3 Approaches to Home Ownership
Becoming a homeowner has long characterized as what many people perceive as realizing part of an American dream. Historically, this concept has been associated with various origins. One source attributes the expression to the 1931 book “The Epic of America” by historian James Truslow Adams. Wherever it originated the idea seems to have flourished after world war 2 when returning veterans were finding jobs, getting married and settling down. The bustling 1950s saw suburbs springing up everywhere and a robust economy with jobs and opportunities enabling many to own a home for the first time.
Today, purchasing real estate is a part of many people’s financial strategy. Homeownership allows for the building of equity based on appreciating real estate values. Whatever the motivation for buying a home the process can be a complicated matter. There are many choices to be made and among them is the decision of how to approach acquiring a property. Aside from some unorthodox methods, there are three common ways of going about this task. These include design and build construction, spec home purchase and buying a pre-existing home.
Purchasing Design and Build Construction
Some of the benefits of design and build construction include maximum customization and an in-depth understanding of a home’s features. This approach engages prospective owners by having them work directly with the professionals that design and construct residential properties. Owners exercise the most control in this scenario as they make decisions about the home’s layout and construction literally from the ground up.
Choosing this approach will likely require the most time. Having the ability to incorporate specific customized features means making a lot of decisions. The construction schedule may be delayed if unusual materials are involved or specific features require more man-hours of labor to incorporate. This approach is best adopted when there is ample time available to devote to the project.
Purchasing a Spec Home
Good home builders are skilled in their ability to deliver maximum value by standardizing certain aspects of construction. Spec homes are proof of this ability. These houses take advantage of features that work well while keeping an eye on the budget.
Prospective owners can benefit from this approach in many ways. Being able to tour an existing structure prior to making their purchase decision allows for an understanding of what they are buying upfront. Furthermore, many builders will accommodate some degree of customization when choosing materials or specific features.
Purchasing a Pre-existing Home
This approach to acquiring real estate takes out most of the guesswork and delay. Depending upon the prospective homeowner’s location the market for used residential properties may offer a huge variety of options. The local market’s dynamics may also play a part in determining the investment required.
There is some advantage to having access to a pre-existing home’s history to consider. Have major appliances been replaced recently? What are the average utility costs monthly for a home? These questions can help a buyer make informed decisions.
When deciding to purchase real estate there are many options to weigh. First-time buyers are well-advised to connect with real estate professionals for guidance. When choosing an approach to acquiring real estate, understanding the options will enable better decision making and ensure a dream come true.