Many people were cooped up inside watching HGTV for months during the pandemic, which has made people consider renovating an older home. But how much work money are you really going to save if you choose to buy a fixer-upper or renovate your existing home over switching to a move-in-ready home? Have a look at this article to see whether you should consider renovating or purchasing a new home in the Texas housing market.
What are the benefits of buying a new home?
The major benefit of buying a new home is the lack of maintenance you will have to do to get it move-in ready. Buying a new home is excellent if you don’t have the time to wait around for renovations. The price of your home and fees will be the same after you move in, and you won’t have to worry about an additional budget for your repairs and renovations.
Renovations can sometimes be easy to predict financially, but if you end up in a sticky situation, you might end up spending way more than you expected. A new build will also usually mean new appliances and systems are installed, so you won’t need to worry about repairs on things like your roof or HVAC system for quite a while.
What are the downsides to buying a new home?
The cost is going to be one of the significant downsides when it comes to buying a newly built home, and it will almost always cost you more. Keep in mind that these costs are predictable compared to the varying costs that can come with renovating an older home.
While developers and builders do their best to have your home ready in a suitable time frame, things can come up that make it hard to finish. If you are getting a house built, then you might end up waiting just as long as renovations would take. This means you are stuck in limbo, and you might get stuck paying for an alternative living situation like a hotel or rental.
What are the upsides to renovating a home?
Renovating a home is a great way to try and save a bit of money by fixing up the things around the house as you go. If you are handy with repairs and you have the time, then this is ideal for you. You can also make some major customizations that you might not be able to make with a new build. Many master-planned communities rely on specific floor plans you can choose from, which might limit your creativity.
Many people also prefer to renovate an older home because they are all about sustainability. Reducing the number of new builds is a great way to keep your carbon footprint down, and there are plenty of great eco-friendly options you can use to repair an older home.
What are the downsides to renovating a home?
Whether you are renovating your own home or renovating a fixer-upper, it’s going to cost you quite a bit, and the cost might be unpredictable. The price of construction materials can vary quite a bit, and some building materials can even become back order which means you are stuck waiting. Renovations also take time which is ok if you are willing to live within the mess and materials.
Renovating your home might require outside sources like contractors that will need to have access to the area. If you are living in the house while you do your repairs, this can become a bit tricky, and many people don’t enjoy the mess and noise that comes with renovations.
Another thing that makes people wary about renovating an older home is the hidden surprises that come along with it. A minor floor repair might expose a leaking copper pipe, turning a $100 job into a job that will run you a few thousand. There are so many things that even the most trained inspectors can miss, and you will need to make sure you are doing a thorough job of checking out what will need to be repaired on the home before you start making your renovation budget.
What does the market look like in Texas?
In Texas right now, the median home price is in the mid-300k range, which is incredible when you compare it to many other states. The problem has become the inventory which has started to look slim with so many people choosing to downsize to an apartment or condo over building a new home. This has made home prices rise slightly, and bidding wars have started in cities that typically have a reasonably neutral market.
Luckily, the home prices have started to level out with a rise in new construction that has gone on all around the state. Due to the huge communities and opportunities in Texas, home prices are in reasonable range. People like to purchase new homes in McKinney, Fort Worth, Houston, San Antonio, and many other developing and connected cities. Dallas alone has become a huge hub for business which has drawn in plenty of new home builders. Other cities like El Paso and Arlington have all started to see significant booms in the population due to the great private communities and master-planned subdivisions they have built in their city.
Which is better in the current market?
Buying a new build or a home that is already on the market is your best bet right now if you are looking to make your move nice and easy. It’s the best way to ensure that you are getting the home you like without worrying about the time it’s going to take to make it livable. A home development company likely has years of experience under their belt to make sure that your home gets built quickly and makes sure the build is done right.
If you want to roll the dice on an old home and cross your fingers that the repair cost won’t bury you, then go for it but if you are looking for a more predictable option, then look at some of the new construction that is happening in Texas. There are so many places all over the state where you can find a home that suits your needs at a great price.