly built home with your color scheme, special accents, and that meets all of your wishes is a great opportunity. Right now, builders are expeditiously building homes to meet the demand due to lower amounts of listings for preowned homes and even in light of rising costs in new home construction.
At the same time, preowned homes are also flying off the shelf. If it fits some of the buyer’s desires and can be purchased at a reasonable price, plus involves a loan at a great interest rate (I bought a house in 1987 at the “normal” interest rate for that time of 9.5%!!!), then they take it. Since prices continue to rise, they will upgrade, if not already done, because they know now is a good time to make it better. Owning a piece of earth with a home on it is worth putting up with the loan process.
So, what advantages do these two types of homes have?
- Everything is “new” (HVAC, Water Heater, Roof, Windows, piping, electric, etc.)
- Typically comes with a multiple-year home warranty.
- More energy efficient: radiant barrier, double windows, better insulation, etc
- Most of the time, an HOA with community pool/complex, so you don’t need one at your home.
- No one else has ever put their “stamp” on it.
- Incentives from the builder
OK, SOUNDS PRETTY GOOD…BUT WAIT LET’S LOOK AT THE OTHER SIDE OF THE COIN!
- Mature landscapes
- Often larger lots than builder homes
- Sometimes closer to the city for quick access to stores, businesses, and entertainment. etc.
- Maybe NOT in an HOA
- Less price for nearly the same square footage
- Kitchen and master bath may have already been updated.
- Same interest rates as that new build
- May have better craftsmanship and real wood rather than pressboard.
- A personal pool keeps everyone away from the present virus.
So, they both have their bests, but there is no right or wrong choice, it depends on your needs, wants and comfortability. Now you know that there is a decision to make. Take your time, consider the options and enjoy the final solution. Want to chat about the next move in the decision process? Reach out to Richard Matteson by emailing firstname.lastname@example.org.