So, you’ve been looking at buying new construction. That’s great! Builders and developers have been hurrying to keep up with the supply and demand of new construction. About 54% of home buyers will consider new construction if the home meets their requirements and their budget. If you've been considering new construction around the Portland area there are plenty of new subdivisions, development and communities to choose from. Many of the new communities will feature their own amenities such as swimming pools, hot tubs, clubhouses and fitness centers. Many of these may even offer the security of a gated entrance.
If you're considering buying new construction I want my buyers to be fully aware of the hidden costs that are sometimes associated with new construction. Just because the subdivision says it has home starting at $300,000 doesn't necessarily mean that's what you'll pay. If your budget is maxed out at $300,000 this may not be the community for you.
New construction is fun to design because you can put your own touches and finishes on the home such as countertops, cabinetry, flooring and colors. All of those things can add up however. The simple basic or builder's model may be the base price of, let's say, $300,000. But then you add on upgraded countertops such as granite or quartz, upgraded flooring such as hardwood or high-end carpet, higher end appliances and high end finishes on the cabinet and the walls and you're easily looking at $400,000.
It's best to know what you're up against before getting sticker shock once in the showroom. Always visit of you these model homes and showrooms with the help of a buyers agent. Because I help hundreds of buyers in the Portland real estate market you can confidently walk into a show room stating you have a buyers agent and know that any questions you may have will be answered either by the on-site agent or by your dedicated buyers agent. It's best to have a buyers agent when considering new construction to your needs and interests are met. The listing agents or buyers agents that are sitting those open houses and showrooms have one goal in mind; to obtain you as a client. Using your own buyers agent means YOU are protected… not just the builder.
Other costs involved in purchasing new construction that you may not be aware of our homeowners association fees. You can run anywhere from $100 per month to several thousand dollars annually. The more amenities a community will have typically the more expensive the association fee will be. Find out what it covers and if you can afford it in your monthly mortgage payment.
I want you to be aware of all of the costs involved. If you are considering new construction feel free to give me a call and I would be happy to offer tips and information on local subdivisions and development currently and production stage.