UnThreaded | Threaded | Whole Thread (8) | Ignore Thread Prev | Next
Author: selkie1 One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 127815  
Subject: Re: buy existing vs. building Date: 4/11/2001 5:49 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
Another apples/oranges thing can be location. Around here, a new home can be both lots more expensive and much more affordable than a used one depending on location.

I live in an area (Ft. Walton Beach FL) where the Department of Defense owns the majority of land in the county. There is a limited supply of open land in the south part of the county. (The area near beaches, the mall, good restaurants, etc.) South county, new homes are generally on 50x90 lots and even the cost of a new home is high because land is so dear. With a handful of exceptions, new housing is infill. So because of the scarcity, you do pay a steep premium for new.

And there is good older housing stock south county that can be priced significantly lower than the new stuff. We just signed a contract on a 1700sf 3/2/2 for $129,000. To get that much square footage in a new home would cost us at least $150,000 and we would have a much smaller lot.

However, go north of the Air Force land,(about 20 miles) and available land is plentiful. 1/3 acre lots are standard. New subdivsions are spring up all over the place because a comprable new home in Crestview can be up to $40,000 cheaper than the same new home in Ft. Walton Beach. There, the newer homes with all extras are slightly cheaper than the existing housing stock.

Location, location, location alone can make a huge difference.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (8) | Ignore Thread Prev | Next

Announcements

Useful Resources
Our Home Center has all you need to make buying and owning a home a great experience. Get or refinance a mortgage and much more!
Buying/Selling a Home FAQ

Mortgage Professor
Offsite resource for mortgage questions.
Foolanthropy 2014!
By working with young, first-time moms, Nurse-Family Partnership is able to truly change lives – for generations to come.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Macro Economics

Looking at Currency Ratios
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement