Will a new construction home break the bank? Find out in today’s message.
Many people are enjoying new construction homes in today’s market. There’s a great selection of lots and land available for building sites, but some potential buyers are concerned that it’s more expensive to build a new home than buy a pre-existing one.
Let’s say we’re looking at a 3,500-square-foot house with five bedrooms, three bathrooms, and a triple garage. If it’s 15 years old, it’ll sell for somewhere between $95 and $105 per square foot. This equates to a total price of around $350,000.
Because of the recession, we had nearly no new construction in St. Cloud from 2006 to 2011. Homes built after the recession are selling for $125 per square foot up to $160 per square foot.
If you want to build a new home now, patio homes are selling for between $150 to $170 per square foot. If you’re looking to build a traditional two-story home, pricing will be between $175 and $225 per square foot. Upgrades and add-ons can boost the price quickly.
The difference between a new home and a 15- to 20-year-old home is about $150,000. If you’re looking at a home built shortly after the recession, it’s closer to a $50,000 to $80,000 difference. However, by building new, you have the luxury of choosing your preferred designs, styles, and decor, and everything is brand new—you won’t have to repair anything for quite a few years.
Whether you’d like to buy an old home or construct your own, we’d be more than happy to answer any questions you may have. We look forward to hearing from you soon.