What type of home do you want to buy?

Buying a house... apartment... or a townhouse?

There are many options to consider when deciding to buy a home. Never before have so many options been available, and it is like walking through a minefield to determine exactly what you want.

If you have read through our pages on How do I begin the process of buying a home? and What are my housing needs? you will have a pretty good idea of what you are looking for.

Kent sez: “To save you money in future, make sure that whatever home you buy is inspected carefully and that you are provided a 12 month insurance policy to cover any defects found after you purchase the home.”

To help you further narrow down the field we will attempt to give you some “feel” for what types of housing are available and what the “pro’s and cons” are of each type.

New Homes

Many people like the idea of buying a new home. The thought of having brand new appliances, and the expectation of having no problems because of aging are huge positives. Also, a new home will be without the “personality” of the previous owner through decoration or floor coverings etc. A new home can be very appealing.

New homes are generally available in new developments and this is one of the drawbacks. Depending on the developer, you may find large developments of new homes that all look alike; all have the same features and only slightly different exterior features. (This is of course the same as buying an established home in a housing tract.)

The biggest disadvantage of new home buying is that the base cost can quickly become much higher once you start looking at available options and upgrades. Upgrades will enhance your new home considerably, and will add value to it when you decide to sell it in years to come, however they can be very expensive. In addition, the costs of completing the landscaping work can be extremely high depending on the location of the property.

These additional costs must be calculated into the overall costs of buying a new home, so that you have few surprises.

A big advantage of a new home is that nobody has ever occupied the premises and you will be covered against defects under the builder’s insurance policy for at least the first year, and then 10 years under a roofing policy.

Established Homes

Many people prefer to buy established homes because of the appeal in living in an established neighborhood, with tree lined streets and landscaped yards. It is often possible to purchase an established house for much the same cost as a new house, without the need to do any further work. If the established house has been well maintained, and properly prepared for sale, it can be available for move in very quickly.

One downside of established houses is that the builder’s insurance policy may have expired on an older house, and the wear and tear associated with age may cause some problems. This issue is largely resolved by ensuring that a good inspector is used for a pre-purchase property inspection. This inspection should alert you to any major issues that the house could have. Of course, you can also state in your offer to buy that the seller arrange for a 12 month insurance policy as part of the purchase price. This will certainly help cover any of those issues that may not be found in a general inspection.

Established homes can be found in urban locations as well as rural settings, and may or may not be custom homes.

The major benefit of an established house is that the purchaser can generally move in quickly and enjoy the benefits of the previous owners efforts to landscape, carpet, decorate and maintain. If the property has been well maintained, established houses are a great alternative.

Custom Homes

Custom homes are specifically built for the original owner, and can represent great opportunities for the new purchaser to own a distinctive and different property. As a rule, custom homes are far more expensive than tract housing, and are usually found in the more upscale areas of town, although this is not always the case.

The disadvantage of custom homes is that they are usually more expensive, and that repairs are also more expensive because of the highly customized nature of the property.

When you try to sell a custom home, you may find it difficult to sell at the price you want, even though there is no doubt that the quality is there. This is because the market may not have sufficient numbers of purchasers for custom built properties when there are so many great new development houses at reasonable prices.

If you are buying a custom built house, make sure that you can get copies of all plans and council approvals, and that you have a very good prepurchase inspection carried out. There are many wonderful custom built houses available, and many that could suit your needs perfectly if you are prepared to pay a little more money for a “different” house.

Townhouses

For the person who is looking for a low maintenance lifestyle, a townhouse could be a suitable answer. These are usually two story properties with two bedrooms, one downstairs and one upstairs. It is not unusual for the upstairs to be simply the master bedroom and bathroom suite.

Townhouses are usually nested together in groups of 6 to 8 as part of the one building, and may have a small patio attached to the property.

Usually found in high-density housing complexes, a townhouse will provide modest accommodations in an already existing complex. The complex could have many different amenities such as swimming pool, tennis courts etc.

There are a number of things to be wary of with townhouses. Be careful to understand how the homeowners association works, what the dues are and what your rights are as a homeowner. Also, be careful of how many properties in the complex are rented out – you could find yourself being one of only a few homeowners in the complex, surrounded by renters who are only residing there for short periods. It is possible that the very thing that appeals to you about a townhouse could be the same thing that drives you out of the complex. We are not saying that renters are bad people… we are just saying that if you buy a townhouse in a large complex, the “feel” of the complex could change dramatically over time.

Apartments

Apartments are usually single story dwellings similar to townhouses, except often smaller. The same issues apply to apartments as with townhouses, and care should be taken in regard to the complex where the apartment is situated.

Townhouses and apartments make quite good investment properties, however the growth in the value of a townhouse or an apartment is typically much slower than what you can expect from a house.

We hope this information has been helpful to you. If you are ready to start looking to buy a home, why not check out “Petersens Picks” which is a selection of Kent’s more interesting properties currently for sale in the Antelope Valley. If you would like to know more about the Antelope Valley, click here. We'd love to answer any questions you might have - contact us. You may find that the Antelope Valley offers alot more than you ever expected.