If you are in the market for a new home, one of the first questions you will be faced with in your search is “New or Resale?” Here, we will compare some of the pros and cons of both.
New homes are often perceived as more expensive than resale homes. While it is true that new homes may cost more upfront than resale homes of similar square footage, in the long run, you may find a new home is a better investment for you.
One pro of buying new is that you should not need to budget for expensive upgrades and renovations in the short-term the same way that you would in a resale home. While resale homes may seem more affordable in your search, once you budget for roof repairs, replacing aging HVAC systems, electrical upgrades or driveway repairs, to name a few, you may find that buying a new home actually saves you money over the course of the first 5-10 years you are in your home.
While you can choose to dive into expensive upgrades and renovations in a resale home, buying new often allows you the opportunity to customize your flooring, cabinets, countertops, and more in the building process, meaning that you get what you want immediately after taking possession, not years down the road.
Furthermore, there is a certain peace of mind that comes with knowing that you are the original owner of a new home. Building codes are always changing and improving, and buying new means living in a house that has been built to modern building standards. Renovations of older homes often end up costing the homeowner more than expected, because many issues and code violations are not apparent until work begins. As well, you will never need to worry about a pre-existing “handyman special” that could cost you hundreds, if not thousands, in a resale home.
New homes are outfitted with more energy-efficient features, saving you money on heating and electricity, and helping the planet as well. The latest building technology focuses on having a ‘healthier’ home too, with safer materials, improved air quality and proper ventilation.
There is a saying in real estate “Every home has a buyer for it.” And while this may ring true, for many, a new home is the way to go as it saves the buyer money over the long run on costly repairs seen in resale homes, and allows the buyer to customize the build into the home of their dreams before even moving in.