Quote:
Originally Posted by l2ridehd
In general I find re-sale homes cheaper then new. You can't just look and make a determination. You have to do an actual comparison. Look at everything. When looking at a new home price you say "I can buy an XYZ model for $XXX. And a resale just like it is $XX more"
But always consider these things. Did you look at the lot and lot premium for both the new and re-sale? Did you look at the list of options on both homes? Did you consider the bond balance on both homes? Did you consider what you will need to spend the day you move in on both? Attic stairs, landscaping, curtains and blinds, painting, all the cost to get settled in that home?
When I do that kind of detailed comparison, build a spread sheet with all the items and a fair cost for every item (except those I would never do or pay for) and consider that most re-sales sell for on average 96% of list price, then in almost every case the re-sale is cheaper. Then as Bare suggested, find a lower competitive priced home with a motivated seller and you will get a re-sale much cheaper then new.
Real estate is all about location. This holds true in The Villages as well. Where is that lot located, what is it near, does it have a view, back to a busy street, near or under the power line, pickle ball in your back yard, (they start batting that ball real early), and many other things to consider. They ALL impact the value and re-sale value of that home. You can't compare a new home on an interior lot against a resale home on a cul-de-sac and say they are equal. Take that new home and build it on a cul-de-sac and you will add $18,000 to $26,000 lot premium. Try as best as possible to compare apples to apples.
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If you really want to make an apples to apples comparison of relative prices , you need to do an analysis of the remaining useful life for all of the systems in a resale , ie: the roof on a new home may have a useful life of 15 years. If the resale is 5 years old then 33% of the useful life has passed. If the cost of replacement is $7500 , you have bought a future expenditure of $2500 -or more. This computation applies to virtually all appliances, windows ,painting ,plumbing , electrical systems etc. and can be a major hidden cost for the resale. To ignor this process is hiding from reality.