Trying to decide between a shiny new build and a well‑loved resale in Plano? You are not alone. With steady demand across Collin County and the Dallas–Plano–Irving corridor, both options can be smart depending on your goals, budget, and timeline. In this guide, you will learn how costs, timelines, inspections, warranties, and contracts differ so you can pick a path that fits your life. Let’s dive in.
Plano market snapshot
Plano sits in a fast‑growing part of North Texas where population and job growth have supported strong housing demand. That demand shows up in both new communities and established neighborhoods. In tight resale markets, new homes can sell quickly at full premiums. When conditions cool, builders often offer incentives like rate buydowns, closing credits, and upgrade packages.
The takeaway for you: the “smarter” choice shifts with the market. Focus on your needs and compare today’s incentives and pricing, not last year’s headlines.
New construction vs resale at a glance
- New construction
- Pros: modern floor plans, energy‑efficient systems, builder warranties, option to personalize finishes.
- Cons: upgrade and lot premiums can add up, potential appraisal gaps, longer timelines for to‑be‑built homes.
- Resale
- Pros: mature landscaping and established streets, move‑in timing is faster, upgrades may already be included in the price.
- Cons: older systems may need updates, repair negotiations can be tricky in competitive markets, warranties are limited and short term.
Price and total cost
Upfront price vs total move‑in cost
A new home’s base price usually covers the lot and standard finishes. Many desirable features are add‑ons. Plan a budget for options like flooring, countertops, lighting, appliances, window treatments, fencing, and landscaping. That can range from a few thousand to tens of thousands, depending on the builder and your selections.
A resale price is usually “all‑in” for what you see at the showing. You may still plan for updates or replacements if you want changes, but you avoid the line‑item upgrade menu common with new builds.
Premiums and depreciation
Builders often charge lot premiums for location, orientation, or size, plus finish premiums for popular options. Be aware that new homes can show quicker short‑term depreciation once your custom finishes become “used.” Over time, well‑located homes with solid build quality hold value competitively. In some established Plano neighborhoods, resales may present immediate equity opportunities, but this varies block by block.
Property taxes, HOA, and ongoing costs
In Collin County and Plano, budget for appraisal‑based property taxes set by local authorities. For new construction, assessments may be phased at first, then adjust after completion. Many new subdivisions include HOAs with dues for amenities or maintenance. For resales, review HOA documents for current dues and any special assessments. Factor these items into your monthly carry costs alongside utilities and routine maintenance.
Financing and appraisal issues
Builders often promote preferred or affiliated lenders with incentives such as closing cost credits or temporary rate buydowns. Compare offers with outside lenders. Sometimes you can negotiate a similar value as a price reduction if you choose your own lender.
Appraisals can be sensitive for new builds priced above recent comparable resales. If an appraisal comes in short, you may need to bridge the gap, seek builder concessions, or rework financing. Buyers using FHA or VA loans should confirm the builder’s experience with those programs and any completion or inspection requirements tied to the loan type.
Timeline and process
New construction timelines
- Inventory or spec homes: often the fastest path, with closings in roughly 30 to 60 days if construction is complete.
- To‑be‑built homes: plan on roughly 4 to 10 months or more, depending on builder queue, permitting, product type, supply chain conditions, and weather.
- Customizations and municipal inspections can affect your schedule. Confirm access to the home at key stages if you plan third‑party inspections.
Resale timelines
Resale transactions commonly close in 30 to 45 days, depending on lender timelines, inspections, appraisal, and any negotiated repairs or credits. If you need a quick move and find a well‑qualified property, resale can often match a tight timeline.
Inspections and warranties
Inspection strategy for new builds
Even with warranties, plan independent inspections. Many builders allow third‑party inspections at specific points, like pre‑drywall and final. A general home inspection before closing helps catch workmanship concerns. If you are financing, your loan may also require a pest inspection. Inspections create a clear record for warranty claims later.
Inspection strategy for resales
For resales, you typically have an inspection contingency window to order a general inspection and any specialty inspections you need, such as roof, HVAC, pool, or pest. Afterward, repair negotiations are common. In multiple‑offer situations, sellers may resist broad repair lists, so focus on safety, structure, and system issues.
Warranty differences
A common new‑home warranty structure is 1‑2‑10: one year for workmanship and materials, two years for major systems, and ten years for structural components. Verify exact terms in your builder’s documents and understand how to file claims. For resale homes, a seller‑provided warranty is usually limited and short term. Many buyers choose to purchase a separate home warranty for added peace of mind, but coverage varies widely.
