Have you considered how purchasing a new home can actually save you money over buying an existing home, even in today's challenging Real Estate market? Consider the simple question, "Which will hold its value more over the next five to ten years, a new house or your current house?" Do not forget to factor in what you may want or need to replace in order to sell your existing house to effectively compete for buyers.
To help answer this question, consider the table below of common home renovations and improvements here in New England and their costs. Ask yourself then how many of these you would consider important as either a seller or buyer?
|Lower Cost||Upper Cost||Improvement|
|$20,000||$50,000||Kitchen and Bath Cabinets and Countertops|
|$15,000||$40,000||Title 5 Approved Septic System|
|$10,000||$30,000||High-Efficiency Windows and Doors|
|$10,000||$20,000||Cedar Siding and Trim|
|$5,000||$15,000||Central Air Conditioning|
|$5,000||$10,000||Carpet and Refinished Hardwood Floors|
|$2,500||$7,500||25 Year Roof|
|$1,500||$10,000||Well and/or Well Pump|
|$2,500||$5,000||High-Efficiency Bathroom Fixtures|
|$2,500||$5,000||High Efficiency Walls, Basement and Attic Insulation|
|$1,000||$3,000||Hot Water Tank|
Collectively, these items when new represent close to $100,000 worth of value. Consider this equity when you calculate the value of purchasing or renovating an existing home versus buying new.
Of course, don't just take our word for it. Enter the phrase "new home versus existing home value" at your favorite web search engine and see what others have to say on the subject.