Why Buying A Newly Built Home In 2025 Could Be Your Biggest Mistake, According To A Real Estate Expert
This real estate expert is sounding the alarm for intending homebuyers in 2025, and you can't ignore.
Dreaming of owning a new home soon? The thought of shiny, untouched countertops and that fresh new-home smell is hard to resist. But before you take the plunge, let’s hit pause.
The housing market has always been a rollercoaster, and post-2020, it feels like the tracks are getting wilder. If you’ve been saving diligently—cutting back on lattes and splurging less on trendy brunches—you might feel ready to invest in a property.
After all, the American Dream often begins with homeownership. But what if that dream comes with a price tag far beyond money—one that involves long-term regret?
In an era when people are moving into unconventional spaces like cruise ships or even dumpsters to escape sky-high rents, buying a home might feel like the ultimate escape hatch.
But one real estate agent is sounding the alarm: tread carefully if your sights are set on purchasing a new build. And no, this isn’t just about location or mortgage rates; it’s about something far more unsettling.
TikTok's 'Hard Money Guy' recently took to the platform to warn potential buyers against purchasing newly built homes in the coming year. His reasons are eye-opening and come with a stark warning about the housing market's future trajectory.
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TikToker 'Hard Money Guy' is sounding the alarm.
TikTok/@hardmoneyguy
According to Hard Money Guy, the period from 2025 to 2035 is set to be a turbulent time for homebuyers. The crux of his argument is a mismatch between supply, demand, and quality.
In his words, "I hate to say it but I would not advise anyone to buy a home that's about to be built from the year 2025 to the year 2035. We are in a definite catch-22 when it comes to real estate in America, and this problem is not going away."
"If interest rates come way back down, some people will sell their homes," the TikToker explained, "but keep in mind that if interest rates go down and supply is not drastically increased, it means that the home prices are gonna go up." In short, the affordability dilemma doesn’t vanish; it simply shifts gears, keeping would-be buyers in a bind.
He pointed out that this trend is already visible. It's "the same exact reason why home prices now haven't gone down too." He further notes that across the country (besides for a handful of states in the south which have too much inventory and skyrocketing insurance costs), home prices have actually come up about four percent this year.
"Home sales are actually at the lowest level since 1995," he added. "And the only reason that's the case is because the demand is not there, the demand is not there because the interest rates are so high, people can't afford s**t."
This is where the government's push for new home incentives steps in, aiming to kickstart the market—but it’s not without its own set of challenges.
You might want to hit pause on those home-buying dreams and re-strategize
Getty Stock Images
"Real Estate Disaster"
While the outlook might seem grim, the real estate agent doesn’t advocate avoiding homeownership altogether. If your heart is set on a new build, he advises negotiating for a longer builder’s warranty—ideally five to ten years.
Many homes come with a one-year warranty, but given the expected dip in construction standards, a more extended warranty is a vital safety net.
Jesse
