Shopping for a new or resale home?

Some points for homebuyers to check besides timely delivery and risk-free investment

If you’re on the market for a home this year, you will doubtlessly have wondered whether a resale flat will fulfil your needs just as well as a new one. It’s a natural conundrum — resale homes are generally (though not always) cheaper than a newly-constructed or under-construction one. The exception is when the resale home is in a project or location which has a lot of demand and next to no supply.

What is the right option? First, let’s see the reasons why homebuyers may consider a resale home the better option.

1. They’re cheaper, except in the instances already mentioned above. The property is fully constructed and ready to move in, so what you see is what you get.

2. The neighbourhood will be an established one, so it’s easier to determine how well you and your family fit into it, or it may be highly aspirational. Some locations are ‘vanity pin codes’ where owning any home — even an old one — seems very desirable.

3. If the property is very old, it may eventually come up for redevelopment, in which case its value can increase.

4. Common problems that beset apartments, such as leakage and seepage, are apparent (except if the current owner has managed to cover such flaws convincingly while the property is on the market).

1. Older properties will have experienced wear and tear, which depreciates the value (this is why they’re cheaper).