Buying a New house vs. Old House in NYC – factors influencing the Decision

Buying a New house vs. Old House in NYC – factors influencing the Decision

In March 15, 2018
New-house-vs.-Old-House-in-NYC

When the idea to purchase a house comes to your mind, you also think of other immediate concerns like whether you should go for a newly built house or an old property. There are various pros and cons which you must carefully study before you arrive at the decision of purchasing an old home or a new home. However, at present, the government is figuring out ways to tackle the issue of paucity of houses, with great concentration or focus on structuring new houses. They are also devising various incentives to encourage folks to purchase brand new homes with common schemes like shared ownership and assistance to purchase.

 

Pros of a Newly Constructed House in New York

Why should you go forth with the decision to purchase a new house? What is so special about a new house besides being obviously attractive and appealing to the eyes? Ranging from being first-time owners of new property to finding hassle-free dwellings as retirees, the reasons to purchase a brand new home are plenty.

 

Free from Chain

When you take the decision to purchase a brand new home directly from the builder of the house, there is no onward rising chain regarding which you must fret. Few of the builders of the new house bestow offers for part exchange; therefore you need not fret about the issue regarding selling your present home.

Incentives

You can purchase newly built properties by utilizing the schemes set by the government, like the Shared Ownership and Assistance or Help to Buy or Purchase, both of which are planned to assist buyers who get into this field of purchasing for the first time. Few of the developers also bring forth the offers of paying the duty regarding the stamp.

Ten Years Warranty

Most of the new homes in New York cover the ten years warranty and guaranteed insurance. The protection garnered via warranty supply you with a comprehensive oriented cover against a wide range of possible issues which include problems with the home construction itself. The warranty is allotted to the homebuyer for free which the homebuilder has to render in case of any uncertainty, issue or damage.

Blank Little Canvas

The essential idea of moving in to a brand new home is that, it is completely new and is highly appealing to the owners. If you decide to purchase off plan, you are presented with the opportunity to select your own furnishings and fittings, enabling you to personalize your brand new home. A newly constructed property endows you with the opportunity to put your personal stamp on the interiors, thereby eliminating any worries about renovations.

Energy Efficient

The classy and high standard representation of the newly constructed homes along with good insulation, point to the ultimate fact that the newly built homes are energy efficient in comparison to the old or long-standing properties which are generally inclined towards wear and tear and are less efficient.

Cons of Newly Constructed House in New York

Delay

The mortgage offer is usually valid for a span of 6 months, but however, if there is a little holdup or another issue regarding the construction of the house then your valid offer can expire. The respective lenders will still lend if you are planning to buy off, but however if there is any sort of delay thereafter then a thorough reassessment will follow. However, if the basic or relative circumstances have completely changed then the basic lender might not extend the offer to pay back the mortgage.

Character

Many buyers opt for an older property as they feel that a new house lacks character, or the pleasant ambience of being lived-in.

Less Spacious

The newly constructed homes generally are built over minimal area of space. This is the general attribute of newer homes in the city which can suit the needs of the younger, unattached lot but might seem cramped for the more settled folks with families.

Snagging

Before you are done with the fulfilment of all the documents of purchasing your new home, you are also required to snag check on the new home which you are likely to buy. Snagging through your new house highlights the need to confirm and check for various issues or defects that the construction can have so that the builder of the home can easily rectify before you actually move in. While no folk wishes to deal with the problems of the new home, snagging proves to be a wonderful way to save your money. Generally, the faults that you detect in the new home are minor in nature with just small defects which can be rectified quickly before you actually move in. However, it is recommended that you prepare a snag chart so as to safeguard yourself regarding the essentially bigger issues.

Charge for servicing

The charge for servicing can greatly vary as it depends upon the location or direction of the newly constructed home; however, the charge for servicing and the rent of the newly constructed home are considerably higher than the older houses.

Pros of Buying Older Houses in New York

Character

The older properties carry a sense of identity. Individuality and craftsmanship are greatly appealing; however, the essential character of an old home can be amazingly unique. Moreover, the community residing in the older properties in the true sense can be an inspiration for you to purchase the old house.

Negotiable

Often the buying price of the older houses is negotiable between the seller and the buyer of the house in regards to various factors like the condition of the property, the urgency with which the buyer of the property is looking to shift in and the survey in totality of the house and neighbourhood.

Spacious

Generally, the older houses have sufficient storage space and are spacious. This is definitely an appealing factor for buyers with families which can further grow.

Cons of Purchasing an Older House in New York

Gazumping and chains

You will analyze yourself surrounded by chains when purchasing an older house, which can cause a considerable amount of delay in case of any issue with other buyers or homes which fall further below the chain. Putting ahead a splendid offer in the older house means that you might run the risk of being swindled or gazumped. The risk of being gazumped can be draining both financially and emotionally.

Security

The buildings and flats constructed in the new era are built with certain high ranked specifications which generally include burglar alarms, high performance-oriented locks and standard smoke alarms that the older property might lack.

Overall Maintenance and Revamp

The total cost incurred in extensions, renovations, decorating and the DIY work sums up the total maintenance. Often, the older houses are not quite well insulated or energy efficient. This is something which the buyer must consider before they look out for homes, as purchasing an old house can more or less lead to an increase in the monthly upkeep cost. The overall basic or general maintenance of older houses is higher in comparison to the new houses.