To begin, we've listed the advantages of owning a new home over an existing one:
More amenities and greater convenience. Homes in newer communities feature the latest appliances, including dishwashers. Plus, they also provide safer and more conveniently positioned electrical outlets. Bathroom amenities include vanity's, large mirrors, medicine cabinets, whirlpools and/or hot tubs, and easy-to-clean, unstained bath tubs. All points to ponder when taking the leap. Safety Occupants of a new home are five times less likely to die from fire than their counter-parts in older homes. That's because many new homes come equipped with hard-wired smoke detectors on every level, complete with battery backup. Plus, electrical power systems in new homes are properly sized for the heavier electrical demands of today's homes, and wiring systems are less likely to cause fires. Circuit breakers have replaced fuse boxes, which can get overloaded, while interrupters for bathrooms, kitchens, and external outlets reduce the chance of fire and/or electrocution. Health The building industry has responded to the health risks of certain products by building with materials and systems that, overall, make new homes better for your long-term health. Asbestos, which has proven to increase the risk of respiratory disease, is no longer present in materials like shingles, pipe, cement board, roof tar, floor tiles, ceiling tiles, and insulation. Lead, another potential poison, is no longer used as an ingredient in paint or to solder plumbing. Formaldehyde emissions from particle board and hardwood plywood are nearly nonexistent in new homes. And, in an effort to minimize other hazardous emissions, urea-formaldehyde finishes on most kitchen cabinets are now baked or cured. These days, builders can even install systems to control radon gas, where it is a problem. This includes the installation of gravel and polyethylene film beneath basement floors and concrete foundations and vents. Older homes rarely have gravel in which to collect the gas, polyethylene film to retard movement of the gas through the foundation, or vent pipes. On the whole, mitigating radon from existing homes is generally far more expensive than building radon prevention techniques in new ones. Energy efficiency Thanks to better windows, more efficient heating and cooling equipment, better control of air infiltration, and greater use of insulation, homes built now can consume up to half as much energy as homes built prior to 1980. Older homes have a tendency to be drafty and less comfortable, while frost and condensation are more likely to appear on windows, leak, and cause deterioration of wood trim and walls - which are all expensive problems to fix. Lower maintenance Obviously, a new home requires far less maintenance because they're available with siding, windows, and trim that never require painting. While the wood used in new homes is typically made of pressure-treated lumber that has the ability to resist rotting and insect attacks. All of that information is great if you're in a market where a new home is more affordable than an old one. But what if you aren't? To answer that query, we've listed the advantages of buying an older home. What you see is what you get In older neighborhoods, everything's built. You can see what is around the corner and what services are near. You can see what kind of growth is occurring, and you can review comparable homes in the area. You can see what updates and additions are being done and what kinds of amenities neighbours have added. Ask your Realtor, or investigate the community on your own. What is a low-cost neighborhood today may change to the opposite overnight. A hot area can recover the full costs of renovating If you are shopping in an area that is becoming attractive to homeowners, you may find you can get between 80 and 100 percent of your remodelling costs back. Why not go for it? Afterall, who wouldn't love a new kitchen for $10,000 if you know the investment you just made could end up putting that money right back in your bank account when you do end up selling your home? Negotiate Because of the low margins on new homes, there is very little opportunity for negotiation. Builders are more willing to wait to get the right price when it does sell because they have more leverage. Whereas the average homeowner is probably more motivated, and may be more willing to deal on issues such as possession date and repairs. This situation can provide negotiating leverage to get repairs completed without you having to incur the costs on your own. Affordability Older homes are competing with clean, fresh looking new homes, and very few go on the market needing paint and other cosmetic touches. Although you won't have as many amenities, you may have more space to make improvements. Make them as you go - and as you can afford them. Hidden costs In older neighborhoods, you won't be surprised by costs that aren't covered with a new-home purchase, except unexpected repairs. Landscaping is already complete, but in many new homes there's none. If you want grass or trees and bushes, you have to add them yourself or have the builder add them, which increases costs. Also, many features in model homes are not standard when you're having yours built. Make sure you know what is included and what isn't, as the extras could be costly. And be aware that moving into a new community may also include a fee to a community association which could add to your monthly payment. From the costs of new and older homes in your market, to the amount of time you want to spend on improvements, weigh all your options and soon you'll know which is the better investment for you. Source: http://www.insiderealestate.ca | 
