Newly Built Homes May Be Less Expensive Than You Think

New Construction for Less Than a Resale? It’s Happening

If you’ve assumed that a brand-new home comes with a higher price tag than an older one, it might be time to take another look.

Right now, something surprising is happening in the housing market. According to data from the U.S. Census Bureau and the National Association of Realtors, the median price of newly built homes is currently lower than the median price of existing homes.

That means you could potentially buy a brand-new, never-lived-in home for less than a 20-year-old house just a few streets over. If you’ve written off new construction as being out of reach, it may be time to reconsider. Some of the best opportunities in today’s market are happening in the new build space.

Why New Construction Can Cost Less Right Now

1. Builders Are Focusing on Affordability

To keep up with what buyers are looking for, many builders have started scaling back on size and square footage. Instead of building large homes that might sit unsold, they’re designing smaller, more efficient floor plans that are easier on the budget. According to the Census Bureau, the average size of new single-family homes has been trending downward

Smaller homes mean fewer materials and lower construction costs, which helps keep the price down for buyers.

2. Many Builders Are Offering Incentives

To stay competitive, a growing number of builders are offering price reductions or buyer incentives. According to the National Association of Home Builders, in a recent month:

• 34% of builders dropped their prices, with an average reduction of 5%

• 61% offered incentives like closing cost assistance or rate buy-downs

These extras can make a big difference when it comes to monthly payments or upfront costs.

What This Means for You

If you’re currently searching for a home or planning to buy soon, make sure you’re not overlooking new construction. Many buyers assume a new home will be too expensive or take too long, but that’s not always the case.

There are new builds already completed or near move-in ready, and in some cases, they’re even priced below similar resale homes. As your agent, I can help you explore what’s available locally, identify builders offering strong incentives, and guide you through every step of the new construction process.

It’s also important to remember that buying new is a little different from buying an existing home. The contracts, timelines, and details vary, which is why having an experienced agent on your side makes a big difference.

Bottom Line

You may be able to get a brand-new home with modern features and fewer repairs for less than you think. If buying is on your radar this year, let’s explore all your options—including new construction. You might be surprised by what’s out there. Let me know when you're ready to take the next step.

If buying a home is on your to-do list, what would stop you from exploring newly built options?