To buy a small new build instead of a bigger old house?

[ThisModernLove]

Fresh out of an interminable traumatic divorce and starting to think about next steps.

Need a new house, I’ve been a sahm for a long time and am only just getting back to work so my earning potential not great.

Im seriously considering buying a new build outright instead of an older house that would probably require me to take a mortgage or if not likely need a lot of work.

In this area there’s a real lack of cheaper, older houses so new build is the only real alternative that would allow me to buy it outright.

reasons for

• it’s been a really hard couple of years, new build is lower maintenance and easy.
• No stress about money and would be financially comfortable.
• Means l don’t need to worry about job hunting in the same way and can take the right thing

reasons against

• it’s much smaller than our current house (though still a bedroom each for dc) I wonder if this would bother me and if I should try and buy something bigger
• i don’t really like new builds! Lack of storage etc and I like pretty old houses (what we have now)
• is it better in the long run to have a mortgage that you’re paying off - I doubt I’d save the same amount of money even if I intended to. I’m pretty young.

Would really appreciate peoples thoughts? Current house is old and stressful because things go wrong all the time, it takes a lot of cleaning.. I’m leaning towards new build even if only for 5 years to get back on my feet 🤷🏻‍♀️

I imagine that buying a house outright would feel incredibly financially freeing, the opportunity to build your new life without the pressure of a mortgage sounds fantastic!

But you have to like the house you buy. Around here builders are starting to build more characterful houses (they aren't the cheapest new builds though), or look for a small developer with better designs?

I have been considering something similar. We have an old and large house and could move to a lovely new build and be mortgage free albeit would be a bit smaller. I was discussing this with my Father who looked horrified and pointed out the difference in value between staying where we are versus moving i.e our house will increase in value a lot more. It’s encouraged me to stay put and pay off the current mortgage for a lot more house in the future. Every time I looked at the house we were considering my heart also sank a little at the features, room sizes and storage we would be giving up although we’d be mortgage free.

I live in a small new build (1k sq ft) and it's a dream. Research your builders carefully. I've been in 5 years and it's pristine, everything works and our energy bills are vv low.

Definitely. My daughters both have new builds and love them

Just pick carefully we have had a lot of new builds locally and a lot of people have found the build quality poor.

I’d go new build. Choose carefully. Being mortgage free would be mentally very reassuring. New build estates may suit as you start rebuilding life. Eg children have friends to walk to school with, children can play out etc.
Low energy bills. No unexpected big maintenance bills.

If you go for the new build (personally I would too) siphon the mortgage payment amount to a savings account just after pay day so you don't have a choice but to save it.

I too prefer pretty old houses with period features etc but settled for a standard box looking house because it I low maintenance

Ultimately it's your call OP but new builds come with their own issues as well, so it's not like you'd be replacing a house with things failing for one that doesn't have any issues given the quality of materials used in a lot of new builds isn't great, and snags can take months to be fixed by the developer.

My single biggest concern with new builds and kids is the walls. The vast majority have effectively got stud walls throughout, great for renovation but appalling for noise traveling through walls. Just something to consider more than anything and always hire a professional snagger to dig out all of the issues post build.

Financially, being mortgage free at a relatively young age is huge though so I get the pull... Just be aware that new builds tend to not appreciate in value as much in the shorter term based on them generally coming at a premium, however if you're planning on staying for a while then this is irrelevant as prices settle over time.

I’d do for the new build, owning a house outright would be amazing and you’ll have much smaller fuel bills than the older bigger house. You could move to the home you really want when the DC have left home.

Buy the new build, it doesn't sound like you need any hassle at the moment. You might love it, and if not, it doesn't have to be forever. Good luck!

I’ve had three new builds and recommended Redrow if that’s an option. You can
negotiate fir things like a bigger patio which isn’t a big heap for them to do but could make a big difference to you. You may get a solar panel too.

If youre savvy about what you buy and who from it will be a smart move. Our ‘lovely’ old house is a total money put, damp, cold and I can’t wait to move to something more modern soon.

*pit

I did this after my divorce- I liked the 10 year warranty and the security of it - it was a lovely house as well

we moved so they had a room each a few years later - I still miss it

YANBU, but have a look at buying a recent build somebody else has already spent money on, rather than brand new for 3 reasons:

1. You'll get the benefit of energy efficiency from modern building standards, without the drawbacks/snags found in a brand new house.

1. You might find better value for money - new builds 'benefit' from Help to Buy eligibility which means some FTBs who don't actually need the help use it to borrow more & buy bigger - have a look at a large development where new houses are still coming to market and ones a couple of years old are being sold - I did this and found the latter as much as 10% cheaper.

1. New builds get the bare basics in things like kitchen & bathroom fittings, flooring, patios etc... At least half of them have had some of this ripped out again and upgraded within 10 years. A lot of people spent lockdown doing DIY and buying a swish kitchen instead of a foreign holiday; a "new-ish" build somebody has spent money on could be better value.

Avoid new builds as you would a rabid dog.

smaller more efficient new build, if you’re on your own you need to cut down on life admin and old houses always have something that needs fixing

I'd go new build in your position if it's in the area you want to be?

Research the builder well and be fussy about the plot. Some have more scope than others should you ever wish to extend.

Round here the end of row plots have loads of space around them (though I am in a relatively cheap area and these are small scale developments, perhaps doesn't apply in premium city where they are crammed in)

I love my new build. It's soo cheap to heat. It's really well insulated.

I lived in a New build for a year.
Hated it. Paper thin walls, tiny garden, tiny rooms.

Live in a big 1960s semi now. Much prefer it

I am a love-an-old-house-don't-mind-doing-jobs sort of person, but in your position, I'd go new build. The lack of mortgage will be a massive benefit short term but nothing is forever, even when buying a house, so you can always move at a later date.
Congratulations on the divorce and good luck, whatever you decide

I also prefer period properties but my friend following her divorce bought a new build, and honestly for her it’s fantastic, no maintenance, cheap to run, everything new, tiny plot so she doesn’t need to do much maintenance, when something goes wrong it’s still under warranty so they come and fix it, not difficult to clean as it’s small.

the snagit list was long. Ended up with bathroom being replaced, so some hassles, but still for a woman on her own it was the best plan.

In your position I’d get a new build, if the location was right (but I am location obsessed!)

We live on a small new build estate - only 30 houses and have a lovely community spirit and lots of children about the same age.

A big plus we didn't consider is energy bills. My house is new and very cheap to heat.

Old houses almost always come with a ton of problems, some of them you might not notice until you live there.
I would go for a new build. Regarding storage, buy furniture with inbuilt storage such as beds with drawers, a coffee table with storage (Laura Ashley used to do one with small drawers and a lift up lid).