Purchasing a new construction home is an exciting milestone and an important aspect of the U.S. housing market. In recent years, the number of new homes sold has been substantial, with 822,000 in 2020 and 770,000 in 2021. To ensure a smooth buying process and a satisfactory home, consider the following tips:

  1. Research BuildersThorough research is essential when selecting a builder for your new home. Start by:
  • Checking online resources and local home builders’ associations.
  • Reviewing real estate listings in local newspapers that include builder information.
  • Visiting neighborhoods with new homes to evaluate the style and quality.
  • Exploring builders’ websites and social media for photos and client reviews.
  • Looking into builders who specialize in smart homes if you’re interested in features like remote-controlled lighting and appliances.
  1. Find a Real Estate Agent and LenderLike any home purchase, buying a new construction home benefits from having a knowledgeable team:
  • Research and interview real estate agents to find one who understands your needs.
  • Apply for a mortgage to determine the best financial options for your budget.
  • Although builders often have preferred agents and lenders, you can choose your own to ensure an independent and comprehensive approach.
  1. Set a Realistic BudgetNew construction homes often come with customization options that can quickly exceed your budget. To manage costs:
  • Take customization decisions step-by-step to stay within budget.
  • Clearly understand which features are included in the base price and which will incur additional costs.
  • Account for additional expenses such as landscaping, furnishings, and homeowner’s association (HOA) fees.
  1. Conduct Home InspectionsIt’s wise to schedule at least two home inspections during the construction process:
  • The first inspection should be conducted before the walls are closed to address any plumbing or electrical issues.
  • The second inspection, after the walls are up, allows you to discuss maintenance tips with the builder and check for any overlooked issues.
  1. Address Potential RisksBe aware of potential risks associated with new construction:
  • Check for hazardous materials, such as asbestos, in the walls or flooring.
  • Seek advice from agencies like the Agency for Toxic Substances and Disease Registry or the U.S. Environmental Protection Agency if you suspect the presence of harmful materials.

By following these tips, you can navigate the process of buying a new construction home more effectively. Conduct thorough research, work with experienced professionals, and stay within your budget to ensure a successful and satisfying home purchase.