Why You Should Consider Buying New Construction Homes in Park City
Are you considering purchasing a new construction home in Park City, Utah? Our latest blog post outlines ten reasons why buying new construction may be your best choice. From customization options to energy efficiency, we explore the many benefits of purchasing a new build in Park City.
1) CUSTOM MOUNTAIN DESIGN
As a Park City Realtor, I show a lot of homes to potential buyers. Even when the buyer loves the home, there is always something that they would change. For example, they may not like the color of the carpet, backsplash, or design.
When you build a new home, you can build it how you want it. This is probably the most important reason to buy a new home.
2) FUNCTIONAL AND MODERN FLOORPLANS
When I show homes to people, sometimes they have very specific requirements. However, I've learned that certain specific requirements are very common over time. For instance, when I help move down buyers, they are all one story. When I help growing families, many want a bedroom on the first floor to care for an aging parent. I've also noticed that parents with small children always want at least one bathtub in the home. And everyone who cooks wants an open kitchen where they can be with their friends and family while taking care of meals.
When buying new construction, you can make all of this possible. If you want a downstairs main bedroom with a fireplace and his and hers walk-in closet… You can have it!
3) HOME WARRANTIES
When you buy a resale home, things do break down. However, when you buy a new home, not only is everything brand new, it's all under warranty. So you have peace of mind and low maintenance fees.
4) ENERGY EFFICIENCY FOR THE UTAH WINTERS
Homes built these days are constructed with energy bills in mind. Many of them are built with Solar already installed; if they don't have solar, they are built with Energy Star products, double-pained windows, and spray foam insulation. All of these will save you thousands in utility bills down the road.
5) HIGHER INDOOR AIR QUALITY
Homes built today must meet stringent ventilation requirements. So they end up being more energy-efficient, but also safer. The indoor air quality is much higher, so the production of airborne allergens is lower.
6) BETTER TECHNOLOGY
Today, homes are built with the most cutting-edge technology around. Better technology means more precise measurements and architecture — Both contributing to less maintenance down the road.
7) COMMUNITY AMENITIES
Most new home communities have lots of amenities to offer. They include everything from Tot Lots to playgrounds to pools. New homes also tend to include Homeowner's Associations (HOAs). Although some of these associations come at a monthly fee, you can ensure that your community stays beautiful for years and that your home's value stays on the rise.
8) INCREASED SAFETY
A new home community is often gated, but safety features also come with the house. For instance, many new homes come readily equipped with alarm systems. They also have infrared garage door openers that stop when a tricycle is nearby. Some new homes also have state-of-the-art air coolants, which means higher air quality for your family.
9) AVAILABLE INVENTORY
We are experiencing a shortage of homes right now. People are living longer and moving down buyers are opting for aging-in-place solutions. This means that millennials and first-time home buyers have fewer choices when buying a home.
10) THE NEW HOME FEEL
One of the most attractive features of buying a new home is that it's yours and only yours. No one else has lived there before you, cooked on your stove, or slept in your bedroom. Understandably, that new home feel appeals to a lot of people.
The Downside of Buying New Construction
While there are many benefits to buying new construction in Park City, there are also some potential drawbacks that buyers should be aware of. If you pay cash and lock in the price, you can eliminate some risks when buying new construction. However, there are several drawbacks to consider when buying new construction in Park City, Utah. These include:
- Construction delays: Building a new home can take time, and unexpected delays can cause frustration and inconvenience for buyers.
- Cost changes: The cost of building a new home can fluctuate during construction due to changes in material costs or unexpected issues. This can impact the overall cost of the home and potentially increase the buyer's expenses.
- Potential defects: While new construction homes are built to high standards, there is always the possibility of defects or issues that may arise after the home is completed.
- Limited availability: Depending on the area and the market, there may be a limited selection of new construction homes available, which could limit a buyer's options.
- Appraisal issues: The value of real estate can change during the building process, leading to appraisal issues. If the home's appraised value is less than the purchase price, this can impact the buyer's financing and potentially derail the sale.
