Whether you’re a first-time homebuyer or a real estate veteran, one of the biggest decisions you will make is whether to buy a newer home or an older, more established one. There is no right or wrong answer to the question — it really is a matter of weighing the advantages and disadvantages of each, and deciding which type of home is right for you. Even so, you should always go into a home purchase with your eyes open, fully aware of what it might cost you in finances, commute times, “sweat equity” and the like. To help you make an informed decision, we take a look below at the pros and cons of buying either a new or old home.
Categorizing New vs. Old
“New” and “old” are such vague descriptors when it comes to houses, especially in a city like Atlanta where you are just as likely to find a house built 100 years ago as you are to find one built in the past month. For the purpose of our discussion, we will loosely categorize “new” homes as anything from new constructions to homes built within the last 10-15 years, while “old” refers to homes built more than 50 years ago. Obviously, that leaves a lot of room in the middle of the spectrum, so as a general rule, consider that the closer a house is in age to one side or the other, the more our descriptions of each will apply.
The manner by which a house has been kept up over the years is also a factor in determining if an “old” house is in good condition or needs some attention. Has the house been recently renovated or updated with new appliances and utilities?
Pros and Cons of New Homes
Many homebuyers simply like the idea of buying a home that is either recently built or brand-new, and while this is largely a psychological stance, it is legitimate nonetheless — just as many of us like the idea of buying a car no one has driven before. However, new homes come with their own set of advantages and drawbacks, so let us take a quick look at each.
The Pros
Lower maintenance at the beginning.
While every home will eventually need maintenance and repairs, the newer a construction is, the less likely it is that you’ll need to repair or replace things immediately. Additionally, brand-new construction will likely have a builder’s warranty that will cover if something fails prematurely.
Modern amenities.
Home builders tend to compete with each other by including top-line appliances and modern tech into their homes. The newer your home is, the likelier it is that these amenities will be included.
Up to code.
Building codes are always changing, so when you buy new, your home will already be up to existing codes. With an older home, you may have to make some required updates to bring the house up to current codes. (As a side note — new homes also tend to be more energy efficient, saving on electric and gas bills.)
More space (usually).
As in most metropolitan areas, most newer constructions in Atlanta are built in the suburbs or outskirts of the city proper, where there is more available land, and more room for square feet of living space — as well as room for add-ons.
More home for the money (usually).
Again, in the suburbs, the cost per square foot generally goes down compared to the same square footage in the city proper.
The Cons
Longer commutes.
With the largest concentration of newer homes near the outskirts of the perimeter, chances are you will have to drive farther for work, entertainment and other services that are unique to the city.
More likelihood of settling.
Newer homes tend to “settle” into the ground during the first few years. If this settling occurs in a wrong manner, you might wind up with foundation problems. Meanwhile, older homes have already settled.
Less sense of character and originality.
Unless you opt for a custom built home, many newer constructions are built in “tracts” or subdivisions according to a few standard floor plans, meaning they tend to look alike.
Pros and Cons of Old Homes
There is something about buying an older, more established home that many buyers find nostalgic, even romantic. Many such buyers find themselves completely satisfied living in a historic home, but doing so comes with some caveats. Let us look now at some of the advantages and drawbacks of buying an older home.
The Pros
Established surroundings.
Most older homes sit in established neighborhoods with mature trees, and in Atlanta, even the older neighborhoods often have plenty of green space, making for a pleasant living setting.
Increased walkability.
Many of Atlanta’s historic homes can be found in neighborhoods where shopping, dining and other amenities are in walking distance, which many homebuyers these days find very attractive.=
Sense of character.
More established homes have an almost intangible sense of character that new homes do not possess, and which many buyers find inspiring.
Solid construction.
Older homes have already stood the test of time, and with proper upkeep will withstand much more.
The occasional “good deal” or “fixer upper.”
Some buyers like the idea of buying an older home “on the cheap” that needs work, fixing it up to their liking, and either living in it or selling it eventually at a profit.
The Cons
Count on higher maintenance costs.
Old homes need almost constant upkeep and work — it is just a fact. You will have to be okay with that.
Higher cost per square foot.
In-town established homes are priced higher per square foot, so you will either pay more for you home than for a comparable new one, or you will buy a smaller home. This is especially true when the house has been updated or restored.
Less storage space.
People required less closet and storage space when older homes were built, and therefore you may need to get creative with storage solutions.
Whether you decide to buy a new or old home in Atlanta, you need an experienced agent to help narrow your search to the homes that fit both your needs and wants, and that will give you the most value for your money. Atlanta Fine Homes Sotheby’s International Realty is here to help. For more information or to schedule an appointment, give us a call at 404.237.5000.