How to Buy a New-Construction Home

New Home ConstructionWe’ve given you advice in the past about what to do when buying a home, and we hope you put that advice to excellent use since then. However, that was when we were dealing with homes that were being sold by people who resided in them before you started looking. Now, we will be focusing on brand new homes that haven’t yet had owners.

Note – This article deals with new-construction homes that are built as part of a housing development that has similar homes, rather than focusing on someone purchasing a plot of land and constructing their own home with an independent contractor.

When looking into purchasing a newly constructed home, you have to realize that some of the homes in the development may not be completed as quickly as others. Because of this, you may not have neighbors right away; but, more importantly, you should realize you’ll be living in the middle of the construction process as the rest of the development gets built. Keep in mind the construction will be during the day, so there won’t be much noise to contend with if you’re out of the house at that time. But, if you think you or someone else in your household will be home during the day and won’t be able to contend with the noise, you may want to wait until near the end of the construction process to look for a home in that development. However, there’s the possibility of receiving a better deal from the builder if you buy early into the construction phase, so if you’re able to handle a few drawbacks, you may want to go with this option.

When you’re preparing to purchase a newly constructed house or unit, there’s a high possibility you won’t get to see the actual property, but rather a prototype or model that has a similar floor plan to the home or unit you plan on buying. You have to realize that what you’re seeing may not be 100 percent of what the finished property will look like. Designers and developers often use techniques to make the model home look bigger than it will turn out to be, so go into your search knowing the finished homes may be a little smaller than what you saw in the model. Knowing this, you will have a better idea of what you will be able to fit in your house, and you won’t have to worry about lugging furniture into your home, and then realizing there isn’t enough space for it.

When the development is near completion, the builder will most likely put the model home on the market. If you want to wait until the end of construction to purchase a home, this will be the one to go for. Because this home served as the model that was showed to entice potential buyers, the property will already be outfitted with excellent features and upgrades, and you know the property’s size will meet your original expectations. In the end, I’m sure these factors will make waiting until the end of construction very worth it, if you decide to do so.

Buyers also should decide whether or not they want to be involved with the interior choices of their potential new home, while also considering the timeframe in which they want to move into their house.

“If the construction has already been completed, buyers will not have the option to choose style or amenities, such as tiles, fixtures, colors, etc.,” said June Stokes, New Jersey regional manager for Better Homes and Gardens Rand Realty. “If they want to be involved in choices and details, they should look for a home being marketed in the pre-construction stage. However, the buyers have to keep their timeframe in mind. If they are looking to buy a high-end home, the construction process could take six to nine months to complete.  A smaller home, of course, would take less time, but that could still mean a six-month wait.  If the buyers can’t wait and need to move in sooner, they should stay away from the pre-construction option and go for the house that is already complete.”

You also must take a look at the surrounding homes and neighborhoods. When choosing a home in a new development, you have the opportunity to pick the lot and location for your property; but, before you do so, you may want to take a few minutes to imagine what the rest of the neighborhood will look like when it’s completed. You have to consider factors such as the view you will have, how close your house will be to your other neighbors, and whether or not the development will be in close proximity to a questionable neighborhood. Use some time to explore the area both inside and outside of the development so you have a clearer vision as to what the space around your home will be like. Although inspecting the area inside the development may be a little difficult if there hasn’t yet been much construction, you should inquire with the developers and designers to see what you can expect.

Seeing as national builders want to meet their sales goals as the end of a quarter draws near, they will become more driven with their incentives in order to attract buyers. November and December will also be an excellent time to purchase a new-construction home because many people will be busy with their holiday preparations and won’t be able to focus on the housing market. By the time the spring arrives, a new development will most likely have many potential buyers visiting the homes, hoping to find one they like, so you’ll probably want to beat them to it. If you would like a great gift during the holidays and are eager to buy a home, this is certainly one of the best routes you can go.

When considering a new-construction home, there are several important factors you have to think about before you start the buying process. I know you’re picturing how nice it will be to live in a house where no one has ever lived before, but you also have to realize there’s a little more work you have to do to make sure you get what you’re looking for. If you’re willing to put in the extra time to see that your brand new house meets your needs and desires, you will definitely enjoy your home.

To learn more about Better Homes and Gardens Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

 

Sources

www.inman.com

www.huffingtonpost.com

www.hgtv.com

www.dailyfinance.com

www.personalfinanceutopia.com

Posted on February 12, 2016 at 11:50 am
Rand Realty | Category: Rand Country Blog | Tagged , , , ,