Seller’s you are missing out on this crazy spring market! No inventory means more building. We aren’t complaining because we do BOTH! Blackwood is a full service Home Solutions Company. Blackwood builds, lists and sells homes for customers. Interesting thing is the market is always changing, which brings the simple concept of supply and demand into play. You could have a stale market of existing homes that are not making some of your buyers happy and they finally decide to build, or there can be a surplus of Homes on the market for your buyers (lucky you). However the pros and cons stay the same with Building vs. Buying.
Building may sound like a headache to most or may have ‘horror stories’ in a lot of peoples’ experience. Don’t be afraid. There are horror stories and headaches with buying existing homes too. Especially when people cheap out and go with the ‘Wal-Mart’ of builders. People think they are getting a great deal with some builders but what they don’t know is that these track homes are low quality because they are in the business of quantity not quality. You are one of many that are building in their tracks and they are not interested in tending to any special requests-at any small or reasonable cost at least. That bonus room or man-cave you always dreamt of can wait till a later day right? No. It may cost you a bit more for a private builder but at least you get quality, personal attention to details that you want and you are in control!
Now to break it down even further
The average cost of buying a single-family house is $223,000 for the average 1,500 square-foot home built before the 1960’s, which comes to about $148 per square.
Obviously this can range widely depending on where you live, but let’s use this as an example.
If you build a new home, the latest average is about $289,415. That may seem like $66k more, because it is, but in that you get so much more. More spacious with an average of 2,467 square feet, so the cost per square foot is $103 per square. When building a home you get what you want and pay for. An existing home may have almost everything you want but you have to re-finish all the floors, or add an extra bathroom, etc. Of course if you find an existing home with everything that you want then more power to you~
If you buy an existing home there is obviously more wear and tear on it being an older home meaning it is nearing replacement points, such as the roof, A/C, Furnace. When you build a home, everything is new and will be under warranty for the next 10 years, as builders offer new construction warranties generally. With that being said your maintenance outlay for at least a decade is 0$.
If you are a landscape buff there is the con of not having mature landscaping in a new build home. However you could inherit an existing home with a questionable old tree, or even worse the dreaded cottonwood tree. Either way you will spend money on a landscape design for a new build or maintaining the old in an existing.
Energy Efficiency has been of growing importance to buyers these days. Builders are more conscious of that these days and with existing homes, as you probably noticed, new replacement windows are a driver for the purchase of a home, as they can grow to be an expensive fix.
Buying an existing home there is context to your purchase, such as comps, neighboring houses, and pre-established area. Knowing where the market can go in a new track is always a dicey bet. The same does not apply to buying land outright and building where you want, however. This is where it is important to use someone that doesn’t just build homes, but someone that sells, designs and builds them. Chances are they are most familiar with the ins- and outs of the market and surrounding areas. These are some things to consider when between building and buying.
Blackwood provides clients with their specific needs in a build. We are not locked into using one cabinet vendor, tile supplier, or exterior materials. We are in the business of making our customers dream home, not shaping their dream into what’s easiest for us. After all you have to live in it~