With the prices of existing homes today, many Basking Ridge real estate homebuyers will often consider having a house built from the ground up instead. It’s a widespread notion that building a house from scratch is more cost-effective than buying an existing abode. However, there’s more to this than meets the eye.
The US average for building a house sits around $315,154, while the average cost of buying a home is $230,000. However, these numbers represent only the upfront costs. Buying an existing home can come with additional expenditures such as closing and repair costs, the latter of which can be substantial if you’re buying an older home.
Clearly, the choice between buying an existing home and having one built isn’t going to be so cut and dried, so it pays to weigh your options before making a decision. Below are the pros and cons of each of these two home ownership paths:
Pros and cons of new construction
Since this home ownership option lets you build your house from scratch, you can have it look exactly as you envision it – your budget being your only limitation. From the floor plan to the materials used, to the colors and designs of each room, you get to decide everything. And since everything is new, deterioration, repairs and replacements won’t be an immediate concern.
The biggest drawback to new construction is the wait. It takes time to complete a new house, and many unforeseen issues can pop up along the way, such as human error, weather problems, delays in the work schedule, and so on.
It takes seven months on average to build a new home, so if you’re not prepared to wait that long to move in, maybe building a home is not for you.
That said, many of these issues can be alleviated or avoided altogether by working with a capable professional from the start.
Pros and cons of buying a house
Convenience is easily the most enticing advantage of buying an existing house. If everything goes smoothly, you won’t have to wait too long to move in if you opt for this home ownership option. The short turnaround can be a great relief for homebuyers who have to start at a new job at a new location, or have kids attending school soon.
Unfortunately, the high level of convenience can be negated by the biggest drawback of buying an existing house: it’s practically impossible to find a property that ticks all your boxes perfectly.
You may have to contend with old fixtures, a lack of storage, inadequately sized rooms, and more. Compromise your checklist too much, and you could end up with serious buyer’s remorse.
Buy or build?
When deciding between buying and building, it’s important to ask yourself these three questions:
- Do I want everything in my home to be completely new?
- If I buy an older home, do I have the extra funds to repair and update it?
- What are the aspects of the home I would be willing to compromise on (size and number of rooms, layout, etc.)?
Once you decide what makes the most sense for you to do, come talk to the Basking Ridge real estate professionals at Pagnotta Homes. Message them here. You can also reach out to the team at 908.436.7947, or send an email to info(at)pagnottahomes(dotted)com.