The Pros and Cons in Buying a Resale Home Vs. a New Home

Dream homeTake a moment to envision the home you’d like to live in. Does it look like the home you grew up in, or does it look like a brand new place, tricked out with all of the great things you want in a home? Do you see yourself in a newer, more contemporary home with all the latest gadgets and amenities, or can you see yourself living in a cozy condominium or a preexisting home with great character?

When it comes to purchasing a home, one size most certainly does not fit all. Everyone is different and has different wants and needs. Additionally, it’s imperative to understand the differences between new homes and resale homes when you’re looking for a home to call your own.

See the pros and cons to both new homes and resale homes below!

New Home

Unless you’re planning on custom-building your home on your own individual lot, most new homes are going to look very similar in style. Built to the latest codes and standards, a new home will usually feature a contemporary style and be energy efficient. Here are the pros and cons of purchasing a brand new home:

Pros

*You’ll get a contemporary style that is easy to work with.

*You can have some flexibility on the design of the home during the construction phase.

*It will be cheaper to maintain as new appliances mean fewer breakdowns and repairs.

*It will also be cheaper to operate with energy-efficient construction.

*You can enjoy extended warranties.

*The neighborhood will more than likely be consistent and cohesive in its layout.

*You will probably have a homeowners association, which helps protect resale value.

*It’s brand new, and you’re the first to live in the home!

Cons

*Your home will be one of the many look-alikes on the block.

*You have limited negotiating room on the price.

*It’s likely that you will have to pay dues for the homeowner association.

*Your home might have less character since they are all constructed very similarly.

*The homeowners association that frequently comes with a brand new home can put limits on how you can use your property.

To determine if a new home is right for you, do the following:

*Check the builder’s track record and see if previous projects were completed on time and within the budget.

*Ask residents if the builder did quality work and lived up to expectations in their home.

*Keep in mind that you will have to pay extra for additional features most of the time including jetted tubs, surround-sound home theaters, and granite counters.

*Bring your own agent; don’t rely solely on the agent the builder hires for the site. Their best interests lie in the builder, not particularly you.

Existing or Resale Homes

While new construction homes are quite popular, many people do purchase resale homes, that is, they buy homes that someone else has lived in but has been put on the market again. Along with new homes, old homes also have many pros and cons, and even though prices can usually be more negotiable, old homes can come with many surprises.

Pros

*These homes usually feature more choices and more styles to choose from than new construction homes.

*The price of a resale home may be more negotiable.

*Issues about the home are typically revealed in disclosure documents.

*The home is usually nestled in an already established neighborhood.

*Resale homes typically boast more charm and character than new construction homes.

Cons

*Resale homes usually require more maintenance as things break or wear out.

*These homes can also be less energy-efficient and more costly to operate.

*The design is typically more dated and feature older appliances and amenities.

If you’re considering purchasing an existing home, be sure that you’re not purchasing someone else’s problems unless you know you can tackle the solutions.

The trick to buying a home, much like any other large purchase, is to find the one you like, consider its pros and cons objectively, and think about the compromises you’re willing to make. The more logically you approach buying a home, the more you’re going to enjoy it!

Ready to find your dream home? Call the best realtors in the Metro East – The Massey Team! You can reach us at (618) 791-5024 or at (618) 791-9298 or visit us online at www.dianamasseyhomes.com. With us by your side, you will find the home you’ve always wanted!

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s