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Old 01-02-2015, 10:15 AM
 
5 posts, read 6,016 times
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Alright, new to the forum, I am active duty Army stationed here at Ft. Campbell. I have lived here and been stationed here for about 4 years now, not going anywhere for the next few years and I'm considering buying a new home and/or having a new home built. My main question is in regards to, is it cheaper, or worth it to have a new home built because my understanding that these companies have a mass amount of lots already purchased and that allows the house to be built and customized cheaper, or it can be upgraded slightly for about the same price as just buying a new home for sale in the same area.

I didn't see a category for "Clarksville" specifically so I apologize in advance if I posted this thread in the wrong spot, so let me know if I messed that up. I know that there are some construction companies local here that offer and I would go to them and get some information, but I would really like to find someone who knows a lot about the process, maybe someone who has actually had a home built here in Clarksville and their experiences, what they would do differently, or just tips in general. Any information would be greatly appreciated.
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Old 01-02-2015, 10:59 AM
 
Location: The Triad (NC)
29,708 posts, read 64,701,046 times
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Quote:
Originally Posted by 4emeryj44 View Post
...not going anywhere for the next few years
and I'm considering buying a new home and/or having a new home built.
The common rule of thumb on buying is a minimum five year absolute certainty window.
The more conservative will say ten years; especially so with new builds.

Quote:
My main question is in regards to, is it cheaper, or worth it to have a new home built...
Rarely.

In nearly every instance the custom built choice and even the customized new built to order is
mostly ego driven as the common practical goals (school district, interior/exterior space/ condition, etc)
can usually be accommodated from already completed new construction home developments,
existing home stock, or an older home + some remodeling.

hth
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Old 01-03-2015, 08:33 AM
 
Location: Port Charlotte
3,927 posts, read 4,981,185 times
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In an area with a builder working actively, we saw routinely a 15% immediate loss in value for a new home vs a 1 year old home. The builders offer hidden concessions, charge excessively for minor changes (several hundred for an additional electrical outlet, etc), and you are paying for their advertising, etc.

The best deal is a 2-3 year old home in the same subdivision. Ay new home issues will have been taken care of, the owner will most likely have improved the landscaping, and there will be minimal deterioration to the home.
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Old 01-03-2015, 09:26 AM
 
Location: MID ATLANTIC
7,848 posts, read 19,177,067 times
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Financing also comes into play -

If you have a custom home built, it will be more difficult to use you VA benefits (VA loan). Buying any home to be built makes it difficult to nail down the rate.

If you buy in a large subdivision, where the builder will be building for years to come, you could be competing with your own builder when you decide to sell.

Most of my custom homebuyers are in their "almost forever" home....the only intended home to follow will be their retirement home after all the chicks have fled the roost.
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Old 01-03-2015, 09:44 AM
 
3,574 posts, read 4,732,898 times
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Having upgrades put in a newly built home is a huge money maker for the builder. For example, when my house was built, I wanted an intercom system installed. It is very cheap and easy to do when the sheet rock isn't up yet. The builder wanted to charge me full price as if home was already finished, and then some. I passed on that particular upgrade. We ended up with quite a few upgrades, even so, and paid dearly for them.
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Old 01-03-2015, 10:07 AM
 
Location: Florida -
9,160 posts, read 11,360,221 times
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Are you talking about 'having a completely custom home built' OR about having a builder build you a spec home with some added upgrades (?). The former would require that you have an architect draw-up a set of plans based on your desired floor plan and options - and then, find a builder to build-it as specified. This could be a very expensive proposition, involve a greater degree of risk and still only give you a home that you called "custom", but, which any future buyer would simply regard as 'added amenities.' The latter would give you an established, proven, off-the-shelf design and materials plan which would be less expensive, involve less risk and still give you some desired personal 'upgrades or special materials.'

With an existing home, you pretty much get what you see, with the 'bugs and deficiencies' pretty well ironed-out, the landscaping established and trim, colors and finishing materials that you may/may not have chosen, if you were specifying them from scratch. Based on my own experience in building new, renovating and/or buying used and simply living with anything that wasn't broken or deficient, I would choose the latter. To me, new construction (or major upgrades) is aggravating because it typically entails many variables, changes/upgrades from the plan and unforeseen problems.
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Old 01-03-2015, 10:37 AM
 
5 posts, read 6,016 times
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Quote:
Originally Posted by Restrain View Post
In an area with a builder working actively, we saw routinely a 15% immediate loss in value for a new home vs a 1 year old home. The builders offer hidden concessions, charge excessively for minor changes (several hundred for an additional electrical outlet, etc), and you are paying for their advertising, etc.

