Growing up you might have heard the phrase “bigger is better”, but these days a more apt expression may be “newer is better”. With the lifecycle of new technology requiring an upgrade every few years, most people have fallen into a routine that has them assuming the newest product is the best.
But is this adage correct? While your first tendency in purchasing a new property may be to gravitate to new homes, this may not be the most fiscally responsible decision. As your local real estate expert, I’m here to help you decide if buying new construction is the right decision for you and your budget.
What Size Are You Looking For?
Being an island, there is only so much real estate space that Hawaii can provide. Throughout the years, builders have compromised lot size for ease of fitting more people on a developing property.
For a homebuyer, this simply means that newer homes generally have smaller plots of land, and if you value spacious yards, new homes that provide it may not be in an affordable range. If you choose to buy your own plot and build a home on it, the cost of building is $180-$250 dollars per square foot, making building a home the size of most homes already available over $800,000 in today’s market.
Beware of Cheap Land
If you think the price of $180-$250 dollars per square foot sounds more expensive than the houses or land that you’ve been, it’s best to get in touch with your real estate agent right away. Land or new construction homes that seem like too good of a deal to be true, usually are.
Hawaii is still home to active volcanoes, and some of the cheapest land available is directly around them. While this can be an option, I (and any local real estate agent) would highly advise against it.
Like the saying goes, “Rome wasn’t built in a day”, and although we have much better building technology these days, designing and building a new construction home still takes time. To build a new home, you must apply for permits, which can take 3-4 months on their own to be approved.
If time is a concern at all, building a new construction home is probably not the best option for you. Buying a home and then renovating and turning it into your Hawaiian dream house will save you much time, money, and energy.
Ready for Everyday to be a Vacation?
If you’ve been thinking of relocating to Honolulu, then it’s time to contact RE/MAX Honolulu. As your local real estate experts, we can help you find the perfect home that fits your budget in Honolulu, or any of the surrounding Hawaiian islands.
Let us take you on a tour to explore the area, discover the beautiful cities and show you unique neighborhoods. Contact us today for more information about buying a home in Hawaii, and finding your perfect place.