There are advantages and disadvantages to both new and resale homes. Here are some of the characteristics of both that may help you make your choice.

New Home

Advantages:

• You may be able to upgrade or choose certain items such as siding, finish materials, flooring, cabinets, plumbing and electrical fixtures.

• The latest building code, electrical and energy-efficiency standards will apply. A builder warranty is usually available in all provinces and the Yukon (but not the Northwest Territories). This can be important if a major system, such as plumbing or heating, breaks down.

• Unless you are a builder, warranties do not apply to homes you build yourself.

• There may also be incentives provided by the provinces and prospective borrowers should consult provincial or local authorities in this regard.

Disadvantages:

• Neighborhood amenities, like schools or shopping, may not be complete if the house is in a new development.

• There may be construction noise and traffic.

• There may be little to no landscaping or trees.

• The 7% GST applies to new housing. In some provinces, the GST has been replaced by a Harmonized Federal and Provincial Sales Tax known as the HST.

Resale Home

Advantages:

• It will probably be in an established neighborhood.

• Landscaping is usually done and fencing installed.

• It may have upgrades such as a built-in swimming pool or finished basement.

• There is no GST unless the house has been renovated substantially, and then the tax is applied as if it were a new house.

Disadvantages:

• Maintenance costs will likely be higher than for a new house.

• You may require a professional home inspector to check for structural or other problems, such as a leaky basement or faulty roof.

• You may need to redecorate, or even renovate.

So much to understand before you get started. If you have questions or need more information contact Bill Brandsma at 403-606-1765…always happy to help.