Buying a Foreclosure? Buying New Might Be The Better Deal!

 

Several months ago my best friend, Ann, who lives in upstate New York, called and said she had decided to take money out of her retirement account and buy a second home. In her words – she wanted to “diversify her losses”.   Ann began her search in North Carolina.  After several conversations about the incredible value of homes in Florida and the increasing number of foreclosures, she agreed that Florida would be the best option. And, she would have the added “perk” of living near me!

 

She started looking with a local Realtor, Diana, and the “virtual” search began online.  For several months Diana and Ann looked at foreclosures and short sales via email.  Once several homes were picked for selection, Ann booked her flight to Florida – checkbook in hand – for the whirlwind weekend to find a second home.  Being a wise and conscientious Realtor, Diana had also included some new homes in the search mix.  Why new homes? Good question.  Ann wasn’t even considering a new home since prices were so low on foreclosures. Diana wanted her to understand the good deals on new homes too!

 

After looking at nearly a dozen foreclosure homes, it was getting quite depressing looking at homes that were once beautiful, well-kept homes that were now abandoned, dirty, moldy, stripped of appliances, lighting fixtures and doors….yes, interior doors!  One home was so infested with roaches, we literally ran out of the house! 

 

We started re-thinking what seemed to be “good prices” on foreclosures.  Ann may be able to buy a home that was substantially below the previous purchase price, but was it really a good price… a good investment?  What types of mold or insect problems existed behind the walls?  What would it cost to get the house cleaned up – carpet replaced, walls repainted, appliances replaced.  Would the air conditioning system have to be replaced?

 

On the third day of her search, Ann and Diana drove into a community of new homes in Melbourne by Stanley Homes.  That’s when Ann made her decision to buy a new home!   Not only would she have all new EVERYTHING, but she would also have peace of mind knowing that her new home was built by a third generation, local custom builder and backed by a new home warranty.  Ann also felt good about buying a new home because they are more energy efficient and the new Florida State building codes require builders to use materials that can withstand hurricane forces much better than older homes. In addition, Ann was excited that she would be just a few minutes from the beach and could walk to local parks.

 

Ann flew back to New York feeling good about her decision to buy a new home in Melbourne, Florida.  She knew she had made a good decision and a good investment in her future.

 

While out shopping for a foreclosure home for a “good deal,” consider visiting new home communities too. Prices are at an all-time low, and many builders like Stanley Homes offers affordable pricing, excellent quality and a good deal that THEY GUARANTEE!