NEW DEVELOPMENTS

Hi! Thank you for your interest in viewing my new real estate properties, once you find a development that you would like to tour, call me to schedule an appoint at convenience time. Remember that when you purchase in a new development, I will work with you I do not work for the developer or represent them. Plus when you visit the units with me you will receive a rebate voucher for $200.00 redemable after closing.

It can be a difficult decision whether to purchase a resale home or a new home, since today best deals are in resales from distress sellers and high contruction costs.

Although new homes typically have a higher sales price than comparable existing homes due to the cost of building materials and labor, buyers are willing to spend more up-front with an understanding that part of what they are paying for is assured low maintenance costs.  A builder's warranty, along with brand-new roof, appliances, furnace, and other operating systems that make major repairs unnecessary, work together to counteract possible slower appreciation initially.

Buying New Versus Resale

In today's highly competitive market there is a vast array of choices to be made when deciding on the type of dwelling you wish to reside in.  Below is a comparison of the advantages and disadvantages of buying a new home versus a resale home.

Advantages of a New Home

One of the primary advantages of buying a new home is the ability to decorate your home from the beginning exactly the way you want.   Often, new homes will have more modern conveniences and can be more energy efficient.

Disadvantages of a New Home

Unfortunately, with a new home purchase you should be prepared for the on-going construction you will find around you.  Chances are that your grass and lawn will not be in, your driveway will be gravel and your street will turn into a sea of mud whenever it rains or snows.  If things are going to go wrong with a newly constructed house, they will appear in the first one to two years.  As the house settles you may find cracks appearing in the walls of the basement, especially near any windows, make sure you get them fixed right away.  Most new homes do not come with AC units, lighting, appliances, and painting, you have to be prepare to spend extra cash to put your new home in leavible condtions. Some developers do not repont warranties the way they suppose to be done and as fast and you need them to be fixes. If you are ready to wait and beg them to fix them for you, You have a choice! Property taxes are going to be higher on new homes because they will be registrar at a higher selling price. Older homes were registrar at low price.

There are additional expenses associated with new homes that you will not typically find in a resale home.  For example, you may have to spend additional money for appliances, curtains, drapes, dehumidifiers, decks, fencing, electric garage door openers, walkways, outdoor lighting, indoor light fixtures, trees, shrubs, gardens and landscaping, children's play sets, swimming pool, air conditioning, etc.

Closing costs are typically higher for new homes.  The purchaser will pay for such additional costs tree planting, utility hook ups and paving of the driveway, All closing cost related to title, deeds etc. New homes also will have higher property taxes because they will be appraised at todays market value. Existing homes normally have lower taxes.

Advantages of a Resale Home

The major advantage of buying a resale home is that you are moving into an established neighborhood.  Your lawn is green, your shrubs are growing, your driveway is paved and your trees are well enough established to give your street a feeling of permanence.  Often, most extras are already present, such as appliances, curtains, drapes, decks, fencing, electric garage door openers, walkways, outdoor lighting, indoor light fixtures, trees, shrubs, gardens and landscaping, children's play sets, swimming pool, air conditioning, etc.

In terms of investment, a resale home will often give you far more value than a brand new home.  Many owners put tens of thousands of dollars into home improvements ranging from small items, such as landscaping, to major projects, such as a finished basement or any of the items above.  Although these improvements will make the home more attractive to potential buyers, they may increase the market value of the home. The buyer gets the home at its real fair market value, which is based on comparable homes for sale or sold in the neighborhood.  All those expensive extras may be included in the home with benefit to the buyer at little or no extra cost.  This can be a substantial savings over buying a new home. WITH THE EXTREME HIGHT COST OF THE NEW CONSTRUCTION, THE REAL VALUE ARE IN RESALE MARKET.

With a resale, the vendor's asking price is almost always negotiable downwards unlike the builders list price which is usually firm.  Any extras or changes are added to the list price of a new home and add up quickly.

Disadvantages of a Resale Home

A small percentage of homes in the marketplace are not considered to be in move-in condition.  If both live-in partners happen to be working at full time jobs, a move-in condition home is by far the best alternative.  If the property is being under "power of sale" or the property has been rented for many years the home may require a lot of work.  If the buyer is not handy or does not have the additional up front capital then the purchaser would be better off buying a home in move-in condition or a brand new home.  Additionally, as a home gets on in age certain systems such as heating, cooling, roofing, and/or windows need to be upgraded.

Although some perceive the paragraph above as a disadvantage, some consider it as an advantage.  A home that needs some fixing up can in fact present some clear cost advantage to a buyer.  Usually, it can be purchased below the going market value, while at the same time providing an opportunity to have it decorated to suite your specific tastes. visit me at www.palmasmls.com for more properties.