[quote=flu]If by remodeling you mean just the inside, no I don’t think it would be the same, because some people probably would still view the outside as looking old.
If you are talking about a complete teardown to make it look more modern, then probably some would then say the neighborhood still looks old,
People that are drawn to a new home, are probably looking at the entire appearance of the neighborhood.
Vanity 101 i guess.
At one point, I had considered Pardee’s then new Saratoga home, because it was in a newer neighborhood, even the actual sqft was the same as my existing home. I eventually chickend out because I was too cheap and didn’t want to pay for the premium. but plenty of people did. Evan as resales now, Saratoga homes still have a premium over comparables i think.[/quote]
When I say remodeling, I was referring to inside and out. I haven’t seen this new development and how it feel, but areas along Sorrento Valley Blvd and Calle Cristobal with HOA still look pretty new.
The only thing about looking more modern is that, you can’t always look more modern. Example would be, houses in the 80s look more modern in the 80s while houses in the 70s look dated. But now, 20-30 years later, they both look old and dated.
I basically have 2 questions. One is, is new really worth $200k (45%) premium right now. Two is, would that premium sustainable after 20+ years. Keep in mind that these lots are nothing special. If anything, it’s worse than your typical lot in MM since it’s smaller. 20 years from now, would it matter if the house is 20 years old or 30 years old? At that point, wouldn’t they all be old? Taste and style change all the time, so I’m almost certain that what’s desirable today is not desirable 20+ years from now. If you don’t think the premium will be sustainable after 20+ years, do you see a new house development like this pulling up the houses around it over time, or do you see these new houses appreciate at a slower pace comparing to older houses in the area?
Like you, I did consider newer too. However, like you, I was too cheap and didn’t want to pay for the premium. Maybe this is why it’s so hard for me to wrap my head around why someone would pay $200k (45%) premium for these houses.
