New Build vs Second Hand – The Pros & Cons

There are advantages and disadvantages when it comes to deciding between buying a new build or existing property. You will need to weigh up what factors are most important to you from your list of “must-have” features and which type of property ticks the most boxes for you.

To help you in making your decision, we have put together some pros and cons for you for both new build properties and existing “second-hand” properties.

New Build Properties – Pros

• Incentives – Some Developers will offer “extras” to secure a sale. Incentives are split between financial incentives and non-financial incentives. Financial Incentives could include stamp duty paid, a contribution towards legal fees or even estate agents fees paid if you have a related sale. Non-financial incentives could include carpets and flooring provided, or your kitchen white goods being provided at no extra cost, or even an upgrade to the standard kitchen or bathroom suite installed. The different incentive packages that a Developer is able to offer are often broad.
• Warranties – a new homes warranty will be available on most new build properties, which you don’t always get with a second hand property. New home warranties are designed to offer peace of mind that any defects will be put right and typically last 10 years.
• No chain – You won’t have a chain of buyers above you, which can often take away one of the biggest stresses of buying a home.
• Blank Canvas – a newly built property is a blank canvas with fresh paintwork, tiling, kitchen and bathroom. There should be little that you need to do before you can unpack and enjoy your new home.
• Design you own home – where you buy a property “off-plan” you will be able to pick the Plot that you wish to purchase based upon the design and specification of the property and may also be able to choose kitchen and bathroom layout and pick the fittings from a range of options.
• Low bills – all new builds have to comply with the latest building regulation standards, meaning that they are often more energy efficient than older properties.
• Modern living – Many new builds are built to a high specification which will include the latest technology.

New Build Properties – Cons

• Delays – not everything runs smoothly on a new build property and there can be delays outside of everyone’s control which can cause added stress, increase costs and also prove to be inconvenient where you are trying to plan your move around work, schooling and holidays.
• Snagging – there is often bad publicity in regards to poor quality new build homes. Even with the best developer you should expect some minor snags, for example, doors may get caught on the carpet, tiles may be loose, paint finish needs a second coat, etc. Once the Property is fully built you should be invited to attend a walk around of the property to identify any snagging issues for the Developer to rectify.
• Space – new build properties can often be less spacious than an older property due to the number of properties built on the site. This can often affect storage space within a property, so ensure that your furniture will fit and that you can get your car into the garage/on the driveway.

Second Hand Properties – Pros

• Character – there are plenty of older properties with features such as open fires, stained glass windows, exposed beams, sash windows which all add character to a property. These features often make us fall in love with a new property on an initial viewing.
• What you see is what you get – when you buy a new build property off plan it is often very hard to visualise what the property will look like and how it will feel to live in, but with an existing property you will be able to physically walk around and view the Property and see everything that you will be getting. A surveyor will also be able to attend to carry out a full inspection which will tell you everything you need to know about what you are buying.
• Community – an existing property may be in the heart of an established community, with pubs and restaurants close by and neighbours who have lived in the area for many years who will be able to give you historic background to the local area.
• Space – older properties are generally more spacious with bigger gardens.
• Potential for Alterations – whilst an existing home may not be “perfect” and may need some modernisation and alterations, you have some potential to put your own stamp on it and the ability to increase the value of the Property.

Second Hand Properties – Cons

• Chains – when you buy a second hand property it is likely that the current owner will also be looking to move to a new house, which will create a chain. Where you have a chain the wants and needs of all parties will need to be considered and the more parties involved the longer it can take for everyone to agree on timescales, which can make the move more stressful.
• Energy Efficiency – older properties are less likely to be as energy efficient as newly built properties. This could mean that your energy bills are higher with an older property.
• Maintenance costs – unlike a new build property you can expect an older property to need maintenance. Sometimes maintenance works will be required as soon as you move in.
• Renovations – you may want to carry out renovations and redecorate as soon as you move in, so you will need to budget for these extra costs.

The decision to buy a new build against an existing “second-hand” property will ultimately come down to personal preference. There is no right or wrong choice. Make sure you have all of the information you need before you exchange contracts and that you are buying the home that gives you what you need.

For advice in purchasing a new home, for new builds call our New Homes Teams on 01604 828219 and ask for Kris Raca or email newhomes@franklins-sols.co.uk or for second hand properties, contact our Conveyancing Teams on 01604 828282 / 01908 660966 or email conveyancing@franklins-sols.co.uk.