The Pros and Cons of Older Homes

Last week we talked about the Pros and Cons of buying a new construction home. This week, we discuss older, or pre-existing homes.

Buying an Older Home - The Pros

Large trees remind many potential buyers of their childhood home. The value of a spacious yard for pets and children to play in is difficult to quantify. There are no rigid homeowners associations or the costly dues that come along with them in most older neighborhoods. Typically, existing homes cost about 20 percent less per square foot than new construction in the same area. Some other advantages:

You have more styles to choose from. In your price range and selected area, you will find brick or wood sided or vinyl sided homes, single or multi story homes, and many different floor plans.

Individual sellers are often more negotiable on price. They may be motivated by other life factors to sell fast.

Neighborhoods are more established. The final determining factor for many home buyers is which place feels most like home. There is a sense of community in older neighborhoods that is missing in some new developments.

They tend to have more character. Part of the joy of owning them is you can upgrade them and fix them up to your own preferences.

Buying an Older Home - The Cons

If you are handy and want a home you can make your own, make sure the home is a fixer-upper home worth investing in. If you are not particularly handy at home improvement projects or knowledgeable about the cost of home repairs, older homes can become large money pits. The seller’s disclosure may offer some protection. Any known issues must be revealed, and if there were major problems like foundation issues or leaky basements, it should surface in this documentation. Additionally, a home warranty can protect buyers from expensive appliance repairs. There are still some other cons to owning an older home that you should keep in mind:

Typically much less energy-efficient than new homes. If they do have things like thermal windows, they are less efficient than modern windows. Retrofitting new windows to older homes is quite a challenge.

May have small rooms that you are stuck with. Load bearing walls will prevent you from making significant changes to the existing floor plan. Some mirrors and bright colors may make the rooms look bigger, but they will always be the same size.

Generally require ongoing maintenance that will quickly turn into costly repairs if not done. Additionally, older homes have less useful life remaining for things like the furnace, roof, and appliances.

With a knowledgeable real estate professional on your side, you can make an informed decision about your purchase of any existing home. You should also have any house you plan to buy inspected by a certified home inspector. Make your decision based on a logical assessment of your needs. Ideally, you should have a second and third choice in case you need to walk away from negotiations on your ideal home. People who make objective decisions about their home purchase based on lifestyle preference and aptitude for home improvements are more likely to feel good about it in the years ahead.

Provided by:

Jay Burnham & Linda Morey, Premier Associate Team

Coldwell Banker Residential & Commercial Brokerage

NorthShoreRealEstate.com