I dont get it, all homes are second hand aren't they?

pioneer22

So why all the grief with newly built houses?

agrinnall

Care to expand on your theory? Or was it just that your brain was overactive and the only way to slow it down was to type something?

cottonhead

I am guessing what you mean here so correct if I am wrong....... as far as I understand it newly built propertis often require a larger deposit because the area is unknown and the mortgage company want some more security. For example a new estate was built near where I live. It had 4 different developers and 1 of them out of the blue sold their entire stock to a housing association who promptly moved in loads of problem families. There is now lots of crime and antisocial behaviour on that estate. Nobody wants to move there, the remaining new homes wont sell and people who want to get out cant find a buyer. I guess they want to protect agaianst the unknown.

pioneer22

People talk about new build houses when they have been sold as being 2nd hand. Unless you move in a new build all homes are 2nd 3rd 4th hand aren't they? So why when people are being critical about people buying a newly built home?

fannyanna

pioneer22 wrote: »

People talk about new build houses when they have been sold as being 2nd hand. Unless you move in a new build all homes are 2nd 3rd 4th hand aren't they? So why when people are being critical about people buying a newly built home?

Yes it is as simple as that.

Werdnal

pioneer22 wrote: »

People talk about new build houses when they have been sold as being 2nd hand. Unless you move in a new build all homes are 2nd 3rd 4th hand aren't they? So why when people are being critical about people buying a newly built home?

:question::huh:

pioneer22

Ok people on this forum bash new build homes because as soon as you walk through the door and move in they are not new. However all homes are like that unless you buy a brand new one. So i dont understand why this is a con regarding new builds.

G_M

Some people "bash new build homes". Some people love 'em. Horses for courses.

As you say, any home (or indeed anything ever sold!) is new the 1st time it is sold.

Go over to the car forum and find the same discussion though. Buy a brand new car, and as you drive it off the forecourt it drops 20% in value immediately. Some people don't care, and like buying new cars. Some people would rather buy a 3 month old car at 75% the cost.

Not really sure what your point is.

Richard_Webster

No, I'm not sure what OPs point is.

The concern about new homes is that whereas houses being sold for the second or a later time tend to have their values following the market up and down according to national or local trends, brand new houses tend to lose value relative to older ones over the first few years.

Soot2006

pioneer22 wrote: »

Ok people on this forum bash new build homes because as soon as you walk through the door and move in they are not new. However all homes are like that unless you buy a brand new one. So i dont understand why this is a con regarding new builds.

The different is the buyer needs a bigger deposit as the new build, for the very reason you state in your post, loses value the day the buyer moves in.

There is no "bashing"- rather, a drawing of awareness to very real equity risks when buying a new build. This risk will always be disproportionately affected by house price falls.

pioneer22

Eton_Rifle wrote: »

Perhaps the OP feels that people look down on new houses?
Rather than the financial aspects of the purchase?

Yes with the point that once you move in they are no longer 'new'