People have a lot of preconceived ideas about what it means to buy a new construction home, and whether buying a new construction home is a good investment.
But the problem is, many of those preconceived ideas simply aren’t true, and those myths are holding back buyers from exploring buying new construction, even if it might be the best move for their home purchase.
So what, exactly, are those preconceived ideas—and why are they not true? A recent article from realtor.com debunked common myths about buying new-construction homes, including:
- New construction homes are more expensive. Will new construction homes have a higher price tag than previously owned homes? Most likely. But because everything in a new construction home is new (like the roof, appliances, HVAC equipment, and other major systems), buyers won’t have to worry about upgrading or replacing anything upon purchase—a common expense with previously owned homes that could cost tens of thousands of dollars.
- New construction homes are harder to finance. While some people think financing a new home is more difficult, the truth is, it can often be easier. Many builders have pre-existing relationships with lenders, which can make it easier to secure financing—and those lenders often offer incentives to do business with them, which can help you get a better deal on your mortgage.
- You’ll have to wait to move into a new construction home. New homes take time to build. According to the article, it takes an average of 6.5 months. But that doesn’t necessarily mean you’ll be waiting half a year to move into your new home! Depending on when you purchase your home, the property may be months into construction—or, in some cases, completely finished and ready for new owners to move in. If you want to buy a new construction home—but don’t want to wait to move in—make sure to ask how far along the homes are in the building process and how soon you can move in.
About Tom
Realtor-Tom Gilliam is your expert to buy or sell your home in Oakland County, Michigan, the Oakland County community’s number one Realtor. In Oakland County, Michigan, you need to find a Realtor who knows the community.
Tom Gilliam currently lives in the Oakland County Area and is very familiar with the market, neighborhoods, schools and community issues. His office is located into the heart of Farmington Hills, with five additional offices throughout the south east metropolitan area to serve his clients real estate needs.