What’s Motivating More Buyers to Choose a Newly Built Home?

Thinking about buying a home? Ever consider going for something brand-new? You’re not alone. Newly built homes are becoming an increasingly popular choice, and it’s easy to see why. According to the National Association of Realtors (NAR), newly built homes made up 15% of all homes sold last year—the highest percentage in 17 years. Let’s break down the reasons why buyers are turning to new builds, and how this trend is impacting today’s housing market.

Top Reasons People Are Choosing Newly Built Homes

NAR recently surveyed buyers to understand why they’re opting for new construction. Here’s what they found:

1. Avoiding Renovations and Repairs (42%)

The number one reason buyers love new homes is peace of mind. With everything brand-new, there’s no need to worry about costly repairs or renovations.

In today’s market, where homes are already pricey and inflation is squeezing budgets, avoiding maintenance costs is a big deal. New builds reduce upfront expenses, and many builders offer warranties that provide extra protection for major systems like plumbing, electrical, and HVAC.

2. Customization Options (27%)

When you buy a new build, you get the chance to personalize it to your style. From selecting light fixtures and cabinets to choosing floor plans and exterior finishes, new homes allow you to create a space that feels uniquely yours.

If you’ve been frustrated by not finding the “perfect” home, building one might be the solution you need.

3. Community Amenities (25%)

Many new developments aren’t just homes—they’re neighborhoods with built-in perks like parks, pools, fitness centers, and social spaces. For buyers looking to balance comfort and lifestyle, these amenities can make all the difference.

4. Lack of Inventory in the Resale Market (15%)

The supply of previously owned homes remains tight, making new construction an attractive option for buyers who want more choices. Builders have been stepping up, offering a broader range of homes while staying cautious not to overbuild.

5. Energy Efficiency (14%)

New builds typically come with the latest energy-efficient materials and systems, such as advanced insulation, smart HVAC systems, and high-efficiency appliances.

Not only does this reduce your environmental footprint, but it also lowers utility bills. As Kevin Morrow from the National Association of Home Builders explains, “Newly-constructed homes often include green systems and appliances that homes built years ago might not.”

6. Smart Home Features (11%)

Tech-savvy buyers love new builds for their integration of smart technologies like security systems, thermostats, and lighting. These features make life easier and more convenient from the moment you move in.

Why Buyers Are Turning to New Builds Now

In addition to these benefits, new homes are playing a larger role in the housing market due to persistent inventory challenges. Redfin predicts that while existing home sales may increase slightly in 2025, inventory will remain tight. This means new builds will continue to make up a significant portion of the available housing stock.

For Californians, where demand often outpaces supply, new construction offers a way to access more modern, move-in-ready options in areas where resale homes are scarce. With builders catching up after years of underbuilding, new homes are providing much-needed opportunities for buyers.

The Importance of Having Your Own Agent

If you’re thinking about buying a newly built home, there’s one critical thing to remember: bring your own real estate agent.

Builder contracts can be complex, and having an advocate on your side ensures you’re protected throughout the process. Your agent can help you:

• Navigate the fine print in builder contracts.

• Ensure the home meets quality standards.

• Negotiate upgrades, pricing, and terms to your advantage.

Bottom Line

Newly built homes offer a unique combination of convenience, customization, and modern amenities. They can help you skip the hassle of renovations, enjoy lower energy costs, and even connect with a vibrant community.

If this sounds like the right move for you, I’ll make sure you have the guidance and representation you need to find and secure the perfect new home with confidence.