Reader Mail: Build or Buy a House?

Gary,
My wife and I would really like to build our own next home. My concern is the price of land. Where we live a quarter acre lot is anywhere from $150,000 to $200,000. Would we realistically save money by building a house rather than buying one already built? Homes we like are selling for $400,000 to 450,000. Thank you for the help.

D. Turby, Austin, TX



Mr. Turby
The decision to build or buy a home is always difficult. Building a new house isn't always the best option. It depends on the situation and situations are like snowflakes, no two alike.


New homes sell for more than older homes. If they didn't, no one would buy an older home. But when you build your own, you are (in theory) building for much less than what new homes sell for, all things being equal, such as, location, location, and location. I hope this helps.


Gary Rae
SouthlakeRR.com

(Send your questions to Gary@RaeWaldmanhomes.com)