New Build vs Pre-Existing

[jabjab]

I live in the NW and was looking to downsize in square footage (from 2300 to 2000ish). I was looking in my existing neighborhood new builds and to get into something smaller I'm looking at spending at least 50k MORE.

Does this make sense? If you're looking at keep the same finishings as the preexisting home and carry it over to the new home I'd think it would be a lot closer. Both lots are backing on to green space and a few min drive from each other.

[killramos]

In my experience ( from my last home purchase) buying new didnt cost any more than buying used. The difference was you got more modern finishings and the house was in pristine condition.

People don't accept that houses depreciate with time and their list prices reflect that attitude.

[Kloubek]

I found the same. Before we built in Kincora several years ago, we first looked at used houses. Granted they were more populated areas (like Citadel), but the houses were small; 1400 sq feet or so. We ended up spending 25k less and building, and now we have a 1900 sq foot house with warranty and everything new and modern.

The only caveat to the whole thing is that a new house is generally on the outskirts of town. And certainly, living way up in the North can be a pain sometimes.

[BerserkerCatSplat]

Originally posted by Kloubek

The only caveat to the whole thing is that a new house is generally on the outskirts of town. And certainly, living way up in the North can be a pain sometimes.

That's really the key. You can get a new house for around the same as an existing one, but you're almost guaranteed to be living out in the suburbiest of suburbs and it will be many years before the services (including transit) in the area catch up to the residential spaces.

[avishal26]

Originally posted by killramos
In my experience ( from my last home purchase) buying new didnt cost any more than buying used. The difference was you got more modern finishings and the house was in pristine condition.

People don't accept that houses depreciate with time and their list prices reflect that attitude.

+1

Originally posted by BerserkerCatSplat


That's really the key. You can get a new house for around the same as an existing one, but you're almost guaranteed to be living out in the suburbiest of suburbs and it will be many years before the services (including transit) in the area catch up to the residential spaces.

And on top of that, you usually have to do your own landscaping which adds to the cost.

In general, I've noticed slightly older houses (less than 5 yrs old) are a slightly better buy because they're still kinda uptodate and have landscaping done already. A new home with new finishings may cost the same, but no landscaping and putting up with dirt around your house for atleast a year. BUT - you have 1 yr warranty on everything.

[ercchry]

why the hell would you go through all the related costs of buying and selling to lose 300sqft and stay in the same area?

[gwill]

There is always a small premium to go with new.

[03ozwhip]

I just downsized from 3000 sqf 2 storey, to a 2200 sqf bungalow and you notice that 800 sqf difference. 300sqf probably not so much, especially if it's a 2 storey, bungalow, I wouldn't do it.

[HiTempguy1]

Originally posted by killramos

People don't accept that houses depreciate with time and their list prices reflect that attitude.

I don't know if that is accurate. The house does indeed depreciate, but the price of the land is what truly has value and appreciates. Hence $mil+ infills and tearing down perfectly good (if not old as balls and outdated) houses.

[jabjab]

Originally posted by ercchry
why the hell would you go through all the related costs of buying and selling to lose 300sqft and stay in the same area?

The ex used to live with me and since she's moved I've felt like the house has had some bad luck and would like a fresh start.

I like the area and realized that I don't need 2300sq ft of living space, hard to clean too as I barely use all the rooms.

[killramos]

Originally posted by Kloubek

The only caveat to the whole thing is that a new house is generally on the outskirts of town. And certainly, living way up in the North can be a pain sometimes.

My experience was with an infill. So no burbs

2007 Build 2010 Build 2012 build, or New didn't matter they were all priced the same.

So I bought something new ( didn't build myself, but bought from a builder) for a great price and i cant say i regret it. And you have recourse in Alberta new home warranty if things come up after the sale...