Property360Digest e-magazine Issue # 8 - 2021
48
It is cheaper to buy a second hand home … really ?
Yes this may be true for other items |
like |
mobile |
phones , |
cars , |
other |
gadgets , electronics and so on . But |
when |
it |
comes |
to |
a |
house … think |
again . |
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Let ’ s compare shall we ?
A 10 year old second hand house selling at RM500,000 . You need a downpayment of RM50,000 , all those extra must pays such as Legal Fees and so on so forth that may come up to another 50,000 in total . Then the killer – renovation cost . You may need to spend a bucket load of money to redo many areas of the house to make it liveable to your taste and maybe even upgrade some piping and electricals . So , realistically , after spending atleast another RM100,000 on renovations , your home price now has excalated to above RM600,000 with a lot of initial fork out .
In a similar scenario , buying a brand new house that costs RM500,000 …. Now you are going to argue with me that it is impossible to find a decent house for this price in today ’ s property market … right ?
Well there is ! You are just too lazy to look . They are not just available in the outskirts . You can find decent new homes even in established townships . But … let ’ s not digress .
Coming back to the scenario . You buy a new house for RM500,000 . Your downpayment of RM50,000 may be absorbed with rebates most developers are bundling into their packages at the moment . Your other must pays are probably absorbed too with the current HOC and other initiatives . Renovations can actually be kept at a minimal because it is SPANKING NEW !!!
You may not need to do any renovations to live comfortably in the house , but even if you just need to spend that extra dollar to tell yourself that you have bought a home – your reno cost shouldn ’ t be more than RM20 to RM50,000 . In today ’ s market – most new developments come with state of the art security features and infrastructures too . This simply means that you are getting the latest in the market without paying extra for them .
Personally to me , the top of the list would be the fact that buying a new house means that you do not have to live with somebody else ’ s toe nails – you know what I mean ? No one lived there before and you do not need to think about what they did and where in the house …