It’s time for a new home, how exciting! Whether you have been renting, or you have been a homeowner
for years, no matter your circumstances buying a home is a major life-changing decision. In today’s market there are so many options it can be overwhelming. In this article we will explore the difference between buying an existing home versus building one.
Both buying and building have advantages and disadvantages. There are three major forces that will
quickly narrow down a homebuyer’s decision. Money, size of the home, and it’s location. We will briefly
touch on these below.
Money
What is your budget? This is usually the number one factor in how people decide on how they plan to buy a home. Are you in need of a mortgage, or are you a cash buyer? Do you need to sell the home you are in, or are you free to buy at any time? How much you are willing to spend will set your limitations.
Size
What size home will suit your needs. Are you an empty nester, or do you need many bedrooms and in-
law quarters to accommodate your family? Square footage not only speaks to function, but it also speaks
to lifestyle. Do you want a home gym or private space for work? The amount of home you plan to buy will
have a major effect on how much the home will cost.
Location
The location of home your will affect how much home you can get for the money. For example: if your
budget it one-million-dollars to buy a home, where you buy it will greatly affect what you can get for that
price point. A one-million-dollar budget may only get you a fifteen-hundred square foot condo in NYC,
while that same budget can get you twenty-five-thousand square feet in a rural area on ten acres of land.
Advantages of Buying a Home
Availability
When you buy a home, there are typically many options available to choose from in your preferred
location, and you have the option to use a local realtor who will customarily have specific knowledge of
the area. You can go from home to home until you find something that suits your needs.
Convenience
Buying a home is a quicker process than building one. Since the home is already
constructed and ready to move into, it is simply a matter of coordinating both parties and getting the
financing in place. Also, because most homes for sale are listed online, it makes shopping for a home
more convenient.
Less stress
Buying a home can be less stressful than building one because you do not have to oversee
the construction process. Construction processes can come with delays, hidden costs and many
unknowns that can ultimately lead to a very stressful experience.
Disadvantages of Buying a Home
Limited customization
What you see is what you get. When you buy a home, you may have limited
options for customizing the home to your liking. Major home improvements may be very costly, and you
may not be able to recover the extra investment. Even in the situation where you may be buying a new
home, you can only do so much customization before you are exceeding the limits set by the builder.
Hidden Issues
You may discover hidden problems with the home, such as appliance failure, structural issues, or even
leaks, after the purchase has been made. These can be very costly and may take decades to recover the
additional investment.
Higher Cost
Buying a home can be more expensive than building one, especially if the home is located in a high-
demand area.
Advantages of Building a Home
Customization
When you build a home, you have more control over the design and layout of the home and can
customize it to your liking. Items like flooring, landscaping, finishes, hardware, colors, room sizes, room
placement, and design style are just some of the things you can control. The sky is the limit.
Newer Construction
Building a new home will ensure that your home is built with the latest technology. You can order the most efficient windows and doors. You can decide to have your home built with smart technology. The structure of the home will be built to the latest building codes.
Warranty
When you build a home with a reputable builder, you should receive a warranty for the work. Divco
custom homes is a great example of a high-end builder that stands behind their work.
Disadvantages of building a home
Longer process
Building a home can take several months or even a year, depending on the complexity of the project.
More Involvement
Building a home requires more involvement in making design decisions. However, this can be seen a
positive depending on the individual and the builder. Divco Custom Homes is an example of an excellent
builder with an impeccable reputation who has made the building process exciting and pleasant.
Higher Cost
Building a home can be more expensive than buying a home, depending upon selections, finishes and if
you encounter unexpected costs during the construction process.
Ultimately, the decision to buy or build a home will depend on your personal preferences and
circumstances. It’s important to consider your budget, timeline, and desired level of customization before deciding.
Divco Custom Homes
For more than 40 years, Divco Custom Homes has been creating premier custom homes and home
models throughout Southwest Florida’s most exclusive and luxurious communities. With unmatched
creativity, timeless designs, and built with the leading safety materials and beyond-code infrastructure, a
home by Divco Custom Homes is one you’ll love for years to come.