For most people, buying a new hosue is the single biggest monetary decision they will be faced with during their life. The range of choice available in today's market requires considerable investigation to know all the alternatives and to make an informed decision.
Buying an older style hosue and repairing it can, initially, appear to be a cheaper solution with the potential to add value with home improvements. Will this be the wisest choice? The full costs of ownership over the number of years you expect to own the home needs to be taken into consideration. After doing so, buying a new house may be a superior alternative.
Costly repairs and maintenance can add to the total cost of home ownership. If you buy an old weatherboard house and later discover it has structural damage from rotting timber you can be up for a considerable out of pocket expense. That's why you should always employ a home inspection service to do an assessment on the property. They will provide a detailed checklist of items that will require attention and you can better determine the restoration costs. After you have been through this exercise you may discover that buying a new house may be a better alternative.
The competitive environment for buying a new house has created a market where builders are offering potential "deal sweeteners" to win your business. Cash back offers on home completion, stamp duty paid upfront and compensation for rental expenses incurred during the construction of the home are some of the common pitches you will be confronted with. When you consider the potential savings afforded from these deals, buying an older style home or continuing to burn money on rent may not be as attractive as buying and owning a new home.
New laws and legislation can add to the costs of home ownership. Fitting old homes with fire safety equipment or having to erect a fence around an in ground pool can add to your upfront cost and time commitment. Buying a new home may be a superior solution. Builders who are subject to legislative requirements will compensate and factor these costs into the building construction and you won't need to make arrangements and spend additional money to comply with these laws.
New home and land packages offered by building companies can make buying a new home very attractive. Companies that build large volumes of homes can purchase land and materials at a much cheaper rate than the cost of individual construction. If you're buying a new home "off the plan" the company can pass on cost savings that result from economy of scale. You should investigate building company deals and determine if it's a worthwhile option to consider.