According to Realtor.com, El Paso is the second-fastest-growing housing market in the USA for 2023. That means high prices and low availability for investors looking to secure real estate in this promising area.
One way to beat other buyers to the chase is by considering new construction homes in your real estate search. There are many benefits to buying a home off-plan, but it's not without its risks.
This is what you need to know before you take the plunge.
The Benefits of New Construction Homes
There are two major time benefits associated with buying a new construction home.
Firstly, you will usually have more time to arrange a mortgage. This is especially beneficial if your financial circumstances are about to change for the better.
Secondly, you're likely to enjoy lower prices when you get in early, especially in a rapidly growing market like El Paso. Property values in this area increased by 8% between 2022 and 2023.
You may have some say in the finishes involved in your new construction home, and you're guaranteed a move-in-ready property with no need for improvements. The average new construction home features many of the latest technologies to help you save money, such as energy-efficient heating and cooling systems.
The only risks associated with committing to an off-plan home are that the developer could go out of business or property values could plummet shortly after construction.
Tips for Buying a New Construction Home
It's easy to become swayed by glamorous renderings and sales talk when considering your options. Be sure to take the following steps before you visit a sales office:
- Choose a new construction home location
- Consider your desired features and onsite amenities
- The builder's and developer's credentials
- View several lot locations and floor plans
Based on these criteria, you can start the new construction home-buying process by visiting the site, touring the model homes, and observing the construction process.
During your site visit, it's important to keep in mind that your home might not end up looking exactly like the model home. Many of the luxury finishes in the models will only add to the new construction home costs.
Rather focus on cost-saving features and others that add resale value to the home. Never count on builders meeting their new construction home timeline.
Delays are common in construction, so make sure you've got a Plan B in place if your home isn't ready when expected. It's wise to add 30 to 60 days to the expected timeline to cover all eventualities.
Finally, pay close attention to the fine print when you sign your contract. Make a note of any extras you'll still need to buy, such as small appliances, security systems, and window treatments.
The Easy Way to Find Your Dream Home
Working with an experienced real estate broker helps simplify the intricacies involved in buying new construction homes. These experts can help you choose a home in an up-and-coming area and assist with the paperwork involved.
Our experienced real estate brokers can guide you every step of the way when buying an investment property. Get in touch today to discuss your property investment needs.