Worried About Home Maintenance Costs? New vs. Existing Homes Explained

If you're hesitant to buy a home because of upkeep concerns, here's some information that might ease your worries, whether you're considering newly built homes or existing ones.

Newly Built Homes Need Less Upfront Maintenance

If your budget allows, a newly built home might help alleviate your maintenance worries. With everything brand new, there's less wear and tear, meaning fewer repairs. According to LendingTree:

“Since the systems, appliances, roof, and foundation are new, you’re less likely to pay for major or minor repairs within the first few years of homeownership. That can make a big difference for first-time homebuyers who are adjusting to owning rather than renting.”

Moreover, many builders offer warranties that cover significant expenses. First American explains:

“The new systems in your home, like plumbing, electrical, and HVAC, are typically covered for one to two years by your builder’s warranty. When something happens to these systems, you contact the builder or their warranty company.”

Existing Homes Can Still Have Great Perks

Existing homes can also come with warranties, offering peace of mind. Your agent can help negotiate with the seller to include a home warranty as a concession in your contract. Forbes notes:

“During a real estate transaction, a home warranty policy can be purchased by the buyer or the seller.”

Both buyers and sellers benefit from a home warranty. MarketWatch states:

“A buyer’s home warranty benefits both buyers and sellers, as it helps the seller close the deal while providing the future homeowner with peace of mind that they’ll be covered if a system or appliance breaks down. Sometimes, a seller will pay for the first year of the home buyer’s warranty to sweeten the deal, but it depends on the real estate market.”

If you want a home warranty for added security, your agent can negotiate on your behalf to see if a seller would cover it. Remember, the likelihood of this depends on your local market conditions.

So, Should I Buy New or Existing?

While new constructions require less initial maintenance, existing homes offer unique charm and character that new builds often lack. Older homes might feel more homey with established landscaping and a well-developed community. On the other hand, new constructions can be a blank slate, and you might have to wait for the building process to complete.

Whether you opt for a new or existing home, a home warranty can help ease maintenance concerns. To discuss your priorities and options, consult with real estate professionals.