Real Estate Investment:New Homes Save You Money In The Long Run

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When it comes to buying a new house, what are people really looking for these days? In times of economic crisis, unfortunately the amount of people buying has dropped considerably, with mortgages now becoming unattainable, equity in existing homes falling and the slump in the housing market, things are looking bleak.
But for those who can afford to make the move which would they choose, new homes or older homes which need a little more TLC to bring back up to scratch.

Whilst the housing market has slumped there are still many new homes which remain empty, so these are now offered at reduced prices in order for developers to recoup some of their losses rather than having their money lying dormant on a development site. However house prices are all relative in the current climate, seeing the fall in house prices across the market, which includes older style houses.

So why would someone choose a new home over an older style house? Here are some of the reasons for buying new. Although the initial spend might be slightly more for a new home the amount of investment after purchasing is reduced for many reasons. Old homes will generally require a higher percentage of maintenance in order to renovate or rejuvenate them. Houses which are 30 years plus will be suffering as we all do from a few cracks and flaws, maybe need a little touch up here and there to make them look pretty again, whereas new homes will be decorated throughout, freshly plastered and ready for your design touch should you wish to put your mark on the property.

Older homes may require new kitchens or bathrooms, these are one of the most expensive purchases you can make in a house but one of the most important, improving kitchens and bathrooms adds value to your property, and as they are probably the most frequently used rooms in a house they need to be fresh, clean and more importantly usable. New homes will almost certainly have new bathroom suites and kitchens fitted as standard with fresh new appliances, meaning they won’t have to be replaced for a substantial period.

New homes will also be more energy efficient, due to new regulations to reduce emissions, save energy and be far more environmentally friendly, this is a further way to save money, new homes will have brand new heating systems, insulation throughout, double, even triple glazing in some circumstances and in many cases under floor heating will have been installed. Because of the high levels of insulation the savings on fuel bills can be huge. One of the disadvantages in new homes are that the internal structure of walls are thinner as partitioning walls will be timber frame stud walls instead of being solid, this can cause a problem with noise.

Old homes, many would say win hands down on character, but may require a large amount of investment in order to bring their energy efficiency up to standard, which will mean perhaps buying a new heating system or radiators, installing or renewing double glazing, having lofts insulated and cavity walls insulated to provide the right amount of heat retention. All of these expenses can mount up especially when having to hire someone to do the work for you.

At the end of the day the savings which can be made from buying new are enormous, all homes have to have an energy rating these days, but not having to pay through the nose for it is always a benefit. If you wish to buy a house which is in effect an ongoing project which you wish to renovate yourself then buying older is the obvious choice but for those who want to move in with no DIY required, a new home is the only way to go.

Anna stenning investigates the advantages of buying New Homes as opposed to buying older homes which may require renovation.

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