Questions to Ask When Buying a New Construction House

There's a lot of information out there to help home buyers find an existing home, but what happens when you're looking for new construction? It's a totally different process, so you must approach it in a different way. Here's what to ask when looking to buy a home that's new construction.

1. How reputable is the builder?

Reputation matters when seeking a new construction home. If the builder has a poor reputation, they may be known for building subpar homes, not delivering the homes on time, or exhibiting another flaw that impacts your home ownership. Look for builders that have strong reputations and a track record of proven success with other communities, so you'll be able to rely on them to deliver your home on time.

2. How do home owners like the neighbourhood or community?

If you're buying into a development that's already partially occupied, try to find out how the people who live there like it. What are their complaints, and what do they enjoy most? If you can't talk to your potential neighbours, try to visit the development. Walk around the streets or peek in the windows of homes under construction. Does this seem like the type of place you'd like to live? If it isn't the right fit, what would be?

3. What finishes come standard, and what are the costs to upgrade?

New construction homes come with standard finishes, but the sample house you see may have upgrades. So you know what you're buying, ask about standard finishes. Find out how much it would cost to upgrade to desired features, be they hardwood floors or granite counters. When you understand this information, you can evaluate the true cost of home ownership in that community. If you really want to move into the community but can't afford to get the finishes you want, you can opt for the standard finishes then pay a contractor to upgrade later.

4. What rules and regulations affect homeowners?

Many communities have regulations and rules that affect home owners. If you don't ask about these up front, you could wind up chafing over a rule you dislike, such as a prohibition about fencing in a backyard. The right home for you is a place where the rules suit your needs and personality.

5. What are the long-term plans for this community?

If you're among the first to buy in a development, it's critical to find out what the builder's long-term plans are. Consider if you're one of the first home owners to buy in a new cul-de-sac and the builder anticipates quadrupling the size of the development. You'll be living with the sound of construction until those other cul-de-sacs are built out. If you're retired or you work from home, this can negatively impact your quality of life over the long term.

6. What is most important to you?

New construction homes come with the ability to customize the finish of your floor plan, bedroom, and bathroom in communities like Canyon Meadows or elsewhere. Unless your budget is unlimited, you'll need to reconcile what is important to you and what you can afford. If you need to compromise, try to buy the most you can afford in terms of square footage. It will cost more to add on another story than it would to replace linoleum floor with tile.

By taking the time to think through what's really important to you in a house, you'll wind up getting a home that's a strong fit for your family.