Brand-new houses are tempting—what’s not to like about being the first one to live in a home? But chances are good that when you buy a home, you’re going to be buying a pre-existing home instead. Over ninety percent of home sales in the United States are for homes that have had previous owners.
Despite the appeal of a gleaming new house, there are some real advantages to buying an existing home. But there are also some important potential downsides to consider. Here are some things to think about as you look for the home that’s right for you.
An older home that has been well maintained can be a better investment than a home that is ten or twenty years newer. This is especially true if the older home has recently had renovation work done. Carefully consider the value of what has been done to the home rather than just considering the year it was built.
Upgrades to existing homes are typically worth less than the same upgrades in a new home would be, so you’ll pay less for exactly the same features. Additionally, upgrades on new homes are limited to whatever a particular homebuilder is featuring at the time, since most homes in a given neighborhood are very similar. A search of existing homes makes it more likely that you’ll find exactly what you’re looking for, like quality built-ins or ornate woodwork.
Additionally, you are more likely to have room to negotiate on an older home than you are on a new home that is surrounded by many similar homes. But homebuilders may be able to throw in some upgrades on a new home, and you’ll also get a warranty, which may save you significantly.
Landscape and Neighborhood
The yards of older homes usually have a lot more character than the yards of new homes do. Previous owners have often done their own unique landscaping, and such yards usually have mature trees and shrubbery. Yards of new homes often come with nothing more than some seedlings, leaving much of the landscaping to be done by the home’s first owner. You are also likely to get a larger lot size with an existing home than you will with a brand-new home. And older homes tend to be in more established neighborhoods with nearby grocery stores, restaurants, and post offices.
A new home has trendier layouts, which might be just what you want. On the other hand, you may want more options than whatever is currently in style. Do you need a bigger kitchen, or would you prefer an oversized master bath? Do you want a walk-in closet, or would you prefer a breakfast nook? Make sure to consider your layout needs and be willing to look at older houses that might be able to accommodate you. An important note on older homes: make sure that your existing appliances will fit where you want them to—the home you want may not have been built to accommodate your oversized fridge, for example.
Of course, older homes certainly have their share of potential problems, so make sure you consider these things:
☐ Structural integrity (large cracks in the foundation are a big warning sign)
☐ Draftiness of windows and doors (new homes are much more energy efficient)
☐ Age of roof
☐ Problems with dampness or mold
☐ Dangers of asbestos, if you plan to renovate
☐ Dangers of lead-based paint in pre-1978 homes
☐ Electricity and plumbing systems’ compliance to current safety standards
☐ Age and past maintenance of furnace, air conditioning system, and water heater
Remember, you can always do renovation work on an older home to make it just what you’re looking for. Just make sure that you are willing to do the required renovations. And make sure you get quotes for the work before you decide that it’s the home for you.
My husband and I are looking at a house that has an HOA, but we never lived with one before so we are curious to know if there are benefits to having one. I liked how you pointed out that one good thing is that they will provide a landscape company to help with the yard work. It will be great not having to worry about spending all of our time doing it, but having it still look nice.
Very nice love the colors
I would love to have a tiny home to live in! It seems more manageable and affordable. The Hiatus in Oregon is beautiful. I love the wood floors. can you put a tiny house on any property? Thanks for the inspiration and information!
I have a home in Stamford CT and I am looking for someone to assume my mortgage. Not sure if you are interested in something like this based on what I saw on your website. Eric
Is it possible to buy a first home with a 580 credit score? The house is in Groton ct and is only $90,000