Used Home or New Home?

A Capstone Home located in Cannery Village, Milton, De.
July 17, 2011

When someone is looking for a Delaware Beach Home, the number of choices can be daunting. The current real estate market is very soft, and the Delaware beach home market is probably the greatest buyer's market anyone can remember. The combination of low interest rates and low prices allow for some astounding deals in real estate.

So how does anyone sort through all of the choices? What about short sales and foreclosures?  A new home or a used home?  At Capstone Homes, our buyers typically spend almost a year looking at real estate before they decide on purchasing a Delaware new home. A 12 month long search can include dozens of communities in completely different real estate markets.

1. New or Used? The most important question about whether to buy a new home or a used home has to do with location.  If a specific location is the paramount issue for someone buying a Delaware beach home, then used might be the only option.

If location isn't the only concern, then the design of the home should be very important.  Buying a Delaware new home allows the buyer to build to individual tastes and desires. It might take a little more time, but a buyer gets what he/she wants.  Another important factor in the home should be cost of ownership. A new home is bound to be more energy efficient than an existing home.  At Capstone Homes, our Delaware new homes are 35% more energy efficient than most homes being built today.  (That's based upon the HERS score- a typical new home has a HERS rating of 100.  Capstone Homes' average HERS rating is 65.) New can be a better option because it has the specific features that a buyer wants, a modern floorplan, and the home will cost less to own because of the energy savings.

2.  Short Sales or Foreclosures? In Delaware, a seller of real estate is required to complete a Seller's Disclosure form that gives a buyer information about the property and the structure on the property. In dealing with a REO (Bank Owned) property, these disclosures are rarely provided. That means one thing: BUYER BEWARE. On paper, the REO property might look like a great deal, but sometimes the cheapest item isn't always the least expensive. Short sales and foreclosures need to be handled carefully, and the best deals may be hard to find.  Everyone knows about REO and distressed property, and many people are looking.  If lots of buyers are looking for the same thing, then the deals aren't as great.

In the end, we here a Capstone Homes think there is a home for everyone.  We think it ought to be a new home in one of our communities.  A new home offers a value in both upfront price and cost of ownership that make Delaware new homes like Capstone Homes a compelling value.