When searching for a home, buyers are presented with two options—investing in new construction or an existing home. How can you determine which will work best for you? As design and building experts, here we share important industry trends and home buying insight to help in making this important real estate decision.
The market for new home buyers continues to be brisk, and according to the National Association of Home Builders Housing Trends Report for Q1 2021, there’s been a dramatic uptick in demand for new homes. In fact, 42% of today’s buyers are looking for a newly built home—up from only 24% a year ago. While interest among all age groups is strong, Millennials outpace all others for seeking new construction (56%). In the Northeast—in areas like the Hudson Valley, Orange County, and Upstate New York—56% of buyers prefer a new home.
What’s driving the new construction boom? Today’s buyers know that new homes are created with newer building materials and better insulation, so they’re more energy efficient than existing homes. They’re also built according to the latest building codes and standards, offering peace of mind. The floor plans in new homes feature layouts that reflect the way we live today, and buyers can make design choices to better suit their needs and aesthetic. In new homes, state-of-the art appliances offer the latest features, and they also come with active warranties.
For buyers looking to manage costs, new construction offers move-in ready convenience. A previously owned home may require renovations to update, change, or correct mistakes or cosmetic issues. And new construction lets prospective buyers choose their community. When you can select a thriving town close to schools, shopping, transportation and entertainment, new construction is a great real estate investment, too.
Purchasing a home—whether you’re a first-time buyer, need more space, or are downsizing—is a big decision. By understanding the benefits of new construction versus purchasing an existing home, you’ll be a savvier home buyer. And when you’ve gotten the quality, convenience, customization, and location you desire, your house will truly be a dream home.