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The real estate market is full of a great variety of homes for potential buyers to choose from. One of the first decisions a potential buyer must consider is their preference for finding an existing home or building a new one. Keeping clarity in this situation means focusing your clients on their needs, budget and lifestyle. Consider the following:

Aggressive incentives are alluring. The common consumer urge to “never pass up a deal” can blur objective reasoning in this very important decision-making process. But, while many buyers would be good candidates for a brand new home, incentives are just gravy and shouldn’t be a major factor in weighing housing options. There can be more costs and stresses tied to acquiring a new home versus an existing one.

For example, a spike in driving can mean a drain on the wallet. Generally, existing homes are closer to town with better access to jobs, shopping and schools. New construction subdivisions tend to be on the outskirts of town, sometimes with very few of these necessities nearby.

Making a house a home. The feeling of a brand new house can be intoxicating. But once that feeling subsides and the new homeowner begins decorating, the need to start from scratch can be overwhelming. While interior design can be fun, it can turn expensive and stressful.

Buyers can often find an existing home to live in while accomplishing the decorating and/or remodeling changes. And many sellers have already neutralized and made the necessary repairs in order to sell more quickly.

Surprises on actual costs. Existing homes usually cost less per square foot due to escalating land costs in new subdivisions. New homes are often built in outlying areas where the municipalities need to charge higher taxes, as there are fewer families to pay for basic services. Additionally, newer homes are often subject to assessment fees for amenities the family may or may not use.

Rome wasn’t built in a day. Owners in a new construction subdivision must be prepared for the daily noise and dust of construction crews, trucks, neighbors moving in, streets changing and traffic increasing.

Home Warranty of America offers peace of mind with comprehensive home warranties for existing homes and even new construction. Offering an HWA home warranty can help homes sell faster. Ask about Green Plus, too, and help your clients become more energy efficient.

Monica O’Neill is marketing manager for Home Warranty of America.

For more information, visit http://hwahomewarranty.com.


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