The answer to this depends entirely on your circumstances and the availability of a home that has what you’re looking for. This being said, there are some characteristics of building and buying a home that remain constant and help determine whether it is best to build or buy a house. In determining when you should buy and when you should build, consider the following characteristics and their implications:
- Used houses tend to cost less up front.
- Buying a used house and renovating it is usually more expensive than building a new home.
- A new home will have entirely new equipment and features, which usually means that they will maintain a higher degree of functionality and a more attractive appearance for a longer period of time. It is also likely to reduce the amount of maintenance that is needed and could lower utility bills.
- If you build a new home, you are going to be much more likely to get all of the features you want.
When you should buy…
When you find a house that has everything you’re looking for, will require little to no renovation, and costs less than it would to build a home, buying a house is most certainly the way to go. You are going to save money without sacrificing the characteristics and features that you want.
When these conditions for buying a home are not met, it might make more sense to build. Here are some specific circumstances where building would probably be the better option:
- You cannot find a home that has everything you are looking for on the market, and the only alternative to building a new home is renovating it to meet your needs.
- The renovation and maintenance costs of buying a “fixer-upper” is greater than the cost of building a new home.
- The renovation and maintenance of purchasing a used home will take a great deal of your time.