House hunting can be both exciting and frustrating.
The exciting part is the idea of moving into a great new home.
The frustrating part is finding a home that fits your particular definition of what’s great.
Of course, you may not have considered a newly constructed home, thinking it’s beyond your budget. Maybe it’s time you gave it another look, this time considering the true cost of ownership.
The fact is, though a new home does cost a bit more — most recently anywhere from 5 to 11 percent more than a resale home, it’s important to consider more than just the initial cash outlay. There are many benefits to buying new, not the least of which is getting the home you want versus a home you can “live with”.
Everything is New and Updated
New kitchen, new bathrooms, new floors, new everything. That means you won’t be laying out cash to replace anything anytime soon the way you surely will in a resale home. (The figure for maintaining a home — anywhere from $3,000 to $12,000 per year — is often a shock for first-time buyers.) With a brand-new home, you can cross home maintenance costs off your list of expenses for several years.
And sure, you can renovate a resale home to better fit your needs, but it’s going to cost you and you won’t recoup your entire investment when the time comes to sell. Plus there’s a big difference between spending an extra $30 or $40 thousand on a new home and spreading the extra out through the life of the loan, and having to either come up with a lump sum or borrow it with a separate loan just to upgrade the kitchen or bathroom in your existing home — not to mention the downtime and chaos caused by a renovation. Add renovation costs on to the amount you “saved” by going with an existing home and you begin to get an idea of what we mean by “true cost”.
Cost Benefits Associated with A New Build
With all-new systems, energy-efficient windows and doors, appliances, better insulation, etc., your annual cost savings on energy alone can add up to a tidy sum. The older appliances and HVAC systems in a resale home by contrast, are more likely to cost you money to repair or replace.
And let’s not forget the most important reason. Why live in someone else’s dream when you can build your own?
For these reasons and more, it’s time to reconsider all of the benefits you’ll get by building a new home versus buying an existing one, including a brand-new, move-in-ready space built just for you!
If you’d like to find out more about the benefits of a new built home in the Miami Valley, contact us.