As buyers shop around the real estate market, new homes are becoming more and more attractive to them.
According to a survey of current and prospective homebuyers conducted by the National Association of Home Builders, 61% of buyers say a new home is their first choice when choosing between an existing home and a newly built home. That’s the highest percentage of buyers preferring new construction since 2007.
New homes can be custom-built on the buyer’s lot, or they can be built for sale (including the lot). The NAHB study shows an increasing trend in the share of buyers who would prefer a new home built for sale over the past two decades, from 22% in 2003 to 40% in 2023. In comparison, buyers’ preference for a custom-built home declined from 49% to 21% over that time period.
It’s no surprise that buyers are looking for new homes. Unlike many older homes, new construction features modern floor plans and designs that emphasize space, optimization, and comfort. Buyers can choose from a variety of floor plans, including expansive open spaces, that accommodate different lifestyles and growing families. In addition, modern designs go beyond flexible floor plans to incorporate the latest technological features and appliances.
Another benefit of purchasing a new home is the energy-efficient options available. Many builders have chosen green construction techniques so that a home is cost-effective to operate, has healthy indoor air quality, and has a minimal impact on environmental resources. NAHB recently surveyed more than 3,000 homebuyers, both current and prospective, about the features they prefer in their home, including eco-friendly components and designs. The top features homebuyers want include modern windows, HVAC systems, and ENERGY STAR-rated appliances.
New homes offer financial benefits beyond energy efficiency. Homeowners can also save on maintenance costs. Professionally built homes are designed to last, reducing the need for costly repairs common in older buildings. New home buyers are spared the inconvenience of replacing old appliances. With minimal immediate upgrades or renovations required, residents can fully enjoy their new homes, communities, and the American Dream.
For information about the benefits of new homes, contact your local home building association at [email protected].
Mike Thomas is the 2024 President of the Building Industry Association of Stark & East Central Ohio.
