What makes a new home hold its value?

Building a new home is an exciting prospect. You get to put your “personal stamp” on it and have it reflect your tastes. But you also want to keep the future in mind. To help ensure your new home holds it’s value, consider the following:

Choose the right location
The first step is to choose the right neighborhood and location. Is the neighborhood that you are considering in a convenient location where people want to move? How are sales in the community? Is the sales office busy? Is the builder pressing to keep up with the demand for new homes? These are all telling indicators of future value and positive signs that you are choosing a community that is desirable to many potential homeowners.

Carefully research your builder
It’s important to do some research before buying a new home to learn which builders have the best reputation and are respected for their quality work. If you buy from a builder who does shoddy work or creates uninspiring floor plans, it can be more difficult for your new home to hold its value. Choose a builder that other people recommend.

Be selective about upgrades
When building a new home, there are many features and upgrades to choose from. Be careful during this process. Select upgrades that will add value to your home, but don’t spend so much on them that you over-price your home for the neighborhood. Generally, upgrades in the kitchen tend to pay off, so focus on that area. And save money by sticking with standard options wherever possible.

Look for a community that has distinction
New home developments are often clustered together on the outskirts of town. With so many new homes to choose from in the same area, you want yours to stand out from the competition at resale time. Look for a neighborhood that has something unique about it: Perhaps a neighborhood pool, walking trails, or distinctive architecture.

Above all else, choose the new home that’s right for you. While it’s important to keep resale value in mind, remember that you are buying for yourself first. Build the new home that makes you happy.

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