23
Jul

Should I Buy Or Build My House, Which Is Better?

Sure you’ve been contemplating for so long either to buy or build a house, you don’t know which of them is best. Be confused no more. One of the innate desire in everyone of us is the crave for getting something brand new, most especially if it’s custom-made. The problem is, custom-made things tend to cost more and takes more time to get – most esprcially when it comes to houses.

It may seem like a simple decision. Newly built homes are – well – new, and that delivers some definite advantages to the home owner. You can choose the floor plan you prefer, and start out life in your new home with up to date amenities and state of the art appliances. On the other hand, you may be limited as to where and when you can build your new home, and you may find that the costs of new construction outweigh some of the obvious lifestyle advantages. To help you make the best choice, we broke down the costs and pros and cons of either building/buying a house.

The whole difference between construction and creation is exactly this. That a thing constructed can only be loved after it is constructed- but a thing created is loved before it exists.

PROS OF BUILDING A HOUSE

  1. Less Competition: Once you buy the land, you won’t have to deal with any competition for your dream home. There’s less competition for buying a plot of land than for buying an existing home.

  2. Customization: You can make any decision of your choice when building your home, so it’ll reflect your tastes accordingly. The big advantage of this is that you are much likely to get exactly what you want.

  3. Less Maintenance: A brand new and up-to-date home will have little/few maintenance issues. You probably won’t have to worry about big repairs or maintenance issues for the first few years—no leaky roofs or failing HVAC systems for you!

CONS OF BUILDING A HOUSE

  1. Building Takes Time: It is reported that it takes an average of seven months to construct a new house – not counting the planning and approval stages. Unexpected costs or delay can also happen in the process, which will determine how long it’ll take for your home to be completed.

  2. More Time And Stress: Managing all the details that go into building a house takes time and effort. When you build your house, you’ll have to purchase land, decide on a home design, and pick out flooring, fixtures, cabinets and so on. You’ll have to do all of this and stay within your budget. This surely will take a lot of time, thereby leading to stress.

  3. More Expensive Financing: One of the major concerns that all home buyers have is ‘cost’, and there is a sizable gap between the price of a newly constructed home and that of a resale property.

According to Mortgagecalulator, the average cost of a newly built home is roughly $300,000 (not including acreage). That’s assuming you are sticking with the basic model and not opting for any expensive upgrades, in which case the cost can rise significantly. It’s also worth noting that new construction remains at an all time low, making competition for newly built homes rather fierce. This can also have an impact on the cost of new construction, particularly in areas where new builds do not keep up with local demand.

PROS OF BUYING A HOUSE

  1. Less Expensive: There is a greater opportunity for negotiations when purchasing an existing property, which can often result an even lower sticker price (an option that is rarely available with new construction). Depending on the market, it’s more cheaper to buy an exisiting house. If you buy something that is move-in ready, then you may have further savings from not juggling multiple payments in parallel while you move.

  2. Proximity to urban centers: For example, a new home is likely to be built in a developing community, meaning that you will be living with ongoing construction in the neighborhood for some time to come. Resale homes tend to be in established communities with easy access to work, schools and shopping. With an existing property you also have more control over your choice of neighborhoods.

  3. Save stress and time: Buying a home can be a relatively quick process and have the property transferred into your name allowing you to move in.

CONS OF BUYING A HOUSE

  1. Not custom-made: You may not be in love with the floor plan and may wish that there was another bedroom on the main floor.

  2. Can be obsolete: An existing house may be an older building, which is unlikely to be energy efficient or suited to the advances in technology and home automation.

  3. The home may have a ‘lived-in’ feel, a turn-off for some.

If you begin your home search set on finding the perfect existing property, you may end up deciding to build to get exactly what you want. Conversely, you may plan on building and later decide an existing home is a better fit. In either case, working with a qualified and experienced professional—whether that’s a real estate agent or a general contractor—can help ensure the process goes as smoothly as possible. Older homes tend to be less energy efficient, and that can lead to higher monthly expenditures for the new owners.