New House or Old House: Which is the Better Buy?

If you’re looking for a home right now, trying to beat the April 30th tax credit deadline for home purchases, chances are you’re considering a number of factors you want in your new home. Most of these concernes can be categorized into two groups – an older home, or a newer home. It’s important to consider the pros and cons of both before scanning the hundreds of homes for sale in order to find your “perfect house.”

Old Houses: Generally speaking, older homes have more charm.  By older I mean 50-100 years old.  It’s in these homes that you usually find detailed crown molding, solid building materials, and intricate woodwork.  Older homes also often have a more distinctive look than new homes – as newer homes generally look like cookie cutter homes if the neighborhood isn’t mature yet.

However, with these great features comes the sacrifice of open floor plans, spacious closets, and newer windows/electrical wiring.

Assuming the home is still in its original floor plan, the closets are usually much smaller (goodbye walk-in closets).  And if the kitchen has not been updated, there probably isn’t a dishwasher installed or even room for one in between the cabinets.  Lastly, depending on how old your home is, each room may seem smaller because of a closed floor plan.

So if you prefer the character and construction of older homes, keep in mind that there may be more hidden expenses such as necessary electrical updates or a new roof to budget for.

New Houses: If you have the option to pick from newer homes of say 0-10 years old, then you definitely have some benefits older homes cannot provide. The most obvious perks are – you won’t have to worry about the heating and cooling system, condition of the roof, safety of the electrical system (many older homes don’t have grounded wiring on all the outlets), or the age of the plumbing.

Beyond those basics, newer homes are also usually more energy efficient with better insulation, windows, and heating and cooling system. The closets and rooms are generally bigger, and the floor plan is much more open to create a more spacious feel.

However, newer homes often cannot provide the distinctive charm older homes have. In fact, many newer subdivisions have homes almost identical to one another. Many homeowners also value the historical component of their homes, as many older homes represent a certain style of an era.

So now you can decide which type of home suits your needs and desires better, and begin eliminating listings that don’t fit the bill. Shopping for a home can be an overwhelming process, but very rewarding once you have considered all the pieces and chosen the perfect home.