Buying a new construction home seems like an ideal idea - no one has lived in it, brand new features, and modern designs. But underneath the perceived flawless exterior lies investment issues that many homebuyers do not initially consider. In this blog, we will discuss why a new construction home is not always the best investment for buyers in terms of real estate. Higher Prices Many buyers think that purchasing a new construction home will help them save money on costly repairs or renovations that come with older homes, but this is not always the case. A new construction home often comes at a higher price than resale homes because builders need to include the costs of land, materials, and professional fees. If you are looking for a budget-friendly option, resale homes might be a better choice. Lower Resale Value New construction homes can depreciate rather quickly over time, especially if the builder has other developments nearby. If you plan to sell your new home in the future, you might end up losing your investment due to low resale values and competition with other new construction homes in the area. Limited Room for Negotiation When buying a new construction home, buyers do not have many options to negotiate prices or features compared to buying a resale home. Builders have set prices and set designs, and any changes you want might come at an additional cost. This lack of flexibility can hurt your budget and leave you with features you did not want or need. Longer Wait Times Building a new construction home takes time, and often construction can take longer than anticipated due to bad weather or unforeseen construction issues. This can be frustrating for buyers who have already sold their current home and have nowhere else to go. Moving into a new construction home might take a while, and waiting too long might leave you with a mortgage and rental fees. Unforeseen Issues A new construction home is not a guarantee for a perfect home. You might face issues after move-in, such as faulty wiring, plumbing issues, or poor quality materials used in the construction process. Fixing these issues might come at additional costs that were not anticipated, leaving some buyers feeling cheated and ultimately costing them more than they budgeted for. A new construction home might seem like a smart investment, but in reality, it comes with a host of issues that many buyers do not consider. From higher prices to lower resale values and limited negotiation options, new construction homes are not always the best investment for real estate buyers. If you are searching for the right home to invest in, consider exploring resale homes, which can offer better value, a range of features and settings, and more affordability. In the end, investing your time in the right home can save you money and spare you headaches in the future. Contact Shawn Wilmoth REALTOR® today for help finding exactly what you're looking for. www.shawnwilmoth.com

While searching local homes for sale, you may be wondering whether to purchase a new or existing home. Approximately 5.64 million existing homes were sold during 2020, according to data from the National Association of Realtors. The current real estate market can be quite competitive, which means buyers need all of the help they can get. Below, you'll find our buyer's guide to finding local homes for sale -- and choosing between new versus existing houses during your search. Here's what you need to know. New vs. Old: What's the Difference? Before exploring local homes for sale, check out the details below to learn the difference between buying a new home and an existing one. Buying a new home: Brand new homes are move-in ready with new features. Some may include smart technology or eco-friendly elements. To get everything new and ready for move-in, you'll end up spending a bit more upfront. While there may be certain things you'll eventually want to fix or change, the upside here is that a new home shouldn't need any major repairs right away. Buying an old home: Older homes often need major repairs, which can get expensive quickly. However, this could make the home sell at an affordable price and allow you to renovate it exactly how you want to. A bonus to older homes is that you can find one in an excellent location. You'll also be able to obtain a home with charm and features that were built to last, which are harder to come by with new builds. With newer homes, you'll most likely work with the builder, which can go a lot smoother than a homeowner that feels their home is worth more than it is. It's less stressful and you can move in much sooner, assuming there are no delays with the building process. With older homes, you'll have to work out an agreement about the closing date and when you can move in. Some homeowners won't come down on price even though there are significant issues with the home. You may not be able move in until the seller has found a new home or certain stipulations have been met by either party. Ultimately, it comes down to what you want in your next home. Can you afford that new home with all of the newest bells and whistles, or would you rather get the older home in an ideal location that needs a few renovations or repairs? Every person looking at local homes for sale wants something different. List your priorities and make sure to keep your expectations as realistic as possible. Explore Local Homes for Sale and Find Your Next Dream Home No matter if you buy a new or existing home, it's time you find your dream home that you can grow into. For more information on how we can help, please contact us today.