The best deal is a 2-3 year old home in the same subdivision. Ay new home issues will have been taken care of, the owner will most likely have improved the landscaping, and there will be minimal deterioration to the home.
Very valid points, thank you for that information.
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Old 01-03-2015, 10:44 AM
 
5 posts, read 6,016 times
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Quote:
Originally Posted by jghorton View Post
Are you talking about 'having a completely custom home built' OR about having a builder build you a spec home with some added upgrades (?). The former would require that you have an architect draw-up a set of plans based on your desired floor plan and options - and then, find a builder to build-it as specified. This could be a very expensive proposition, involve a greater degree of risk and still only give you a home that you called "custom", but, which any future buyer would simply regard as 'added amenities.' The latter would give you an established, proven, off-the-shelf design and materials plan which would be less expensive, involve less risk and still give you some desired personal 'upgrades or special materials.'

With an existing home, you pretty much get what you see, with the 'bugs and deficiencies' pretty well ironed-out, the landscaping established and trim, colors and finishing materials that you may/may not have chosen, if you were specifying them from scratch. Based on my own experience in building new, renovating and/or buying used and simply living with anything that wasn't broken or deficient, I would choose the latter. To me, new construction (or major upgrades) is aggravating because it typically entails many variables, changes/upgrades from the plan and unforeseen problems.
Yes I'm more talking about having a "standard new home" built in an area where this is a lot of building going on. I just wanted to inquire about what the difference in price would be if I were wanting to purchase a new home that was just finished and on the market for a few months versus having a house built on a lot that is already purchased by the builder and was going to be built on anyway. I hope I'm making sense. I'm not looking for crazy upgrades or customization, if I were to have a house built, I'd just have the builder build it to standard specs with no crazy upgrades, just to get the advantage of having a new home built and maybe pick out the paint colors and tile or whatever, small things, if you could get it for the same price and/or less. I just didn't know. I mean obviously if there are houses that have been built and sitting on the market for 6 months, there is leverage there and I could have my real estate agent work the price down based on the house sitting there for a while. This is all just inquiries at this point and didn't know if anyone in this Clarksville area has done anything similar to what I'm inquiring about.
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Old 01-03-2015, 07:13 PM
 
Location: Portland, Oregon
10,188 posts, read 17,112,518 times
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I do not know your area at all but in all honesty the recommendation to find a house that is at least 2-3 years old is very sensible. It is a lot cheaper to clean and paint a lived in house than install landscaping for a new house.

My question is: low long do you intend to live in this community? If it is near a military base what are the odds of the force downsizing? IMHO you need to plan to live in a house at least 7 years to justify the transaction costs of buying & selling.
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Old 01-04-2015, 12:14 PM
 
Location: Florida -
9,160 posts, read 11,360,221 times
Reputation: 18157
Quote:
Originally Posted by 4emeryj44 View Post
Yes I'm more talking about having a "standard new home" built in an area where this is a lot of building going on. I just wanted to inquire about what the difference in price would be if I were wanting to purchase a new home that was just finished and on the market for a few months versus having a house built on a lot that is already purchased by the builder and was going to be built on anyway. I hope I'm making sense. I'm not looking for crazy upgrades or customization, if I were to have a house built, I'd just have the builder build it to standard specs with no crazy upgrades, just to get the advantage of having a new home built and maybe pick out the paint colors and tile or whatever, small things, if you could get it for the same price and/or less. I just didn't know. I mean obviously if there are houses that have been built and sitting on the market for 6 months, there is leverage there and I could have my real estate agent work the price down based on the house sitting there for a while. This is all just inquiries at this point and didn't know if anyone in this Clarksville area has done anything similar to what I'm inquiring about.
Clarksville aside, there are typically a lot of 'hidden costs' when it comes to buying a newly built home. These often include landscaping and sprinkler system (builders often simply bury scrap material, etc. in the yard!); window treatments; quality paint in lieu of the cheap paint many builders use on new homes; quality plumbing and lighting fixtures; potential problems with foundation or driveway settling; nails popping-out of drywall; fencing; extended patio enhancements; upgraded electrical circuits; appliances, etc.. Every buck a builder can save on building the house, is a buck in their pocket ... and they know it!

If you have an area and builder selected, go talk to the owners of a couple of new homes and ask them about their experience with the house and builder. As others have suggested, an existing 2-6-year old home where folks have already worked through the problems, is often a much better and less aggravating deal. Another reason you can probably get a better price on an existing home in the same area is that the seller must compete with the new home builder (as you would be forced to do if you needed to sell; ... and many people simply have the notion that 'new' is always better).
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