If you’ve decided to invest in a new home in Waco or McGregor, now is a great time to buy. Homes are still undervalued in many Waco neighborhoods. That’s despite the hot Central Texas housing market. The median home price in Waco is less than $170,000 — that’s lower than the state’s median price of a little less than $200,000. That’s why putting down roots in Waco today is simply more affordable than other Texas cities.
Luckily, you have choices when it comes to finding your dream home. Buying, custom building, or purchasing a new model home in a subdivision are all options with pros and cons. Let’s explore these options in more detail below.
The Benefits of Buying
The two benefits of buying a home are cost-savings and convenience. When you decide to buy an older or recently constructed home, shop around to find the best value in your budget. If you’re looking to get into a new home quickly, buying is your best bet. While building a home can take months, closing on an existing home often takes weeks.
Also, buying a home is less expensive upfront than building. Currently, the national median price for an existing home is $223,600. Building a home has a higher median price of about $281,000. That’s not the only cost you’ll need to consider. Landscaping, for example, can cost several thousand dollars for a new home. Existing houses already have mature trees and yards with existing landscaping.
Maybe you’re the type of homebuyer who is excited to take on an older home as a “project”. You may want to renovate a house instead of building from scratch. Remodeling and DIY projects can refresh an older home while maintaining its vintage character. Of course, these projects can be time-consuming and expensive, depending on the property.
Not interested in renovation? Buy a newly constructed home in a subdivision. This gives you some of the same perks of a custom build (energy efficiency, cost predictability, and larger floor plans) without the wait or decision-making process of a custom home.
The Benefits of Building
In general, if you’re looking to invest in a forever home, Waco is an excellent place to build your dream home. Building new offers unlimited potential for customization. You can design the floorpan and features to fit your family’s needs. This can be challenging in existing homes.
Building is usually more expensive up front, but an older home may have more “surprise” costs. Outdated HVAC, mold or water damage, foundation repair, and remodeling could all cost you a small fortune. New homes are usually more energy efficient. That could save you thousands over the years.
Explore your Home Buying Options in Waco, Texas
In Waco’s growing housing market, you have plenty of ways to find your dream home. Zillow provides a separate listing of new homes and existing home plans. Search Google for “Waco home builders” and you’ll find plenty of potential builders.
So, how do you finance your new place? TFNB offers convenient constructions loans that convert to permanent mortgages when you’re done building
Whatever type of home you choose, we’re happy you’re investing in the Central Texas community we’re proud to call home! When you’re ready to talk about a new home, visit your nearest TFNB location. One of our experienced real estate lending professionals can help you find the financing solution to fit your needs.