- Interest rate fluctuations: Mortgage rates can impact the financing of the construction process, potentially leading to higher mortgage rates than originally anticipated.
- Cost to build: The cost to build a home in Park Citymay fluctuate through construction.
It's important for buyers to be aware of these potential drawbacks and work closely with their real estate agent and builder to minimize the risks and ensure a smooth homebuying process. By working with a knowledgeable Park City real estate agent and researching, buyers can make an informed decision and find the home that best fits their needs and budget.
Realtor's Role When Buying New Construction
A buyer's agent's primary responsibility is to protect the buyer's interests. Contrarily, a builder representative's primary responsibility is to protect the builder's interests. You can immediately start to see how these two responsibilities are opposed. There's no way a builder can represent you and the builder simultaneously.
Will they make sure to negotiate a deal where everyone wins? Sure. Will they abide by all the laws and ethics during home-buying? Most of the time, yes. But that doesn't mean that they will fight on your behalf to protect you. For example, it's impossible if they wear the builder's name tag and cash the builder's paychecks. It's not personal, and it's just business.
Even in tight markets where a builder has the leverage in the contract negotiations. A good Park City Realtor will refer you to a reputable real estate attorney to review the purchase and construction contract.
The Advantages of Working with a Local Realtor when Buying New Construction
In this article, we'll outline five ways our team can help you better understand the risks involved in buying new construction, so you can make an informed decision and feel confident in your investment.
Disclaimer: Buying real estate always comes with unforeseen or unknown risks. But when buying newly built homes and condos in Park City, Utah, the Carlson Real Estate Team is here to help you minimize those risks.
First, the seller pays the buyer's Realtor, which is the primary advantage of using one. This is because the Realtor is paid a finder's fee whenever the Realtor successfully introduces and matches a buyer with a new home. This finder's fee is a commission that most builders will gladly pay because the Realtor found a buyer for one of their homes.
Second, the Realtor will make sure that all of your interests are protected.
Third, the Realtor will analyze the home's market to ensure you are not overpaying for the area. By the time you add on all the upgrades, you could be the highest-priced home in the community, and that is never a benefit when you need to sell the home down the road.
Fourth, the Park City Realtor also knows the area and can tell you if pitfalls are coming down the road. For instance:
- Is the builder also planning to build a new development across the street?
- Is the density of the housing too high, which has a significant impact on the demographics of the community?
- Are there Homeowner Association (HOA) fees?
- What are the Covenants, Conditions, and Restrictions (CC&Rs')?
- Are there special assessment taxes — to build new parks, schools, and roads — the builder is now passing on to you? These are called "Mello-Roos" taxes, and every builder is subject to them here. They will either absorb them or pass them on. Which scenario do you think happens more often?
Fifth, the real estate agent will guide you through the processes — such as the contract, the construction, the final walkthrough, and closing. Finally, the agent can help you when things go awry, and it's construction, so they often do. Unfortunately, many builder sales representatives are not licensed agents, so when something goes wrong, you are subjected to the builder and have no one to protect you, advocate for you, or advise you. Since real estate agents help people buy and sell homes every day, they can foresee and protect you from these situations even before they arise.
Summary
In conclusion, buying a new construction home in Park City, Utah, has numerous benefits worth considering. From customization options to energy efficiency, modern design, and lower maintenance costs, there are many reasons to choose new construction over a resale property.
However, it's important to weigh the drawbacks as well, such as potential construction delays, fluctuating costs, and limited availability. By researching and working with a knowledgeable real estate agent, you can make an informed decision that meets your needs and budget.
Contact Your Park City Realtor for New Construction
Looking for a reliable Park City Realtor to help you navigate the new construction market? Look no further than the Carlson Real Estate team! With years of experience and a dedication to client satisfaction, we can help you find the perfect new construction home for your needs. Contact us today to get started!
*Originally posted on May 28th, 2018 and updated on 2/25/2023
Posted by Derrik Carlson on
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