By: Warren Damiano
The choice of whether to buy a new or an older home tends to be swayed by two very diverse considerations – emotions and finances.
Some of us love older homes with their sense of history, charm and character and others are only truly happy with something that is brand new and has all the latest conveniences. No advice from outside will sway us from our emotional preferences and we should honor them. If this is to be your home, it should be the type of house you are most comfortable in.
If, on the other hand, you are looking at the choice of older versus newer with your primary motivation being financial, there are a few things to consider. New homes typically have lower maintenance costs, but that is frequently balanced by a higher purchase price.
Of course, it is not just the costs of repairs and maintenance that we tend to look at but also the aggravation factor of dealing with them. Older homes can be a source of pride and joy for those of us who are handy and love to restore them but they can be a nightmare for those not so inclined.
New houses and very charming well built and maintained older homes tend to hold their value better than those houses that are neither new and convenient nor old and charming. Utility costs are one financial concern that can vary dramatically. Unless an older home has had insulation added to it at some point in its history, you can expect to pay much higher utility costs in an older home.
Ask your Realtor how much the present owners are paying for their utilities if you are looking at an older home.