Key Considerations When Buying a New Construction Home
What should you consider when looking for the right home to buy? Here are a few tips on how to navigate your house hunt to find the right neighborhood and builder for a good new construction home purchase.
Research the Builder’s Reputation
First, be sure to investigate the builder’s reputation. Check out previous homes they have built and look for online reviews or testimonials that attest to the quality and long-term durability of the homes they build.
Understand Warranties and Guarantees
New construction homes often come with many great warranties from manufacturers, and possibly guarantees of quality workmanship from the builders. Know what protections you have when buying a new construction home.
Inspect the Construction Quality
Just because it’s brand new doesn’t mean there aren’t flaws. Always bring in a home inspector to confirm the construction quality and the quality of all included features.
Assess the Location and Neighborhood
Determine if the developing neighborhood is the right location for you. Consider nearby roads, proximity to good schools, and the distance of your commute. You may also consider whether the neighborhood park is finished and whether ongoing construction on other new homes will bother you.
Is a New Construction Home Right for You?
Among the many different types of home-buyers, some will love a new construction home while some are looking for features easier to find in an older home. Do you want a home with all the latest features? Do you want to be one of the founding members of a budding HOA? Are you happy with the location, and at peace with the fact that more homes may be constructed nearby? A new construction home may be the perfect fit for you.
However, if you’d rather live in an established neighborhood, if you prefer historic properties, or if you require a location more central to your city’s urban areas, you may prefer an older home. It’s important to align your home choice with your lifestyle and priorities. Choose the housing market opportunities that best suit the life you want to live as a homeowner.
Financing and Affordability of New Construction Homes
When buying a new construction home, financing is often a little different. The home does not have an established market price, yet, so you will need to rely on an appraisal from your lender combined with the asking price from the developer. Developers will sometimes connect home buyers to financing options tailored to new-home purchases.
You can also plan to buy a new construction house and save up for a couple of years. Because neighborhoods are developed over time, you can book a house that is still being built, or yet to be built to get your financing ready along the way.
Resale Value and Investment Potential
One of the best things about buying a new construction home is the investment value. New homes offer a higher long-term value because no aspect has had time to wear out. At the same time, the neighborhood will become more valuable over time as families and local businesses move into the area.
Buying either a family house or an investment rental house are both strong financial strategies for new construction homes.
Explore New Construction Home Opportunities in Denver
If you live in or near the Denver area, many new construction home neighborhoods are currently under development. Discover the perfect location and ideal builder to create your dream home and be the first owner to enjoy every feature. When choosing, be sure to weigh the pros and cons in the context of your circumstances, lifestyle, and preferences.
If you’re ready to start house-hunting for new construction homes or in established Denver neighborhoods, the first step is to work with a knowledgeable local real estate agent who understands your dream. Contact Dyllan Nguyen today!