Building vs Buying a Home in the 2023 Housing Market

In the last few years, the housing market has been pretty interesting. While there are many beautiful homes for sale in the area, there are also many new home buyers considering building or buying a new-construction home instead. This gives you three great options in the quest for your dream home, and I’ll be here to help you every step of the way. 2023 is a strong year for new homes, so let’s explore the possibilities of building vs buying together.

A Market for Home Building

New and developing neighborhoods give home buyers an interesting choice: to build their new homes rather than battling the housing market. Building a new home is often comparable in price while offering an abundance of personalization opportunities.

Which is best for you? It depends on your budget, long-term plans, and even where you want to live. To buy or to build is a balance between what is available and the experience you want to create. Who would build if there was already a dream house on every corner? In the current shortage, however, anyone looking to secure a dream home has good reason to build it from the ground up.

Let’s take a closer look at the pros and cons of buying vs building a home.

Buying an Existing Home

Buying a home is the most typical and time-efficient way to become a homeowner. However, the current housing market has been less than welcoming. Especially for first-time homeowners ready to seek affordable starter homes.

Pros

• Move-in ready
• Part of an established neighborhood
• Fully grown trees
• Sometimes less costly

Cons

• Older materials and out-of-warranty
• Hidden or long-term maintenance issues
• Sometimes in neighborhoods with driven-up prices

Buying an existing home is the typical route to take if you are preparing to become a homeowner. These homes have been built for some years and enjoyed by one or more previous families. An existing home has all the working amenities, but may also have existing maintenance problems and the materials of the house are usually past their warranty date.

Existing homes can be found “at a steal” for lower prices, but watch out for lemons and maintenance sinkholes. Established homes can also exist in neighborhoods with the prices driven up. The right time to buy is often based on availability in your local market, and most markets are seeing high prices and short supply. If you find your dream home on the market with ease, congratulate yourself on your great luck and skill, and then send the inspector. However, if your dream house is nowhere to be found or there are none of your favorite styles and size available, you have every reason to build the house instead.

Building a New Home

Building a new home begins with a piece of land and a design. With the help of contractors and specialists, a new home is brought to life. Buyers can customize an affordable design to achieve both a “starter home” and elements of a “dream home” in a single satisfying decision.

Pros

• Complete personalization and control
• Choose your location and lot position
• New materials and full warranties
• Modern features and energy efficiency
• Control your budget

Cons

• Waiting for completion
• Greater decision-making stages
• More complex mortgage process
• Recent supply chain delays

Building a new home puts home buyers in complete control. You decide your builder, your floorplan, your exterior style, and interior features, along with every paint color, surface, and fixture. You can also enjoy the latest construction techniques, materials, and modern home features which are likely to create a more energy-efficient home.

Building a house is also advantageous in today’s housing market compared to buying an existing home. If you have a nice plot of land to build on, this could be a great choice. Of course, building a home also involves a delay in construction and a more complex process for both securing a mortgage and making all the final decisions. So you will need to be ready to tackle this new set of challenges.

Mortgages for Building and Buying

Everyone knows that you can get a mortgage to help you buy a house, but mortgages can also cover the cost of home construction. With a comprehensive contractor’s quote, you can predict the cost of your home construction and, in many cases, purchase the land with the same loan. Explore the building and buying mortgage opportunities with Atlantic Home Mortgage to learn about your options.

Buying or Building the Right Home With Atlantic Home Mortgage

If you are seeking a beautiful new home constructed on the lot and with the style of your choice, we can help. Whether you decide this is the right year to buy a new home or build from the ground up, you count on my deep well of local knowledge and real estate network to ensure you wind up in the perfect home. Contact us today to explore mortgage options for an existing home or for land and construction costs.