Contracts and negotiation
Key contract differences
Builder contracts are different from standard resale forms. Expect limited or structured inspection access, higher and sometimes non‑refundable deposits for lots and options, and clear rules on change orders and pricing. Many builder agreements include arbitration or limitations that affect disputes. Resale contracts, by contrast, typically include more common inspection and appraisal contingencies with refundable earnest money during those periods.
Negotiation levers
For new construction, you can target value with:
- Reduction or removal of lot premiums.
- Credits toward upgrades or closing costs.
- Temporary rate buydowns paid by the builder.
- Inclusion of appliances, blinds, landscaping, or fencing.
- Payment of HOA initiation fees.
- Faster completion milestones if timing matters.
For resales, typical levers include price reductions, repair credits, seller‑paid closing costs, and inclusion of certain personal property.
Match your approach to the market
In hot conditions, builders and sellers hold more leverage and price flexibility may be limited, though incentives still appear. In cooling periods, builders often sweeten the deal to close inventory, and resales may sit longer, giving you more room to negotiate.
Which choice fits your goals?
Choose new construction if you want
- Modern layouts, energy‑efficient systems, and the ability to select finishes.
- The protection of a builder warranty and a home that needs fewer near‑term updates.
- A timeline that can stretch several months while the home is built.
Choose resale if you want
- A faster move‑in and the ability to close in 30 to 45 days.
- Established neighborhoods with mature landscaping and a lived‑in streetscape.
- Potentially better value if the home already includes high‑end upgrades.
If you are open to either path, focus on total cost of ownership, not just sticker price. Run the numbers for taxes, HOA dues, upgrades, and expected maintenance. Then compare incentives and timelines side by side.
Plano buyer checklist
Use this as your quick decision guide:
- Define needs: location, commute, lot size, desired level of maintenance, and school district preferences.
- Budget top line: purchase price plus upgrades or updates, expected taxes, HOA dues, and a maintenance reserve.
- Timeline: do you need to move in the next 30 to 60 days, or can you wait 4 to 10 months for a build?
- Inspections:
- New build: secure written permission for pre‑drywall and final inspections.
- Resale: include a standard inspection contingency and specialty inspections as needed.
- Warranty review: get the builder’s warranty or the resale warranty terms in writing; learn how to submit claims.
- Contract review: have your agent and, if needed, an attorney review any builder contract provisions on deposits, change orders, and dispute resolution.
- Financing: get pre‑approved, compare builder‑lender incentives with outside lenders, and plan for appraisal gap possibilities.
- HOA and deed restrictions: request documents, budgets, and rules before you commit.
- Comparable sales: verify recent sales nearby, especially for new‑construction appraisals.
How a contract‑savvy agent helps
New construction and resale each come with fine print that affects your money and timeline. A detail‑driven agent helps you:
- Compare total costs, including upgrades, incentives, taxes, and HOA fees.
- Structure inspection access on new builds and keep tight timelines on resales.
- Negotiate builder levers like credits, rate buydowns, and included features.
- Review contract terms for deposits, change orders, and dispute clauses so you avoid surprises at closing.
If you are weighing new construction versus resale in Plano, you do not have to decide alone. A local advocate with deep market knowledge and strong contract skills can help you align the choice with your budget, timing, and long‑term plans.
Ready to compare properties, incentives, and timelines side by side? Reach out to Suzanne Millet‑Realtor for a calm, contract‑smart plan tailored to your move.
FAQs
What are the biggest cost differences between new builds and resales in Plano?
- New builds often add lot and upgrade premiums, while resales may bundle prior upgrades into the price; compare total move‑in cost, not just base prices.
How long does new construction in Plano usually take?
- Inventory homes may close in 30 to 60 days, while to‑be‑built homes commonly take about 4 to 10 months depending on permits, supply chain, and builder schedule.
Should I still get inspections on a brand‑new home?
- Yes. Independent pre‑drywall and final inspections help catch issues early and create documentation for warranty claims.
Can I negotiate with a builder on price or terms?
- Often, yes. Common levers include lot premium adjustments, upgrade or closing credits, temporary rate buydowns, and included features like appliances or landscaping.
How do Collin County property taxes affect new construction buyers?
- New homes are assessed after completion, which can raise the tax bill; review expected assessed value and budget taxes and HOA dues in your monthly costs.
