For either first time or experienced homebuyers, the question that most frequently comes up is whether to buy a home or build a home. With so many homes already available on the market and seemingly endless custom home options, this can be a difficult decision to make.
With so much riding on the decision to buy or build, there are a lot of considerations to take into account on whether to build a custom home or buy and potentially renovate an existing home. Is building a new home right for you? Let’s take a look.
Cost Considerations
Before we dive too much into the buy vs. build debate, it’s important to consider the cost differences between the two options. Generally speaking, building a custom home can cost upwards of 20% more than a similar existing house. While the reasons for this are many, the bottom line is that custom homes simply cost more to construct.
Not only does construction cost more for new homes, unless you already own land or are looking to build in a development, then purchasing land comes at an additional cost. That said, construction alone isn’t the only thing you have to consider when debating on whether or not to build a home. Access to utilities, local codes, and other services can sneak up and add costs that you otherwise may not be considering.
Timing Is Everything
While many people dream of owning and building a custom home, time may be a major deciding factor. If you’re looking a long way down the road, then planning for drawing, construction, and moving time may not be as big of an issue. However, if you need to make a quick move, then building may very well be out of the equation.
In general and depending on where you live in the country, you can expect a new construction project to last somewhere between 6 and 9 months; however, depending on where you are in the planning and architectural phases of your build, custom homes can stretch into the 24-month range. That said if you’re planning on building, anticipate that the process may take as much as a year or more.
The Joy of a Custom Home
No matter how perfect an existing home may seem, there will always be little things that aren’t quite perfect about buying a home. This is the beauty of building a custom home in that you can make it 100% uniquely yours. Everything you love about homes you’ve seen, lived in, or rented can become a reality in a custom home.
Custom homes do have a slight downfall in that if you’re building exclusively for your family or a specific purpose, then re-selling the home may come with some challenges. Not that this should be a deterrent to building, but you might keep utilitarianism in mind through your planning and construction process to give the home the utmost re-sell value.
No matter which path you choose, reach out to Tidewater Mortgage Services, Inc. to help every step of the way!
