Friday, May 16, 2014

The Economic Factor of New Homes

As I speak to several potential clients who tour our model homes every week, many are having the age old debate of purchasing new versus used.  Factors such as location, price, lot size, warranty, availability and energy savings are all important variables people consider with such a major purchase. However, one factor that rarely comes up is the economic advantage to the surrounding community when buying new. 

When purchasing a used home there is a very short list of financial benefactors: You typically have a real estate agent(s), a lawyer and a home inspector that will receive some economic benefit from the transaction. When purchasing a new home there is a long list of people involved in the process:

  •       A building company such as Parkview Homes with a staff of 25+ employees
  •        Trades: 
    • sales people, excavators, footing and foundation formers, framers, plumbers, electricians, roofers, brick layers and siding installers, flooring installers, drywallers, painters, trim carpenters, cabinetry installers, HVAC contractors, cleaning crews, etc.
  •        Manufacturing companies and building supply stores
  •        Government employees: 
    • city planning department staff, building inspectors, health and safety inspectors, Tarion employees (warranty company), etc.
  •        Development charges: development charges are built into the purchase price of every new home and are used to help finance city infrastructure

So when you are going through the debate of new versus used, not only will you receive a clean, energy efficient new home, personalized to your families individual taste, it is worth considering the strong economic factor that goes hand in hand with new home construction! 

- Paul, New Home Specialist (Sales Representative) 

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