The Savings of New Construction
There’s a general assumption among new house-hunters that getting a brand new home built is the expensive, impractical option. They’ll consider leasing and renting of older, falling apart homes - even when the average age of a purchased house is getting up to 30 or 40 years old!
While material shortages and labor costs have to do with a lowered and suppressed supply of new homes on the market available to all, there’s also a hovering myth that lowers demand - the idea that you shouldn’t get a new home built unless you have the money to throw around. Today, we’re here to show you the problems with thinking that way, and the pros and cons that come with both options.
Buying Used - What You’re In For
In a way, homes are a lot like cars. People have many different preferences on the amenities and features they want, but generally they will agree that they want something affordable, reliable, and safe, since they will be using it every day.
But we’ve all had a bad experience with a used car. Falling apart and failing catastrophically on the highway, needing expensive and timely repairs to get working again - eventually, what you’re spending on a used car adds up, as maintenance gets more expensive and more frequent.
The same problems come in when buying a used house, only even worse. People are spending more time in these buildings, roughing them up and making all kinds of different modifications or questionable additions. There’s things you can do to protect an older car from the elements and good practices, but it’s not so easy to preserve a house when it’s not being used. There’s no garage or cover you can put on it, and there are way more problems and complex systems that can go wrong.
Now consider that people tend to buy homes that are even older than their cars!
All this is to say that when you’re buying an older house, you’ll be paying a lot more in maintenance, and you’ll constantly be scoping out problems that are harder and harder to fix. Sure, the initial cost is lower, but you’ll be paying that many times over as you need to get your roof replaced or air conditioner fixed, all because they were built to older, poorer standards by companies with less experience.
Buying New - The Perks and Benefits
The troubles of constantly fixing up the house go away if you buy a new home construction. During the building process, it’s much easier to assess possible faults and fix them before they’d go out of hand - you also have more control over materials and what specific components to install. If the design of your home makes for difficult air conditioning replacement, you’d probably spend a bit more on a higher-quality unit.
So while the up-front cost is higher, what you’ll find is that down the line, you’ll start saving quite a bit of money without as much to maintain. If something does go wrong, you’ll also likely be covered under warranty and be capable of getting repairs done at no or lesser cost to yourself.
And, of course, you’re the one in control of what happens in your house from the get-go, so you’ll know the wear and tear that’s endured and be better able to respond to it. If you’re planning on financial security coming from your home assets, then there’s no better option than buying new - these will be worth more on the market than houses that are 40, 50, 60 and up years old!
So, there it is - opening your eyes to how the seemingly expensive can hide bigger returns and lower costs in the future. Don’t count out the higher price of home construction - you’ll reap the rewards, not just in luxury but in savings and profit!