Buying a new home might seem more expensive upfront, but a new report suggests it may be worth the cost.
According to a report released Thursday by Realtor.com, owners of new homes save an average of $25,335 over the first 10 years of ownership compared with owners of 20-year-old homes. New homes tend to have lower maintenance costs and be more energy efficient, the report notes.
Savings vary by state. In Massachusetts, a new homeowner could expect to save more than $38,000, as stricter building codes and harsher seasons boost the benefits. In the South, new homeowners generally see smaller savings.
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Coupled with builder incentives, buying a new home may be just as cost-effective as purchasing a 20-year-old property.
Federal data shows the median price of a new build was $387,400 in March, down from $412,900 in March 2025. The median price for existing homes was $417,700 in March.
The National Association of Realtors noted that many new homes are smaller than those built about a decade ago.
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“Homeownership is not a one-time expense, and the ongoing costs of owning a home are where new construction really shines,” said Joel Berner, senior economist at Realtor.com. “Buyers who focus only on the listing price are missing a significant part of the financial picture.”
New builds account for about 7% of all home sales, according to the National Association of Realtors.
