So you’ve decided that today’s competitive home prices and historically low interest rates are too good to pass you by and that it’s time to buy! You have made the emotional decision and now it’s time to make the financial decision. Ask yourself, “What’s the true cost of purchasing a new home in Colorado Springs versus a used home in Colorado Springs?” There’s so much to consider: What neighborhood? What included features are important to you? Two-story or ranch style home? What’s type of loan is best for you? Should you use a Realtor to assist in the sale of your existing home? Should you purchase a brand new home or the used home around the corner? Whether you’re a first-time homebuyer, or looking to purchase a move-up home, or you’re an empty nester looking to right-size into a smaller maintenance free-home, it’s important that you look at all options and calculate the true cost of home ownership.
A new home is more comfortable and energy efficient. Building codes have mandated higher energy efficient standards according to Kevin Morrow, senior program manager for the National Association of Home Builders’ green-building programs. “The International Energy Conservation Code requires about 17% more efficiency than it did three years ago.” says Morrow. He continues, “New homes tend to have a tighter-sealed building envelope, this helps prevent conditioned air — cool air in the summer, warm air in the winter — from escaping. Features that create this envelope include higher-efficiency insulation, doors and windows.” All of this energy efficiency translates into a home that’s just more comfortable to live in than a used home.
A new home is more stylish and allows for personalization. New homebuilders allow homebuyers to personalize their living spaces to their lifestyle. New homebuyers have the excitement of selecting a home site, floor plan and lifestyle options such as flooring, kitchen options, paint, exteriors, etc. “New homebuyers have a tremendous amount of flexibility in creating the end product – creating a product that is unique to them,” says Randy Deming, CEO of Campbell Homes in Colorado Springs. “It’s just impossible to have this many choices when you elect to purchase a used home over a brand new home.”
The more energy-efficient components that are included in a home, the lower the cost of utilities. New homes include not only energy efficient rated appliances (high-efficiency stoves, refrigerators, washing machines, water heaters, furnaces or air conditioning units) but the necessary energy efficient systems to operate them. Sure, used homes can very easily be updated with energy-efficient appliances but what’s really necessary to make these products work more efficiently is the system that’s behind the walls that makes them optimally operate with less energy consumption and costs.
New homes perform better than existing homes, which have experienced years of wear, tear, and neglect. Purchasing a used home is filled with uncertainties. Frequently buyers will purchase a previously owned home planning to simply repaint the walls and replace the carpet to find out the home requires significant and costly repairs behind the paint and under the carpet. A new home provides peace of mind and reduced out of pocket expenses because it’s “new”! Along the same train of thought, today’s new homes are designed to minimize out-of-pocket homeowner maintenance costs and time. Deming points out, “Today’s builders select components that minimize costs and customer call backs which ultimately benefit the homeowner with better performing homes. As new homebuilders we try to anticipate overall home performance five to ten years down the road. We make conscience decisions to use name brand manufacturers and products that are tested for ultimate performance and reliability and come with an extended warranty. When you purchase a used home, you just don’t know the home’s history.”
While home sellers can offer the option of purchasing a third party home warranty like ones offered in Colorado by Blue Ribbon Home Warranty, a new home builder provides a warranty at no additional cost and agrees to take care of the necessary home repairs for a specified period of time which saves homeowners time and money.
New homes meet the NFPA 72, National Fire Alarm Code of a hard-wired (with battery backup) smoke detector in every bedroom, just outside every sleeping area, and on every level of the home. Additionally, new homes include carbon monoxide detectors and fire-safety features such as fire retardant carpeting, insulation, and exterior products such as fire retardant stucco and roofing materials.
Many new home builders are offering to pay finance fees, reduced interest rates, costs associated with the sale of a buyers existing home, finished basements, and much more. Individual home sellers often have an emotional or financial attachment to their property that makes it nearly impossible for them to financially compete.
Finally, new homebuilders are able to offer significant mortgage finance savings than individual home sellers. Homebuilders, in many cases, have professional relationships with their own or outside lending institutions that allow their buyers to take advantage of reduced points, lower closing costs, or lower interest rates.
According to Lindsey Nigon, Director of Marketing for Cordera, “New homes are most often located in master planned communities that are thoughtfully designed where you can live, work, play, shop, worship and attend the best school all within close proximity to your home.” Additionally, Nigon points out that homes located within a Master Planned Community are often a better financial investment as one’s home investment is protected by covenants and design guidelines that maintain the overall appearance and integrity of the community.
Shelley La Judice, owner of The Marketing Group and marketing representative for new home builders and developers across the nation, says “New homes in new home communities just make more sense! Families who purchase brand new homes in master planned communities have the opportunity to take advantage of amazing amenities including state-of-the-art recreation facilities, neighborhood parks, golf courses, hiking and biking trails, the best new home builders, and new schools that offer a stellar learning experience.” You just can’t find all of this in a neighborhood that’s twenty years old.
Stop dreaming and start living! If you are ready to seriously talk about the true cost of purchasing a home and take advantage of the best time in the last fifty years to purchase a new home contact Campbell Homes, a new Colorado Springs homebuilder, today.