When you’re searching for your next home, it’s easy to scroll past listings for new construction. Maybe you’ve heard they’re too expensive, not negotiable, or simply not built the way they used to be. But here’s the truth: many of those assumptions are outdated—and they could be causing you to overlook a real opportunity in today’s market.
Let’s break down the most common myths about new builds and why it may be time to give them a second look.
Myth 1: New Homes Are Always More Expensive
At first glance, it seems obvious—brand-new should cost more, right? Not necessarily. In fact, data from the Census Bureau and the National Association of Realtors (NAR) shows the median price of a newly built home is currently lower than the median price of an existing home.
Why is this happening? Builders are adapting to market conditions. As Heather Long, Chief Economist at Navy Federal Credit Union, explains:
“This largely reflects two trends: New homes are getting smaller on average, and builders are doing more price cuts.”
That means you may actually find new construction at a better price point than you’d expect. If you’ve crossed it off your list for cost reasons alone, it might be time to revisit your options.
Myth 2: Builders Don’t Negotiate
Another common belief is that builders set a price and stick to it, leaving no room for compromise. But right now, many builders are holding inventory they’re eager to move. And that makes them surprisingly flexible.
Mark Fleming, Chief Economist at First American, notes:
“A builder would love to sell you the home because they’re not living in it. It costs money not to sell the home. And many of the public home builders have said in their earnings calls that they are not going to be pulling back on incentives, especially the mortgage rate buydown . . .”
In fact, according to housing data provider Zonda, 75% of new home communities offered incentives on quick move-in homes this summer. That could mean help with closing costs, rate buydowns, or even free upgrades—perks you won’t often see with a traditional seller.
Myth 3: New Homes Lack the Craftsmanship of Older Homes
Some buyers hesitate because they think older homes were built with better quality. The truth? Quality varies in any era. What matters most is choosing a reputable builder.
The National Association of Home Builders (NAHB) recommends asking recent buyers about their experiences:
- Did the builder meet expectations?
- Would they buy from that builder again?
A good builder should have no problem connecting you with satisfied homeowners. And your real estate agent can also offer insight into which builders in your area have the strongest reputations.
Myth 4: You Don’t Need Your Own Real Estate Agent
Perhaps the biggest misconception is thinking you can skip hiring your own agent when buying new construction. After all, the builder has sales reps on site, right?
Here’s the catch: those reps work for the builder—not you. Builder contracts often contain unique terms and fine print, and you’ll want someone in your corner who can explain everything clearly and negotiate on your behalf.
In fact, a recent Realtor.com survey revealed buyers of new construction rated their own agents as far more helpful than the builder’s representatives during the process. Having your own advocate makes the experience smoother, less stressful, and more financially secure.
Don’t let myths keep you from considering new construction.
Between competitive pricing, negotiable terms, modern designs, and builder incentives, today’s new homes could be the opportunity you’ve been waiting for.
If you’ve been skipping over those “just built” listings, it’s time to take another look. Connect with a trusted real estate professional to explore what’s being built in your area—you may be surprised at how well a brand-new home fits your lifestyle and budget.