A new home is "virgin" - no one has ever lived there before. There's no cleaning of the tubs and appliances, there's no worn spots on the carpet or evidence of the last owner. So, some people are highly attracted to new construction. They also get the advantage of having things done the way they want them - the colors, the style, tile here, wood there, carpet, too. They will be constructing houses next door or down the block for a while, unless yours is the last house in the subdivision.
But it's a lot like going to a car dealer and driving the car off the lot - what happens to the value immediately? It drops. You can't get what you paid for a brand new house back if you sell it the next month.
An old home shows all the 'character' of the era it was built. The charming shower in the master but no bathtub, the dial clock on the stove with coils for burners, an A/C that operates at 8 SEER, but maybe it has real wood floors. It won't have more than 6" of insulation in the attic and maybe cold, single-pane windows that don't easily go up and down. The plumbing may need to be rodded because the sewer is plugged or possibly cracked. The electric may have no GFCIs in the kitchen or garage, and sometimes aluminum wiring. Charming old house, but be wary.
The price of course will be lower on the old house, because it has depreciated in value. It could be functional obsolescence, like a 2x2 foot master shower with no tub, or it could be real. For the size, the price will be lower. I doubt it is really worth its price, though.
Somewhere in between you may have a 10 year old or 15 year old home that has some depreciation, some updating that's needed but otherwise is in good condition. Also the A/C may have been upgraded recently or the roof replaced last year. These improvements help the older, but not old, home hold its value. So, value for money is the question in this range of ages from brand new to old.
If your electric bills are a quarter of bills for an older home, those savings can pile up and easily make up the difference in a couple of years. You can also take an older home and do the upgrades and updates yourself to get close to the new construction quality and function. The tradeoff is both time and money over the lower priced older home versus the get it right the first time new construction.
My personal philosophy on cars is similar to that on homes:
a couple of years old gets you almost full functionality and quality at a price lower than new on the lot.
Feel free to call me if you have any questions! :)
I prefer old.
Best of luck!
- Dallas Native
At the end it depends truly on the buyers likes and dislikes, the location, lot size, floor plan and yes
quality whether we are talking about a newer or older home...
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This is why you will find a home from 1950 worth $1.5 million dollars, that hasn't been updated at all.
Hope that helps.