You are here: Home » Home For Sale » Are Brand New Homes more expensive?

Are Brand New Homes more expensive?

PHOENIX, AZ January 2014 – One concern about buying a Brand New Home is that “A Brand New Home is a lot more expensive than a Used or Resale Home!” If you only look at the sales price, a Brand New Home has a higher price than Used, but when you look at the total cost of ownership a totally different perspective is revealed.

Single Story New Home For Sale Phoenix

Review By Type Of Sale

Ultimate analyzed the sale of homes which listed on the Arizona Regional MLS that were between 1,601 sqft and 2,000 sqft. The homes were broken down into three categories:

1. Distress sales of Used Homes
2. Traditional sales of Used Homes
3. Brand New Homes

A quick glance at the table below confirms that the average purchase price per square foot for a Brand New home is in fact higher than the average purchase price for a Used Home.

Price Per Sqft New Homes vs Used

 

 

 

 

 

 

 

 

Another way to look at the data is the additional cost per sqft of a Brand New Home.

Purchase Price Chart

 

 

 

 

 

 

New Home Kitchen

 

 

 

 

 

 

 

 

 

 

 

Here they converted this to monthly payment difference for a Brand New Home.

PAYMENT

Why is a Brand New Home the best value?

It doesn’t take much to more than offset a larger monthly payment of $30 or even $160 when you are looking at the cost of ownership per month. Here are some of the offsets:

Energy Savings

A typical Brand New Home’s electric usage will be about 60% less than that of a 20-30 year old home. If that home consumed $250 of energy per month, these saving alone far outweigh the monthly difference in payments with a traditional Used Home sale and offset the major portion of the difference in a Distress Home Sale.

Warranty

The purchase of a typical home warranty is $360 per year which is $30 per month. When a Brand New Home is purchased a warranty is included at no additional cost.

Repair Cost

A 20 year old home can easily cost you repair costs of over $2,000 per year. Your repair costs with a Brand New Home will be extremely low for the first 5 to 7 years.

Brand New Homes are NOT more Expensive than Traditional Used Homes

The answer to the question is clear if you take in to consideration energy savings, home warranty and repair costs that resale homes can bring.

Don’t Visit A New Home Subdivision without a REALTOR on your First Visit!

Did you know that it can cost you thousands or even tens of thousands of dollars to visit a new home subdivision without a REALTOR on your first visit? The sales people in the models work for the builder or seller, who works for you? As a new home specialist, Donald Keys can guide you through the new home process, negotiate on your behalf and save you money on your new home purchase. Best of all his New Home Buyer Services is free of charge – you don’t pay a thing to have a full-time professional representing you. Let Donald guide you through homesite selection, structural options, upgrades, landscaping, design center, home inspection, contracts and negotiate the best price for you when buying a Brand New Home! To get a free list of New Homes For Sale in your area and price range, and discuss your new home buying plans, call Donald Keys professional REALTOR Since 2006 today at (602) 750-1744.

View all of the NEW HOMES for sale online

By visiting Arizona New Homes Sales at http://www.AZNHS.com Happy home hunting.

Two Story New Home For Sale Phoenix

 

 

 

 

Leave a Reply

Your email address will not be published. Required fields are marked *