Many future buyers of real estate, when they decide to buy an apartment, do not know what to choose - the secondary market or a new building. The choice is really difficult, because both options have strong advantages and some disadvantages. And every case is different. For some people the important parameter when buying a home will be the price, for others - the quality of construction. Therefore, you should evaluate the new buildings and the secondary market as a whole and focusing on your needs.
We talk about the pros and cons of secondary and primary real estate, as well as share information on how to understand when a new building becomes secondary.
When does a new building become a secondary building?
Buy an apartment in an already completed and commissioned new building, which is presented in the secondary market, according to many realtors, is the best solution. A new house is considered secondary housing 5-10 years after it has been completed.
What is the advantage of buying property in a new building on the secondary market? In this case, the buyer gets all the advantages of a new building and all the advantages of the secondary in one object, and at a bargain price.
What are the advantages of buying a home in a new house on the secondary:
- No need to overpay for fresh repairs;
- All the tenants have moved into the house, so there is no constant noise from the repairs;
- the infrastructure is in place;
- the buyer does not run the risk of falling for a troubled developer;
- the apartment is sold at market price;
- Communications in the house are new;
- The apartment is a basic repair, you can only do cosmetic.
On the real estate market, this option is considered one of the most attractive. In some cases, the cost of housing may not be so low. But it is important to understand that this apartment has many advantages and a minimum of disadvantages.
New building: what are the pros and cons
If you are looking at the primary market for real estate, it does not hurt to carefully study the advantages and disadvantages of buying a new building. It is important to understand that new housing at different stages of construction will have its pros and cons.
Pros of new buildings
Among the advantages of buying an apartment in a new house during construction or immediately after commissioning are the following:
- attractive price. The earlier to buy an apartment in a new building, the lower will be the cost per square meter. The lowest prices for housing developers offer at the stage of the project or the foundation pit. With the approach of the date of commissioning the house, the cost rises and reaches a peak when the house is ready. Therefore, it is best to buy at the initial stage, but understand that the risks at this stage are higher. Due to the low price a new building can also be considered as an investment;
- Installment loans and mortgages from the builder. Many construction companies offer investors to take out mortgages or installments for the purchase of new housing on favorable terms. This is a good option if it is not possible to pay the entire amount at once;
- all new and modern. A new building is an opportunity for several years without thinking about the fact that the roof leaks or it's time to change the pipes. In a new residential complex, everything is modern and durable. In addition, the builder has a warranty, in which case the company is obliged to eliminate the deficiencies at its own expense and in a short time. Thanks to modern construction technologies, the house can really last a long time;
- In new buildings there is usually a wide range of apartment layouts to suit different needs of buyers - from compact studios to duplexes. The functional layout allows you to use the space as efficiently as possible. It is also possible to find free-planned apartments that can be zoned to suit your needs;
- landscaped area. In view of the high competition, developers are trying to offer their potential customers really attractive objects with landscaping and their own infrastructure. Because of this, it is possible to find an apartment at the primary market in a housing estate which, upon completion of construction, will have a beautiful and well-groomed area with landscaping, children's and sports grounds, parking, its own infrastructure facilities (from a store to a kindergarten), bicycle paths, a park area, etc;
- security. New residential complexes are guarded 24 hours a day, equipped with surveillance cameras, and often have a closed area;
- favorable utility bills. By autonomous heating, the use of modern energy-saving technologies and new communications in a new building can often even save on utility bills.
For many buyers is an important factor that the apartment in a new building - new, that is, no one has lived in it. In addition, there is an opportunity to choose exactly the social environment that best matches the status, interests and goals of the buyer of primary real estate.
Disadvantages of new buildings
Despite the attractiveness of such an option as a new building, it has some disadvantages. Given that there are not many of them, buyers often turn a blind eye to them or weigh the pros and cons and realize that there are more advantages.
So, what are the disadvantages of new buildings:
- You have to wait long enough for the house to be commissioned - if you buy an apartment at the start of sales, it may be another 2-2.5 years before the delivery of new buildings;
- The risk of delay or stoppage of construction - if you do not carefully check the object and construction company before buying a new building, you can get into problematic construction, which will delay the deadline or be completely frozen;
- Repair costs - apartments in new buildings are often commissioned only with shell work, which means you have to make a full repair, and this is an additional significant cost;
- Construction noise - in a new building at the same time moving in a large number of tenants who want to quickly make repairs, which means that at first there will be constant noise perforators;
- house shrinkage - in the first years after construction is completed, the building may shrink, which can ruin fresh repairs.
Secondary housing: the pros and cons
Real estate in the secondary market also has its own characteristics, advantages and disadvantages. To the choice of this option should be approached consciously, knowing that certain advantages outweigh the disadvantages for you personally liked the object.
Advantages of secondary housing
What are the advantages of apartments in the secondary market:
- The secondary market is much larger than the primary, so there are much more variants of apartments. The secondary market can be found in the city center, in any district, in the suburbs of Kiev or any other city in Ukraine;
- Quick move in. In the apartment in the secondary market you can move in immediately after the sale transaction and the transfer of the keys. Most of the options for such real estate have a residential condition;
- If now there is no financial possibility to make repairs in the purchased apartment, it can be postponed until better times and move into the apartment in the condition in which it is;
- The opportunity to evaluate the quality and convenience of the apartment. While in the case of new buildings, the buyer sees his or her home only on paper, as the house is just beginning to be built, in the secondary market you can come to the apartment in person and carefully examine it. The buyer can assess the size of the housing, the comfort of the layout, the view from the windows, the quality of communications and other parameters;
- well-developed infrastructure. Houses on the secondary market have often long been surrounded by extensive infrastructure, which includes public transport stops, stores, shopping centers, kindergartens, schools, clinics and other facilities;
- Of course, in a house that was built relatively long ago, the neighbors can make repairs, but the constant construction noise will not accompany you from all sides for several years, as in the case of a new building.
Residential property on the secondary market is often chosen for the reason that it has a more attractive price. Yes, it may not have such a comfortable layout or be in a house without security and underground parking, but it will be cheaper than a new building. This is a weighty factor for young families and other categories of buyers who have a small budget for the purchase of housing.
Disadvantages of apartments in the secondary market
Secondary market has many disadvantages, although many are willing to turn a blind eye to them if they want to buy an apartment inexpensively. In addition, it is important not to consider the entire secondary market as a whole, and a specific proposal seller, as it may have a minimum set of drawbacks.
So, what are the disadvantages of secondary housing:
- You can not change the layout - in older buildings is not always possible to demolish the walls and make alterations, and if you can, you need to go through numerous stages of approval and permission to do so;
- old communications - pipes and electrical wiring in older homes have not been repaired for years and are not designed for modern loads, so they require special attention;
- Uncomfortable layout - in the secondary market is not uncommon apartments with a small kitchen, low ceilings, through living rooms, en-suite bathroom, which is not very convenient for living a family;
- the risk of falling for a scammer - if you do not enlist the support of an experienced realtor or lawyer, you may accidentally become a victim of a fraudulent seller, so you need to know how and what to check the documents.
Mortgages on secondary housing is more difficult than on a new building, and sometimes even impossible, so you have to pay the entire amount at once or take a loan from a bank at high interest rates.
To determine which real estate option is more suitable for you - secondary or new construction, describe your needs to a realtor. In the agency "Mayak" know how to find the right housing, taking into account the situation in 2023 and the individual wishes of the client.
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