New Construction – Advice for going this route!

Real Estate Agent with Coldwell Banker Realty/Coldwell Banker Commercial NRT 30SA0872839 

New Construction – Advice for going this route

Opting for new construction can be an exciting and rewarding process, but it also comes with its own set of considerations and potential challenges. Here are some key points to keep in mind when pursuing new construction for your home purchase:

Benefits of New Construction

  1. Customization: You often have the ability to customize various aspects of the home, from layout to finishes, ensuring it meets your specific needs and tastes.
  2. Modern Features: New homes are built with the latest technology and energy-efficient materials, which can lead to lower utility bills and a smaller environmental footprint.
  3. Lower Maintenance: Everything in a new home is brand new, so you are less likely to face immediate maintenance issues and repairs.
  4. Builder Warranties: Many builders offer warranties on new homes, providing peace of mind in case of structural issues or defects.

Steps to Take When Buying New Construction

  1. Research Builders:

    • Look for reputable builders with a solid track record.
    • Check online reviews and ask for references from previous buyers.
  2. Location and Community:

    • Consider the location and the development community.
    • Check the future development plans for the area to understand how the neighborhood might change over time.
  3. Model Homes and Floor Plans:

    • Visit model homes to get a feel for the builder’s style and quality.
    • Review different floor plans and select one that suits your lifestyle and needs.
  4. Understand the Costs:

    • Be aware of the base price versus the cost of upgrades and customizations.
    • Ask about potential additional costs such as lot premiums, landscaping, and HOA fees.
  5. Financing Options:

    • Explore different financing options and see if the builder has partnerships with preferred lenders that could offer incentives.
    • Get pre-approved for a mortgage to understand your budget.
  6. Contract and Negotiations:

    • Carefully review the contract and understand what is included and what is not.
    • Negotiate terms such as upgrades, closing costs, and completion timelines.
  7. Inspections:

    • Schedule independent inspections at various stages of construction to ensure quality.
    • Consider a final walkthrough inspection before closing to address any last-minute issues.
  8. Timeline and Patience:

    • Be prepared for potential delays. Construction timelines can be affected by weather, supply chain issues, and other unforeseen factors.
  9. Legal and Professional Help:

    • Hire a real estate agent experienced with new construction to represent your interests.
    • Consider consulting with a real estate attorney to review contracts and legal documents.

Potential Drawbacks to Consider

  • Longer Wait Time: Building a new home can take several months to over a year, depending on the complexity and market conditions.
  • Cost Overruns: Customizations and upgrades can add up quickly, potentially pushing you over your initial budget.
  • Resale Value: While new homes can be appealing, they might not appreciate as quickly as older homes in established neighborhoods.

Final Thoughts

New construction can offer a highly personalized living space with the latest amenities and lower maintenance concerns. However, it requires careful planning, research, and sometimes patience. By thoroughly understanding the process and working with experienced professionals, you can ensure a smoother experience and a home that meets your needs for years to come.

Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

I am a Site Agent for a 70 lot Subdivision and you are spot on with your recommendations . Thx for posting ….

Jun 09, 2024 05:21 PM
Thomas Santore Lic Associate Real Estate Broker

Thank you

Tom S

Jun 10, 2024 07:13 AM
Kat Palmiotti
eXp Commercial, Referral Divison - Kalispell, MT
Helping your Montana dreams take root

And then there are questions like, which way should the house be facing? Where would I put the garden? What are my options for the driveway and garage?

Jun 10, 2024 05:23 AM
Thomas Santore Lic Associate Real Estate Broker

Yes there are

Thank you

Tom S

Jun 10, 2024 07:13 AM
Dorie Dillard Austin TX
Coldwell Banker Realty ~ 512.750.6899 - Austin, TX
NW Austin ~ Canyon Creek and Spicewood/Balcones

Good morning Thomas,

I'm so glad that Patricia Kennedy  featured your post in her Sunday series. I've been out of toen and missed it! There’s a lot of great advice your post. Most buyers have no idea of what can happen in the new homes arena.

Jun 11, 2024 10:59 AM
Thomas Santore Lic Associate Real Estate Broker

Yes there are

Thank you

Tom S

Jun 11, 2024 02:23 PM