New vs. Existing
Explain both the pros and cons of new-home construction versus existing-home construction.
New-home Construction
Pros:
- Modern floor plan (open space, flex rooms, larger windows)
- Delayed major maintenance costs (such as roof or HVAC)
- Lower utility bills as a result of stricter building codes and newer energy-efficient products
- More upfront personalization Builder warranties on materials, workmanship and structural items
Cons:
- Higher upfront costs
- Special financing, such as construction loans, often needed
- Longer wait times
- Often farther from amenities, jobs
- Sparse landscaping
Existing-home Construction
Pros:
- Lower-priced options available
- Established neighborhoods
- Mature landscaping
- Move-in ready
- Value add-on potential with remodels and cosmetic updates
Cons:
- Outdated floor plans
- More repairs and maintenance
- Higher utility bills if products and materials are less energy-efficient
- Less personalized
- Competition from other buyers
©National Association of REALTORS®
Reprinted with permission
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