Are you patient? Do you have deep pockets? Are you unwilling to compromise? Building a home might be the right choice for you.
Would you like a home in move-in condition? Do you like to save money? Would you be happy to compromise on less important items when house shopping? Buying an existing home might be the right choice for you. We look forward to helping you find your perfect home in Central New Jersey.
If You Build It…
Pro: It is custom built for you: You get to decide what you want and have it built to your specifications. No compromise is necessary, with respect to local building codes of course.
Pro: It might be healthier for you and the environment: When building a new home you can make green architecture a priority (designing efficiently to reduce energy use). Reducing energy use will be healthier for your wallet and the environment. You also won’t need to be concerned about toxins from old construction, such as lead paint or asbestos, when you build a new home.
Con: It might be more expensive: On average, building a new home costs $34,000 more than buying a home. The financing will include several loans. You will need to purchase the land (and land loans can be difficult to secure), you will need to pay for the construction (and therefore a construction loan to finance the building) and you will also need a traditional mortgage to pay for the finished home (using the finished home as collateral for the loan). Throughout the project, you may run into unexpected costs (such as supply chain issues, and labor shortages causing wage spikes). Of course, if you have deep pockets this may all be of little concern to you.
Con: It may end in divorce: Moving is often very stressful for relationships. Building a new home is time consuming and expensive. A couple will benefit by being patient with each other during the process. With good communication, understanding you might not always agree, and understanding your marriage is more important than the house you can maintain a healthy relationship and avoid divorce. Some suggest finding a couple who survived the home building process and taking them to dinner (they will have a lot of stories to share with you).
If You Buy It…
Pro: It might be less expensive: Buying a home is generally less expensive than building a home (of course it depends on the market). A traditional loan usually requires a smaller down payment than a land loan and a better interest rate.
Pro: It may be easier on your relationship: As stated above, moving is stressful for relationships. Buying a home is a very expensive purchase that brings a lot of expectations and emotions to the surface. A couple is always wise to communicate clearly and be patient with one another during the process. The process of buying a home will be quicker than building a home and may be easier on your relationship (with good communication of course).
Con: You may have to compromise: Making a list of priorities when house shopping is essential. You may need to compromise on smaller features in a home when buying an existing home. Perhaps there is a house in the perfect neighborhood, with great public schools, in your price range, with the right number of bedrooms but it’s a colonial and you don’t like colonial homes. You might have to learn to like colonial homes or at least learn to live in one without complaining (maybe that swimming pool in the backyard will win you over).
Con: Older major systems: Depending on the age of the home, the major systems might not be energy efficient. Additionally, the electric, plumbing, and HVAC may present major maintenance issues in the near future (a home inspection is highly recommended when buying a home).
Contact CENTURY 21 Prime South today! Let us show you how we can make your real estate transaction smooth and hassle-free.
