Every year new construction communities continue to be developed. In some areas there is a higher new construction inventory than others, but new homes are accessible throughout the country. Many first time homebuyers don’t consider buying a new construction home when beginning their house hunt. However, it may be their best option. Here are some of the pros and cons of buying new construction homes.
- Choose the floor plan that works for your family
- Can decide what features you want in the home (counter tops, bathroom fixtures, etc.)
- Move in Ready- Nothing beats the smell of a new home.
- Less home maintenance after moving in.
- Home Warranty- Most large appliances, windows and the entire home have different warranties offered.
- Large incentives- Many builders offer promotions such as giving $10,000 toward closing costs.
- Increase in Equity- Once the community is finished being constructed there is often an higher than average increase in equity.
- Energy Efficient- Newly built homes fall under the newest structure guidelines and offer better energy efficiency.
- Have to wait for it to be built. This is typically longer than the 30-60 day period before closing on an existing home
- The cost is typically higher with a new build than an existing home.
- Homes look “cookie- cutter” in subdivisions.
- Homes may have smaller lot sizes. Many new homes are built very close to one another.
- Landscaping- It is a lot of work to maintain a brand new lawn. You’ll have to wait 15-20 years for mature trees that provide shade.
- Builder Beige Paint- Unless your builder allows you to pick out different paints, many new homes come with the standard builder beige walls.
- Extra costs- most new homes come with no window treatments and limited overhead lighting. This can cost a couple thousand dollars to buy these items depending on the size of the home.
- Further out from city’s amenities. Builders typically start developments where there’s a large expanse of open land. This may mean the neighborhood is located further away from the city’s amenities.
Now that you are armed with this information it is time to start thinking about whether or not you are interested in a new construction home. Take your time to research the different new construction options in your area and the reputations of the corresponding developers. Begin looking at model homes and determining what the best value is in your area.