A Newly Built Home May Actually Be More Budget-Friendly

A Newly Built Home May Actually Be More Budget-Friendly

If you're in the market to buy a home, here's some exciting news: newly built homes might be more affordable than you think. Contrary to the common assumption that new homes are pricier than existing ones, exploring new home construction can sometimes offer more cost-effective options, especially today. Hard to believe? The data backs it up.

Here are two key reasons why working with your agent to explore new home construction could lead to finding a more budget-friendly option.

Reason 1: Lower Median Prices for Newly Built Homes

The median sales price for newly built homes is currently lower than that of existing homes. This might seem surprising, but the latest data from the Census and the National Association of Realtors (NAR) confirms it:

Why is this happening? Builders are focused on creating homes that meet current market demands. Presently, there's a significant need for smaller and more affordable homes, so that's what builders are producing. Additionally, there are more newly built homes on the market now than in recent years, motivating builders to sell their existing inventory before constructing additional homes.

Reason 2: Attractive Incentives from Home Builders

Another major reason to consider a newly built home is the range of incentives many home builders are offering. Since builders are eager to sell their current inventory, they are providing special deals to entice homebuyers. As HousingWire explains, this trend is becoming increasingly common.

“Overall, the usage of sales incentives was up to 61% in June, compared to 59% in May.”

One of the most appealing incentives currently is that builders can offer competitive mortgage rates. Additionally, they might cover closing costs or provide free upgrades, making a newly built home an even more attractive option.

Why This Matters to You

Considering a newly built home could unlock opportunities you hadn't previously considered. With competitive pricing and attractive incentives, you might discover that a brand-new home is the most appealing option for you.

Bottom Line

Buying a home is a big decision, and it’s essential to consider all your options. By looking into newly built homes, you might find a perfect fit for your needs and budget.

Let’s explore the possibilities together. If you have any questions or want to see what’s available, feel free to reach out.