Building a home in Delaware could cost you less than buying one, according to a new report
For all the homebuyers who have had a hard time finding a place to settle down in Delaware, you might want to consider building your dream home from scratch instead.
Finding a house these days can be a hassle, and a big strain on your wallet, due to low inventory and increases in housing costs.
While it might be hard to believe, buying a home in Delaware can be a bigger investment than opting to build your own pad, according to a recent study.
StorageCafe marks Delaware as one of the states that favors building a home the most, ranking No. 6 as the most cost-effective state for homebuilding within the U.S.
On average, home hunters in Delawareans could save $96,000 if they choose to build a home rather than buy one.
The median land price of $176,000 per acre, applied to a median lot-size of 0.22 acres, results in a home building cost of $394,000 – including land, construction and other costs – compared with the median single-family home listing price of $490,000, according to the report.
This means that homebuilders in the First State could save $96,000, an advantage that is lost in plenty of other states.
More:The cost of newly built homes in Delaware is falling. 5 tips to find the best deal.
Nationwide, building a home costs $421,000 on average, while buying one is $6,000 cheaper at $415,000.
Other places in the U.S. where it is cheaper to build rather than buy include Hawaii, California, Colorado, Utah and Virginia, among others.
Western and South Atlantic states prove to be the best places to build instead of buy, whereas Midwestern, Southern and Northeast states have lower house prices that tend to make purchasing a home more cost-effective.
Pennsylvania leads the charge of states where it is cheaper to buy a home instead of building one. Total building costs for the state are $528,000 while the median listing price of a single-family home is $345,000.
Top states following this trend include Ohio, with $178,000 in savings when opting to buy; Illinois, with $166,000 in savings; Maine, with $164,000 in savings; and Iowa, with $161,000 in savings.
Got a tip or a story idea? Contact Krys'tal Griffin at kgriffin@delawareonline.com.
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This article originally appeared on Delaware News Journal: It's cheaper to build a home, instead o buying, in Delaware
