Back

Buying a new build vs renovating an older home in 2023

Apr 13, 2023
Buying a new build vs renovating an older home in 2023

‘Is it better to buy a new or old house?’ This is potentially one of the most important questions you’ll ask yourself during the home-buying process.

Both come with unique sets of pros and cons – and whilst beginning a new homeownership chapter is always exciting, it’s important to factor in things like interest rates and renovation costs.

Whether you’re considering a Victorian terrace or a spacious brand-new home, we’ve outlined some key considerations below to help you make the right move.

Key Takeaways

1. Cost of Renovation:
  • Renovation costs have risen due to increased material prices.
  • New builds may be more affordable, considering renovation expenses.
2. New-Build Mortgage Schemes:
  • Explore schemes like Deposit Unlock, Deposit Boost, and Home Reach for lower mortgage repayments.
  • New builds offer smoother, chain-free processes.
3. Energy Efficiency:
  • New builds are energy-efficient and require less maintenance.
  • Older properties may need renovation to meet modern standards.
4. Environmental Impact:
  • New builds are kinder to the environment and often have higher EPC ratings.
  • Consider sustainability when choosing your home.

The cost of renovation has risen considerably

Climbing prices have undoubtedly hit renovation budgets over the past few years, raising the price of everything from brick deliveries to roofing tile production. In fact, the Government’s Monthly Statistics of Building Materials and Components reported a 15% increase in the cost of building materials between October 2021 - 2022 1.

So, once you’ve factored in additional labour and renovation materials, a brand-new home may work out more affordable than an older property.

 

New-build buying schemes could lower your mortgage repayments

When choosing between a new or old house to buy, you’ll likely be assessing mortgage options.

Purchasing a brand-new home opens up a range of house-buying schemes that could lower your mortgage repayments – leaving more money in your pocket during these uncertain times.

David Wilson, for example, have a variety of schemes available, including:

1. Deposit Unlock

The Deposit Unlock scheme could enable you to buy a brand-new David Wilson home with just a 5% deposit, accessing competitively priced mortgage products up to £750,000.

Deposit Unlock

2. Deposit Boost

If you have a 10% deposit, you could increase it by up to 5% with Deposit Boost. That means you’ll only need an 85% mortgage for your spacious new home, borrowing less while potentially securing a more competitive mortgage rate.

Deposit Boost

3. Home Reach

With Home Reach you can purchase a share of a brand-new David Wilson home and then pay an affordable monthly rent on the rest. In time, you can opt to increase your share – up to 100% ownership.

Home Reach

There are plenty more offers available to help you make your move. Find out more about our affordable home-buying schemes here.

 

Buying a brand-new home can be less stressful

You’re typically part of a chain when you purchase a pre-owned property. This can make exchanging contracts a stressful process, with the potential for unexpected issues to arise and jeopardise the sale.

Buying a brand-new David Wilson home is a smoother, chain-free process. We’ll support you every step of the way, and you won’t need to worry about repairs or costly maintenance bills, either. Before you move in, your spacious new property will be inspected and quality approved by no less than three specialist teams.

For added peace of mind, all our brand-new houses come with an NHBC warranty and insurance policy – so you can buy one of our thoughtfully designed homes with confidence.

House-buying costs

 

Brand-new homes are more energy-efficient

Is it better to buy a new build or an old house? As energy bills rise, it’s clear a brand-new home is a smart investment.

Government statistics confirm that 87% of new build homes in England and Wales have been awarded an EPC rating of A or B 2. Additionally, a report by the Office for National Statistics showed that property age is the greatest contributor to energy-efficiency 3.

Each of our homes is built with the future in mind. Featuring highly thermally efficient insulation and argon-filled double glazing as standard, our energy-efficient designs could be up to 63% cheaper to run, reducing your bills by £3,100 each year ^^.

 

Brand-new homes are kinder to the environment

A David Wilson home is built to last – this is critical environmentally because replacing or upgrading elements uses up energy and money.

We work closely with our suppliers to reduce waste wherever we can, using recycled materials for cabinetry, resizing plasterboards to minimise cut-offs, and more. That’s why 95% of our waste is currently reused or recycled, avoiding landfill 4. 

Our homes also feature the latest water and energy-saving appliances, reducing consumption by up to 26% per day per person compared to the national average 5.
If you want to enjoy the best of modern living in a low-maintenance, beautiful design, discover a spacious David Wilson home today.

Developments near you

 

1 Monthly Statistics of Building Materials and Components, Department for Business, Energy and Industrial Strategy.
2 Energy Performance of Buildings Certificates Statistical Release: October to December 2022 England and Wales, Department for Levelling Up, Housing & Communities.
3 Age of the property is the biggest single factor in energy efficiency of homes, Office for National Statistics.
4 Barratt Developments PLC 2021 Socio-Economic Footprint, Barratt Developments.
5 Vast majority of Brits have no idea how much water they use each day, Water UK.

^ 2-year builder warranty from legal completion directly from David Wilson, backed by NHBC's resolution service. Then 8 years of structural defects insurance cover with NHBC.
^^ Indicative figures, based on HBF "Watt a Save" report published February 2023.


Related Articles