First Home Facts

3 Things To Consider When Buying A New Home

Many people prefer buying a brand-new home over opting for an existing home on the market. A new home comes with a lot of benefits, but you still need to be prepared and do your due diligence if you're purchasing a new construction home that is for sale. If you take the time to think things through and evaluate your options, there is a very high chance that you will be extremely satisfied with your brand-new home. Before you sign a contract to buy a new construction home, make sure that you consider the following things:

1. Actual Cost of Your New Home 

Most communities marketing new homes for sale have advertising material that sales "starting from $XX". When you want to buy a new construction home, do not assume that the lowest price listed is what you will actually pay. Many factors can affect the price of a brand-new home, such as which lot you choose and any upgrades that you may want to add. When you tour a model home, always remember that those homes have a lot of upgrades, and a builder grade home with the same floor plan can look a lot different. Make sure that you speak with the home builder to find out more about how much the upgrades that you want will cost and what the final cost of your new home will be.

2. Homeowners Association Fees

New homes being sold today are often found in communities that offer residents a lot of amenities. Most communities have parks, playgrounds, and walking paths, while some also have community pools, clubhouses, and fitness centers. The cost of maintaining these amenities is covered through homeowners association fees. Homeowners association fees are typically charged monthly or quarterly, and they can vary in price from one community to another. When looking at new homes for sale, always learn more about the homeowners association fees and what they cover. It is very important to be able to comfortably afford to pay your mortgage and homeowners association fees assessed by your community.

3. Location

It is always a good idea to think about the location of a new home before making a purchase. Consider how far away your potential home is from freeways, shopping centers, and other amenities that you enjoy. You should also factor in how long of a commute you may have if you buy a particular home. In theory, a long commute may not sound terrible, but most people find that they don't enjoy spending hours a week driving back and forth between home and work.