Outer Banks New Construction Homes Offer Many Advantages

Friday, February 6, 2015

by Holleay Parcker

Outer Banks New Construction Homes Offer Many Advantages

If you’re in the market to buy at the beach, then you should consider the many advantages of building an Outer Banks new construction home, because new homes provide a variety of advantages over existing ones.

Lot values have fallen more than existing home values have. Why? An existing home has the potential to generate income, either by being rented weekly or year round. A lot has no income potential. And this rental income helps to prop up values on existing Outer Banks homes for sale. So it may prove to be less expensive to build new than to buy an existing home.

New construction means that ALL components are new; thus maintenance costs are minimal for many years. I built my home in 2003 and 12 years later, I’ve replaced two items and made one repair. Those 3 items cost less than $2,000 to replace/repair. (Now, that’s what I call cheap living!) Buying an older home means that many of the major components have some age on them, and will likely need replacement sooner rather than later. Major components (think roof, hvac, windows, and doors) are expensive.

If you are considering buying a beach house, selling is likely the furthest thing from your mind. But one day, you will want to sell your home. If you buy a 20 year old home today, and sell it 10 years from now, your home will be 30 years old at that point. However, if you build a new construction home now, then it will be just 10 years old a decade from now. Newer homes hold their value better than older homes do because the buyer for your home in the future will be conscious (just as you are now) that older homes will need major components replaced soon, so they will want to discount the price they offer you for that fact.

Outer Banks new construction homes are built to the highest construction standards. Our codes now match Miami-Dade codes, which means that new homes are able to withstand the elements better than ever before. Thus, new construction homes should need fewer repairs from high wind events than homes that were built prior to the newer, more stringent building codes. If you live one or more states away, (as so many of my clients do) this may give you some comfort during storm season.

If you intend to weekly rent your home, you should be aware that most renters prefer new homes to older ones. Simply put, new homes rent better, and often for more money, which increases your home’s income potential.

This final advantage is a little hard to quantify, but here goes: Building a new home is a real shot in the arm to the local economy. It’s been said that more than 70 businesses and services benefit from the construction of a single house; in these uncertain times when the economy is trying to gain some traction, the more shots in the arm, the faster the economy will recover. You can be proud knowing that you have done all you can to stimulate the recovery.

All that being said, there are some challenges to consider before building an Outer Banks new construction home:

Interest rates cannot be locked in until the house is nearly complete. That means that interest rates could rise during the six months or so that it takes the builder to complete your home. Mortgage rates are still incredibly low, so if you are considering building a new home, now is an excellent time to begin your project.

Many folks are a bit squeamish at the idea of trying to build a house from one or more states away, in an area where they know very few locals. That initial squeamishness is not unfounded. After all, it will prove impossible, or nearly so, for you to come down as often as you would like to check on the progress your builder is making. That’s why it is so critical to find the right Outer Banks builder.

Even with the right builder, there is still plenty of work for you to do. You have to make all of the selections for your home, from the roof color to exterior paint colors, interior paint colors, carpeting, wood &/or tile floors, cabinetry, counter tops, as well as electrical and plumbing fixtures. I can assist you in with the selection of a builder who will listen to your needs and provide you with a high quality home..

As far as squeamishness goes, there is plenty of time in the process before committing to the project for you to do your due diligence – from calling all of the builder’s references, to checking his status with the local Outer Banks Home builders Association, to walking through several homes he has completed. As your confidence in his ability to build a high quality home grows, your trepidation will be replaced with excitement.

Making all of your selections does take some time and effort. Begin looking at magazines for ideas you like, and for color selections you prefer. Make a visit to your local plumbing and electrical stores, and start thinking about faucets and lighting fixtures. Familiarize yourself with the types of wood flooring that are available. Having an idea of what you want will make the selection process less stressful.

I’ve assisted many clients throughout the process with their Outer Banks new construction home, and I’m happy to assist you too. Please feel free to call me with any questions you have. I’m here to help.

For more tips on selling Outer Banks real estate, contact Holleay Parcker toll-free at 877.207.1617 or on her cell at 252.207.1617.

Holleay has fourteen years of full-time experience assisting buyers and sellers, and in this challenging market, can assist you in maximizing the return from your sale. Believing that education is the pathway to excellence, Holleay has earned the coveted Certified Luxury Home Marketing Specialist, is a Million Dollar Guild member, is a member of the Institute of Luxury Home Marketing, and holds the Resort and Recreation Specialist, Accredited Buyer’s Respresentative, and e-PRO designations. In addition, Holleay was recently awarded the 2014 BEST OF TRULIA TOP AGENT AWARD.