Should I Purchase New Construction or A Pre-existing Home? Pro’s and Cons
“Should I purchase new construction or a pre-existing home?” There are a few benefits to each, and the answer is going to be different for every person, couple, or family, depending on their situation and what it is they are looking for when in the market for a new home. To help make this overwhelming decision we’ve got a few buy-or-build pros and cons to perhaps help you think about a few things you hadn’t considered before.
Buying An Existing Home (Pros)
It is a much shorter process to get pre-approved by a lender, work with a real estate agent to find the right home, put in an offer, do a bit of paperwork, and move in, than it is to start from scratch and build from the ground up.
The process of buying an already existing home can be completed within about two months, whereas building a new home from scratch can take 8-12 months, or more.
When purchasing an existing home, it is likely that the landscaping has already been in place for a while: trees will be large or fully grown, grass will have been in place for a few years, shrubs, flowers, and other landscaping items will be mature and established.
Buying An Existing Home (Cons)
Not Exactly What You Wanted
When purchasing an existing home you may not get all the rooms, features, styles, or layout you were hoping for. There are some situations in which you would be able to add on to the home or change appliances, but sometimes even these are not feasible options, and you will just have to buckle down and be okay with what is already available in the home.
Since buying an existing home means it has been around for at least a few years, if not many, there may be underlying issues with things like the pipes, the foundation, old appliances, etc. that are unknown at the time of purchase but will pop up as issues in coming years.
When buying a pre-existing home it may come with upgrades that need to be made by you, which may include extra costs to buy new furniture, paint, wallpaper, or flooring. Plus either paying someone to do the labor, or the time it takes you to make the changes yourself.
Every home has quirks and issues that make it unique. Sometimes if you don’t notice these unfortunate items during a walk-through, they may bother you for the first few months you live in the house. You may end up comparing the home to others you walked through in previous months, and perhaps even wish you had purchased a different one.
Building Your Home (Pros)
The most obvious pro to building your own home is the massive customization available to you. You can create the layout, use the materials you want, buy the appliances you want, and landscape the way you want. You can in essence create your dream home; you can even put power outlets in more convenient spots where you know they are more likely to be used.
When working with a builder, your realtor may be able to negotiate several hundreds to thousands of dollars-worth of savings.
The other way your brand new house will save you money is with the newer appliances you’ll be putting in. The newer appliances are much more energy savvy now, even things like washer and dryer sets, heating and air conditioning units, dishwashers, and refrigerators are built to save electricity and therefore keep your bill lower. New homes are tremendously more energy-efficient than older homes.
Building Your Home (Cons)
While customization is one of the biggest reasons people choose to build their own home, having endless options for layout, design, materials, and more can become extremely overwhelming and time consuming.
Contractors will all too often go over the initial completion date, which can be a large problem when it comes to a new home. You may have to leave your old home with nowhere to go because the new one hasn’t been completed yet. Plus unforeseen bad weather will delay the construction process.
When building a custom home, the costs tend to pile up much more than what is initially contemplated. However, one large cost to take into consideration is the fact that you will need to not only purchase the labor costs to construct or build your home, but you will have to purchase the land it is being built on as well. This can drastically increase the price of building a home versus purchasing an already completed home, and is typically a cost that is initially overlooked by those in the market for a new home.
Now it is time to evaluate your situation. Where do you lie on these matters? Are the cons worth the pros? Should you call a realtor this week, or a contractor? Contact me, Roz Booker, your real estate professional serving Collin County and surrounding DFW cities to help you narrow your decision to purchase new construction or a pre-existing home: Direct: 972-679-9311, e-mail: Roz@ArbrookRealty.com, Website: www.RosalindBooker.com, www.ArbrookRealty.com