Buying a new build home: Costs, Pros and Cons

If you’re looking into buying a new build home, you’ll want to do as much research as possible to make sure that you make the correct decision. A home is one of the biggest purchases you’ll ever make, and it’s important to consider all the pros and cons before you send your money across on completion day! However, since new builds are different to old homes, they require some fresh research to understand exactly what you want from them.

Buying a New Build Home

In our guide, we’ll cover the pros and cons of new builds, as well as the differences between old and new homes.

Are New Builds Worth It?

New builds are fresh off the press, which means they tend to sell at a higher price point. Whether the extra cost justifies the benefits of buying a new house is up to personal preference, and only you can determine whether buying a new build is a good investment for your family.

Unlike older houses, new builds always come with a warranty and a guarantee from the builder; they’re also built with brand new materials, positioned in highly sought-after areas and fitted with modern appliances and boilers.

What Is Classed as a New Build?

Buying a new build means buying a home that’s never been owned before. Your purchase is made based on your viewing of a show home, and your house will be built and handed over as soon as it’s ready. By comparison, a second-hand home will never be considered a new build, even if it’s being sold within a year or two of being built.

The Pros and Cons of Buying a New Build

The Pros of Buying a New Build Home

The Warranty: New builds include a warranty to help you feel confident with your purchase. Warranties can span between 8 to 10 years, with an initial period of around 2 years. This helps to cover any initial problems that you may find with the house, such as manufacturing errors and faulty appliances.

With older homes, these issues will need to be sorted out at full cost to the homeowner, especially if you don’t notice them before you complete on the home.

Prime Locations: New developments are often located in desirable locations with plenty of amenities, access to nearby cities and towns and strong transport links for commuters. They may also be designed around on-site schools, outdoor playgrounds, parks and walking routes to facilitate day-to-day life.

New Materials: The materials in a new build will be handed over to you with their full shelf life intact - you shouldn’t need to repair them for a long time! Standard maintenance should also be enough to help your home hold its value and maintain its efficiency rating long-term.

Good Efficiency Rating:  The EPC - or efficiency rating - is a method of measuring how energy efficient a home is. Because new builds are built with modern technology and tools, we can achieve a much higher efficiency rating than older homes, and new builds often hold their temperature very well. The eco-friendly push has also led to a lot of newly built houses recycling heat and energy with specialised pipes.

The Cons of Buying a New Build House

Initial Delays:  Since your home is still actively being built when you buy it, you can expect to wait a little while before the keys are in your hands (and the door is in place to use them). You’ll be given an estimated timeframe, but this may be extended depending on factors such as the weather, supply delays and work speed. Unfortunately, there is a small chance you could end up waiting longer than expected to move into your new home, which can hold up the chain if you’re selling your old property.

Higher Costs:  Because new builds are in high demand, they also cost more than older properties. They’re frequently set up in desirable locations, have guarantees and warranties attached, and are designed with modern fixtures, wiring and piping to keep maintenance costs low. The EPC rating on a new build is also a peak selling point, with very few second-hand properties able to compete with the average utility bill savings on new homes. Therefore, the result is a much higher initial cost, which is then balanced out with a long-term payoff.

New Builds vs Old Houses

In the UK, new builds and old homes are fundamentally different. Built with unique materials and with alternative ventilation methods, you can expect a vastly different experience owning a new build than you would a second-hand home. Here are a few differences you can expect between new builds and old houses when you’re browsing the market:

Do New Builds Lose Value?

Like all houses, new builds can lose value as time passes. This is due to natural degradation that occurs in the materials used to build them: steel beams, floorboards, bricks and roofing will all accrue maintenance costs over the years, and as their lifespan decreases, the cost of the home will go down. Drops can also be caused by the warranty period running out, or by more modern fixtures becoming popular as time goes on. However, you can expect new builds to hold their purchase value for a lot longer than an old home will.

Should I Buy a New Build?

New builds are well worth the price if you’re happy to include the extra in your budget. While initial costs can be higher, new builds are designed to lower bills and maintenance fees long-term, and the warranty can help iron out any potential new house blues much more quickly (and cheaply!) than in a second-hand home. If you’re interested in buying a new build, head over to our range of developments and locations to find your dream home.