Property Match-Up: Buying a New Home vs. an Old Home

homeWhen purchasing a home, whether a new or old one, there’s no single size that fits all. It pays big time to understand the major differences when buying something new versus something old.

Home Features

A new house will be 100% clean, and an old one will be, well, old — and not so clean. In a new home, everything is in working condition, whereas you may have to spend some cash on renovating an old home to make it feel “yours.” Additionally, a new home will come with the latest and more environmentally friendly features that will help you save money due to lower utility bills and potential tax breaks.

Buying and Funding

Utah Loan Pros says with the right help, buying a house is easy. But first, decide on the property you want. When it comes to taking out a home loan, it’s hands down easier to buy a new house.

This is especially true for new developments, since builders employ their own financing people to educate you about your various options. They want you to have funding to buy a property in their development.

You have less competition since you can choose from plenty of vacant homes in a new development. The U.S. Department of Housing and Urban Development also offers resources to help buyers maintain and keep their property.

Is Location Everything?

Depending on how you look at it, the main downside of buying a brand new house is the location. New homes are not in the most ideal places, because almost all central locations already have establishments and older homes. Newer properties are usually in an area dubbed as “trendy” or “upcoming,” or in the town’s outskirts.

With an older home, however, you’ll be in the center or very near where the action is. This generally means the home’s value will hold better even during a crisis, considering the location.

Some Final Words

Setting aside the price difference — a new home being more expensive than an old house — it’s wise to consider both options and weigh the pros and cons. Just make sure you can afford the purchase, properly inspect the home and the location, and don’t be afraid to shop around for the best deal.