We all love \u201cshiny and new\u201d \u2014 and newly-built single-family homes are downright irresistible. And when the existing home inventory is limited, and consumers have confidence in the market, a significant number of homeowners will consider a newly-built residence.<\/p>\n
However, it\u2019s not a slam-dunk decision. There are benefits and disadvantages to purchasing a new build. These are some of the factors to consider.<\/p>\n
New build pros<\/strong><\/p>\n A new build isn\u2019t someone\u2019s leftover home<\/strong><\/p>\n The only thing better than new car smell is new house smell. The first home I ever purchased was a new build and, as a germaphobe, I loved the idea that no one else had ever hung clothes in my closets, cooked in my kitchen, parked in my garage or sat in my garden tub. Admittedly, I have no idea what the contractors and workers did before I moved in. As a true germophobe, I still scrubbed every single surface. But I didn\u2019t have to scrub as hard since there weren\u2019t any previous owners.<\/p>\n A new build is up to code and up-to-date<\/strong><\/p>\n \u201cPeople like to say that we \u2018don\u2019t build them like we used to.\u2019 This is a good thing,\u201d Nathan Outlaw, President of Onvico in Thomasville, GA, says. \u201cCode and energy requirements have come a long way and buying a well-built new home will be much less stressful than remodeling an older home.\u201d<\/p>\n That\u2019s because homebuyers can avoid those unexpected expenses that occur when workers find issues like asbestos or old plumbing that needs to be replaced. Homeowners can also incorporate the latest trends in kitchen and bathroom technology to maximize the home\u2019s potential.<\/p>\n (Sometimes) the sky is the limit with a new build<\/strong><\/p>\n Michael Menn, a Chicago-based architect who builds new homes and remodels existing homes, says there are pros and cons to purchasing a new build. \u201cWhen a homeowner purchases an existing home, there will be compromise on the floor plan,\u201d he says.<\/p>\n However, when his clients purchase a new home, Menn says they can customize and personalize every detail. He adds that they can pick \u201ceverything from the floor plan to the flooring, cabinetry, plumbing, etc.\u201d So homeowners can decide, for example, if they want tile or hardwood floors in the kitchens and baths or they can make the home as plush as a hotel.<\/p>\n There\u2019s less competition for a new build<\/strong><\/p>\n \u201cAccording to the National Association of Realtors (NAR), the average time an existing home is for sale on the market is 30 days \u2014 although this depends on the part of the country, time of the year and other factors,\u201d Menn explains. Homes sell fast because there\u2019s a lot of competition to find an existing home. But when you build a home, he says the competition is eliminated.<\/p>\n There are no renovation issues with a new build<\/strong><\/p>\n Many homeowners purchase a home and then renovate it to fit their needs. \u201cBut they have to live in the mess of a renovation,\u201d says Adam Helfman, Home Improvement Expert at Hire It Done. \u201cHaving no interruptions in your daily life is a huge benefit to buying a new home.\u201d Also, some people don\u2019t know where to draw the line when purchasing a fixer-upper and could end up with a money pit.<\/p>\n New build cons<\/strong><\/p>\n Older may be better<\/strong><\/p>\n Although newer homes have new components and materials, newer may not always be better. \u201cNew homes today are generally not built as solid as old homes of yesteryear,\u201d Helfman says. \u201cOld homes had better bones. For example, a 2\u00d74 in the 50s and 60s was actually 2 inches by 4 inches \u2014 whereas a 2\u00d74 today is 1.75 inches by 3.75 inches.\u201d<\/p>\n Renovating is better for the environment<\/strong><\/p>\n When you build a new home, you\u2019re starting from scratch. \u201cThe environmental impact of building a new home is much higher than in buying an old home,\u201d Helfman says. \u201cRenovation is essentially a form of recycling.\u201d<\/p>\n Also, homeowners have a tendency to focus on cosmetic features when buying a home and often choose a new build because of trendy extras. However, most cosmetic features \u2014 like architectural details \u2014 could be added to an existing home during a renovation.<\/p>\n Existing homes have more mature landscaping<\/strong><\/p>\n Landscaping can cost a pretty penny and take a while to fully develop. \u201cOlder properties can come with landscaping benefits like mature trees to cast shade,\u201d Helfman says.<\/p>\n Existing homes have established neighborhoods<\/strong><\/p>\n If you\u2019re building a home in a new area, it\u2019s still in the process of being established. \u201cOlder homes come with the benefit of established neighborhoods with established communities and desirable features like street lights, sidewalks and neighborhood watches,\u201d Helfman explains.<\/p>\n And there are other potential disadvantages to not being in an established neighborhood. \u201cThere\u2019s a danger of purchasing inside a non-fully formed community where amenity costs were miscalculated,\u201d warns Michael Kelczewski, a realtor with Brandywine Fine Properties Sotheby\u2019s International Realty. \u201cAlso, homeowners may purchase during an initial development phase only for the developer to become bankrupt.\u201d<\/p>\n The new build timeline is subject to change<\/strong><\/p>\n Unless you\u2019re buying a new home that has already been completed, you could be trapped in a waiting game. \u201cYou won\u2019t be able to move in until the home is completed,\u201d says Menn. And he warns that weather-related construction delays are always a possibility and could extend the build timeline indefinitely.<\/p>\n