If you are having trouble finding “perfect home” OR if you find one and later realize its gone out of market OR immediately go off the market then You’re not alone.
According to National Association of Realtors® chief economist, Lawrence Yun, “The heavy number of new listings is increasing, but they are quickly taken out of the market from heavy buyer competition,” he says. “More homes need to be built.”*
Lets discuss Pros and Cons of New Construction
There are three ways to go about purchasing new construction:
- Buying a house on spec
A spec home is a property that’s already designed, or perhaps even built, with everything decided by the builder prior to completion.
Pro: Shortest development time since everything’s already been decided.
Con: No say in design prior to purchasing
- Having a semicustom home built
A semicustom home is a property that is nearly completed by the builder with select decisions for the buyer.
Pro: Some choice in design (set palette of finishes and upgrades)
Con: Not move-in ready
- Having a home custom designed (New Properties in New Jersey)
A custom home is a property that is designed by the buyer from the beginning before the builder begins.
Pro: You get to decide everything including floor plan, landscaping and finishes and more.
Con: Longest development time (If you’re in a hurry, this plan might not be for you.)
No matter which type of new construction you decide to go with, we recommend researching your potential neighborhoods and builders. And if you’re looking at developments, you’ll want to make sure to inquire about homeowners’ association (HOA) fees and rules.