Existing Home vs. New Home: Which is Better for You?

Many people are faced with a decision to purchase a home where they can settle down and start a family. One of the first questions to ask when you are ready to buy a home is whether you should buy an existing home or build a new one. This article will compare the process of buying an existing home with the process of building and buying a new home so you can make an informed decision about which type of property is right for you.

Comparing Costs

One of the biggest factors to consider when looking to purchase a new home is the cost. When you buy an existing home, you likely won’t have to deal with the costs of architect or designer fees, because those have already been paid for. However, you can expect to pay for any landscaping, repairs, or other changes that the seller will agree to. You may also have to pay for a home inspection, which can cost between $150 and $350 on average.

When you build or buy a new home, you are paying for the architect or designer fees, and you will also have to pay for surveyor fees. You will have to pay for the labor to build the home, as well as the materials. The cost of these materials will depend on the type of home you are building.

Energy Savings of Building a Home

There are two ways to save energy in a home: buy energy-efficient appliances, or build the house using energy-efficient methods and materials. Energy-efficient appliances are more expensive, but you may be able to get a loan to help finance them. Energy-efficient materials and methods will cost more upfront, but the energy savings you get over time should offset the upfront cost.

When you buy an existing home, it will probably have older appliances, which are less energy efficient. You can expect to pay to have these appliances replaced, which will help you save energy in the long run. Similarly, the materials used to make the house need to be replaced after a while. This will also help you save energy in the long run.When you are building a new home, the materials and appliances you choose will make a big difference in how much energy your home uses. For example, if you choose to build a house with a green roof, it will be more energy-efficient than a home without a green roof.

Convenience vs. Customization

When you buy a previously owned home, you will have a wide array of choices when it comes to the home’s appearance. You can choose to buy the house in its exact condition when the previous owner bought it, or you can get a home that has already been remodeled. If you choose to get a home that has been remodeled, you may be able to choose exactly how you want the house to look. There are also certain home additions that you can add to an existing home, such as a sunroom or an extra bedroom.

When you build a new home, you will probably have to settle for the exact house plan that your builder offers. You do not have the option to choose to get a home in a particular condition or get any custom features not included in the original house plan. Many people choose to build their own homes just to get a custom home that fits their needs specifically.

Final Thoughts

Taking all of the factors into consideration, there are pros and cons for purchasing an existing home and for building a new home. Purchasing an existing home means that you may have to deal with the cost of repairs and upgrades, but it also means that you will probably not have to deal with the cost of building permits. Whatever the case may be, it’s all up to your needs, budget, and preference.

Before you can buy or build a home, you need the help of a mortgage broker you can trust. American Mortgage Solutions offers a fast and straightforward way of finding you the right loan products no matter what your situation is. Contact us today to get started on finding the perfect home loan in Cape Coral for your needs. If you have questions regarding your financial situation, contact us at (502) 327-9770 or in Florida please call (239) 766-8344 a Louisville mortgage company like us! We will be able to assist you.