Buying a brand-new home that no one else has lived in is exciting! However, the process of buying new construction is a little different than purchasing a pre-owned home. Because of this, the considerations for purchasing a shiny new home are different than those you may be used to considering.
Take a look at our tips for buying a new construction home, so you’ll have a positive buying experience and you won’t end up with a home you didn’t anticipate.
Tip no. 1: How Much Are You Willing to Invest?
When you’re shopping for any home, obviously considering your budget is very important. When it comes to new construction, you’ll want to think about the cost of the home that you can afford, on top of all of the extras, including landscaping, insurance, and property taxes, among others. Once you set your budget, you can start to look for homes within your set budget.
Tip no. 2: The Ups & Downs of New Construction
Typically, new construction homes are located in new subdivisions that are often placed far from the city. Is that something that fits your lifestyle? It is also typical for these new subdivisions to offer homes that look very much the same to one another and are placed close to each other to get more homes in a smaller area. Is this something you’re interested in? If so, great! If not, new construction homes may not be for you.
Tip no. 3: What Does the Research Show?
Once you find a neighborhood (or a few neighborhoods) you’re interested in, do the research! Take a walk around the neighborhood to see what the homes look like, and see if you can talk to some of the residents. Don’t be afraid to ask them questions about the building company, the construction schedule, and how they like their new home.
It’s also very important to research the building company. What other buildings or neighborhoods have they built? How did that construction go? What do their online reviews look like and how were those handled?
Tip no. 4: Standard Features vs. Upgrades
One of the perks of new construction is that you often get to pick some of the colors, finishes, and features of the home. However, it’s important you know what comes standard with the home versus what is considered an upgrade. In most cases, the model home will contain all of the upgrades, so don’t be fooled into thinking you’re getting features that cost extra or aren’t available.
Tip no. 5: Be Financially Savvy
On top of staying within your budget and paying attention to the standard features versus the upgrades, you will still want to get a home inspection and home warranty. Technically with new construction, you’re purchasing a home that isn’t finished yet. You want to make sure the end product will meet your needs, and of course, inspection standards. Most new construction homes come with a warranty, but make sure you understand it and see if you need any additional coverage (plus insurance backing).