When it comes to buying your very first home or your next home, there are many options to consider. You can find homes near you, through the MLS system, or research homes online. These are great options to consider when looking but did you know there is another option? Are you wanting a new home that is created by you to fit your needs and wants? Do you want your home to be move-in ready as you take the next step into your homeownership journey? In this article we explore the pros and cons of buying a new construction home.
New Construction homes provide unique opportunities for designing their dream home. You are able to design and create the type of home and lifestyle you desire right from the beginning. While new construction offers opportunities, it also may come with a few challenges that might be overwhelming.
The Phil Aitken Home Team has over 13 years of experience and works with new construction quite often. We have been helping first time buyers or experienced buyers find their dream homes and work through any ups and downs especially with new construction.
In this article, you will understand the ups and downs of new construction homes and how to make the best decision for you when it comes to your home. New construction may seem overwhelming or you may not know about it but we will walk you through the details.
Pros of New Construction Homes
There are a lot of exciting opportunities when it comes to new construction builds. You get to be a part of the decision making process when it comes to what goes into your home. Here are a few factors to consider when deciding how you want your home to be:
1. Contemporary Design and Features
New construction homes are synonymous with modern design and the latest features. The appeal lies in having a home that incorporates current trends, open floor plans, and cutting-edge technologies. It also allows you to have a home that is finished with your standards right away instead of choosing a home that you’ll want to renovate later on.
2. Energy Efficiency
Advancements in construction materials contribute to increased energy efficiency in new homes. From energy-efficient appliances to well-insulated walls, these features can lead to lower utility bills and a reduced environmental impact.
3. Customization Options
Builders often offer a range of customization options, allowing you to tailor your home to your preferences. From finishes to flooring, you can actively participate in the design process and create a space that aligns with your vision.
4. Reduced Maintenance Costs
New construction homes typically come with warranties, providing peace of mind and potentially reducing the financial burden of unexpected repairs. With everything brand new, you’re likely to encounter fewer maintenance issues initially.
Cons of New Construction Homes
Even though designing your home the way you desire is an important part of your homeownership journey, new construction does have a few factors that may hold you back from following through with that decision. Some of those factors might include:
1. Higher Initial Cost
The allure of a new construction comes with a higher price tag. The cost of land, construction, and the latest amenities can make new builds a significant financial investment compared to existing homes. For example, in Saint Johns county at Rivertown – WaterSong, a 3 bedroom, 3 bath house costs around $567,000. Whereas an already built home in Saint Johns county, also a 3 bedroom, 3 bath, costs around $370,000.
2. Limited Location Choices
New construction is often limited to specific developments or areas. If you have a specific neighborhood in mind, you might find your options restricted when it comes to looking for new construction homes for sale.
3. Construction Delays
Despite builders’ efforts, construction delays can occur due to various factors such as weather or material shortages. This uncertainty can be challenging for those with a set timeline for moving into their new home.
4. Neighborhood Uncertainty
Buying in a new development might mean the neighborhood is still in the early stages of development. This could result in ongoing construction, potential changes to the neighborhood dynamic, and uncertainty about its long-term appeal.
As you look and consider all of the pros and cons to purchasing a new construction home, you will probably be overwhelmed with decisions and what is the right choice for you. You may start to form many questions about the process, design choices, and how to go about purchase of a new construction home.
To bring clarity and ease in your journey, working with a real estate agent will help answer all your questions and be there for you during the whole process. Your agent will be able to negotiate with the builder and help you get your dream home.
Steps to Take When Purchasing a New Construction Home
As you make the decision to buy a new construction home, there are many tasks and decisions to complete before moving into your dream home. Here are some action steps to take leading up to your closing date:
1. Research Builders and Developments
Start by researching reputable builders and the developments they are associated with. Look for reviews, visit model homes, and gather information on the quality of construction and customer satisfaction.
2. Define Your Budget
Understand your budget, factoring in not just the purchase price but also potential customization costs, upgrades, and additional expenses like homeowner association fees.
3. Understand the Timeline
Inquire about the estimated timeline for completion. Be prepared for possible delays and have a contingency plan if your move-in date is critical.
4. Examine Warranty Options
Explore the warranties offered by the builder. Understand what is covered and for how long. This knowledge can be crucial in mitigating unexpected repair costs.
5. Visit Model Homes
Take the time to visit model homes to get a feel for the builder’s work and to envision your potential living space. Pay attention to details and ask questions about customization options.
6. Negotiate Terms
Don’t be afraid to negotiate terms with the builder. While they might have set prices, there could be room for adjustments, especially if you’re considering additional upgrades.
7. Secure Financing
Work with a mortgage lender to secure financing for your new construction home. Ensure that you have a pre-approval in place to strengthen your position when making an offer.
8. Get a Home Inspection
Contrary to popular belief, new construction homes should undergo inspections. Hire a professional inspector to ensure that everything is up to code and to catch any potential issues early on.
9. Stay Informed Throughout the Build
If possible, stay informed about the construction progress. Regular updates from the builder can help manage your expectations and allow you to plan accordingly.
10. Final Walkthrough
Before closing, conduct a final walkthrough to ensure that everything meets your expectations. Address any concerns with the builder before finalizing the purchase.
By understanding the pros and cons of buying a new construction home, you will be able to make the best decision for you and your family.
New construction allows you to create the lifestyle and space you desire but the process to achieve that dream might be a little overwhelming or unsure. By understanding the pros and cons of buying a new construction home, you will be able to know what to look for and decide if new construction is the right choice for you.
Working with a real estate agent when looking to purchase a new construction home will help you feel more confident in your homeownership journey. To learn more about why working with a real estate agent is highly recommended, check out our article on realtor representation.
If you don’t have a realtor in mind, or know you’d like to work with our team, reach out to schedule an appointment with us today.
Our many years in business mean we’ve developed strong relationships with many home builders in Jacksonville. Some of the top builders in the area include:
Some Top New Construction Areas Include: