Is this accurate for a new home at a Del Webb community? (real estate, new house)

[anjcohen]

From an agent at a DW Community:

"Here's how the Sanctuary would normally tab out for pricing,

$210,990 - $10,000 incentive = $200,990 - $4,220 (For cash buyers or toward closing costs) = $196,770 + $60,000 average upgrades = $256,770 + $13,000 average Lot premium = $269,770 + landscape

We love our dogs here - three is max - no weight or breed requirement. We're building a new dog park within the next 16 months approx.

Festival is VERY safe. I have walked at 11pm here ...........and I've walked at 4am in the dark by myself and feel totally comfortable. I moved here after a divorce 9 years ago. There is SO MUCH support from friendly folks here that your wife would have NO PROBLEM living here without you - and vise versa."

IS THIS THE NORM DOWN THERE WHEN BUYING A NEW HOME TO HAVE SUCH ADD ON'S TO ADVERTISED HOME PRICE?

APPRECIATE ANY RESPONSES........

[ocngypz]

Absolutely!

That's how they make their money.

Want hardwoods $

Want granite $

Tile in the bath$ $

Screened porch $

Want the better kitchen layout $

etc. etc. etc.

[anjcohen]

wow,,,,,,,I had no idea. Sounds like the base advertised home price is misleading at least compared to housing in the Northwest where the base price offers a decent home.

Should I assume a re-sale has somewhat a better price point?

[KurtAZ]

Yes, at least they are upfront with you that their "Builder's Base" materials are crap and you are going to "upgrade" for an additional 20% of purchase price ($60k). That has always been the rule when buying new, figure in an extra 20% so you can actually get what you want in the house or upgrade gradually later.

[KurtAZ]

Originally Posted by anjcohen

Should I assume a re-sale has somewhat a better price point?

Are you referring to when you sell later? You will see the normal returns for what you put into it. Kitchens and Baths are the biggest return, followed by landscaping. Many would argue that a pool is a $0, but I would never own a home in the Valley without at least access to a pool.

[anjcohen]

I meant purchasing a re-sale as opposed to new.....sorry.
I will see re-sales for less than new but maybe for a good reason. Just trying to figure out the market there in regard to 55 plus community but it appears to be that 20% additional cost to get in......that throws a wrench into the works.

[KurtAZ]

Well if the previously owned homes are selling for less than the new ones in the same development...I would question the areas' home values. Now if those homes that are selling were PURCHASED for much less than a new home and they are selling them now that the prices have gone up...that is a different animal altogether. We have some Real Estate Agents on here that you could ask to pull comps for you and/or look up the homes on Zillow or Trulia and see what their original purchase prices were...

[Az_Mitch]

This is how all the new builds are and not just in the 55 plus communities. The "upgrades" will jack the price up if you get what you want and not go with the builder standard. That's why I bought a resale and not a new house.

[Zippyman]

It's actually normal for a new house to depreciate for the first ten years or so. Our market is generally psychotic / spastic & unpredictable.

Fwiw, you may want to carefully compare the costs for upgrades - I've seen some where you could have things like granite installed yourself for less than the builders charge.

[anjcohen]

Very good suggestions. Thank you! I think a less of a headache approach would be to purchase a re-sale with a hopefully good agent and inspector in a targeted development. I can always contract out or even do some upgrades myself.