Home Buying in Milpitas>Question Details

Tom Burdo, Home Buyer in Pittsburgh, PA

Is Dr Horton's Harmony TH good to buy?

Asked by Tom Burdo, Pittsburgh, PA Wed Nov 6, 2013

Consider buying a TH at Dr Horton's Harmony community. Any comments are welcome!

The 3/3.5 1941 sft plan is listed at 710k. But I hear that in the 1st release it's only low 600k. Let's say it's 630k. It's already 15% up. The price climbs too fast.

Pros:
Decent schools;
Minimum odor, because it's located at south Milpitas;
Close to Great Mall, future BART, Montague

Cons:
High density population area;
Rail track nearby;
Small community lawn

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Answers

4
The value is in the pocket of the buyer. Those prices are competitive for size, location and new construction.

With that being said, rail track nearby can be a pro for those commuters. Small community lawn should mean that your HOA fees are lower compared to other new constructions. High density is what you will get in most new construction.

It is difficult to price shop when looking a new construction because there usually isn't anything close by to compare it to. I can tell you if the price was not worth it no one would pay it. So you will have to determine if if is worth it to you.
0 votes Thank Flag Link Sat Nov 16, 2013
Don't buy based on increasing or decreasing home values. So many of us learned that lesson the hard way over the last few years. Instead, purchase a home based on your needs and affordability. If the home has everything you want and you can afford it, then buy it. Buying a home is a long term investment. Don't think about values last year or next year. Think of values ten years ago and what the long term outlook for the area is.

J.R. Thrasher
http://www.SanDiegoRealEstateVeterans.com
619-929-0105
0 votes Thank Flag Link Wed Nov 6, 2013
Hi Tom,

To be frank, we are seeing as much as 20 percent increases in almost all areas of the Santa Clara County, so a 15 percent increase in just one community--while admittedly higher than most buyers are prepared to adjust--is neither unreasonable nor unexpected.

What I can suggest, however, is that if you do want to maximize your purchase, you bring a discount or rebate agent with you to purchase a new home. Right now, with inventory on the wane and buyers clammoring for property to purchase, developers are not giving any incentives to buyers of new homes. Developers are paying agents a commission for each home purchase so a rebate agent will provide you with a tax free bonus at close of escrow equal to 1/2 of the commission. When I helped another client buy a home at a new home development recently, the buyer got a cool $8,000 commission rebate which is far greater than the $2000 incentive offered to other buyers within the same community.

So while I can find no reason to argue against the 15 percent increase in home prices at Harmony, I hope helping you find a bigger incentive at the end of the transaction might help ameliorate some of the price issues.

Good luck!
Grace Morioka
Allison James Estates
Rebate agent nd low cost listings
0 votes Thank Flag Link Wed Nov 6, 2013
Price climbs are typical in new communities. How are you assessing the price increase to claim that the price climb is too fast? Have you factored in general market conditions and compared them with adjusted price gains on all other communities?

The homes at Harmony are ready to buy.
Web Reference: Http://www.archershomes.com
0 votes Thank Flag Link Wed Nov 6, 2013
Tom,
There are a couple handful of factors, some planned and some not, which leads to price increases in new communities. Given the complex dynamic of their interactions, it's hard to describe them properly in a short message as they don't apply to all communities. However, your Realtor can help you understand.
Flag Mon Nov 11, 2013
Michael, thanks for your reply! Can you explain why price climbs are typical in communities?
Flag Wed Nov 6, 2013
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