Should You Buy a Resale or a Brand New Home?

Should You Buy a Resale or a Brand New Home?

In SW Florida, home builders are swinging hammers and pounding nails like the recession is over! That I’m not too sure about, but regardless, new homes are going up- and lots of them!  If there are not enough options to choose from on the resale market, some home builders are producing awesome products at great prices!  Is your head spinning yet?  Too many choices can lead to lack of action; don’t get caught in that trap.  Get the facts and make an educated decision before you buy. What makes more sense:  a resale home or a brand new home? Here are some things to consider:

 

  1. With all the foreclosures and short sales on the market, prices have dropped so low that most homes can be bought cheaper than they could ever be built.  This has set the resale market on fire due to the simple economics of it all.
  2. You don’t have to wait for your home to be built if it’s a resale.  A lot of buyers need to move into something quickly and simply cannot wait for 6 to 12 months for their house to be built.  For other buyers, this works perfectly in their timelines.
  3. The older the home, the more likely things will go wrong with it.  As the home ages, appliances will go out and the home will need repairs and updating.  That’s just a simple fact.  With new construction, it’s common to get a home warranty by the builder backing up their work for six months to several years.
  4. A new home will be built with current codes, which can allow you to get a lower insurance premium.  This is a nice positive for new construction when compared to a resale.
  5. Look at the overall community.  Older communities tend to be established and financially sound.  Concerns today with a new community is if it will falter and if there is a risk of it not being completed if the builder goes belly up.
  6. Don’t overlook spec homes by builders.  This is where the builder doesn’t wait for a buyer to come along.  They build the house and then market it as an “inventory home” and put a very nice price on it- sometimes cheaper than a resale and it’s still a brand new, never lived- in home.  These can be great deals and I’d strongly suggest having your Realtor show you some.

 

Happy Buying!

 

 

 

Need help Selling, Buying, or with Property Management?  Please contact Gabe for FREE advice at:  239.825.2234, Gabe@GulfPointeProperties.com or www.GulfPointeProperties.com Gabe Mellein is the broker of Gulf Pointe Properties,   He has 8 years experience in the SW Florida Real Estate Market.  He is a member of The Naples Area Board of Realtors, Bonita Springs – Estero Association of Realtors, Realtor Association of Greater Fort Myers and the Beach, The Florida Association of Realtors, The National Association of Realtors, and is nationally certified in Feng Shui for Real Estate.

 

 

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