(edit title) Buying new vs older (renovated) appartments Things to consider Options

[hatim]

I am interested in buying my own apartment in coming few months. I see a lot of new production apartments. I want to know the pros/cons of buying a new apartment vs an older one.

An obvious con would be that prices of new apartment may not reflect reality (for example, buying a 2 million SEK apartment in an area where older apartments go for 1 million seems like a risk to me, since construction companies can probably pull off selling it at a higher price, but not individuals who have to move around.

The obvious pro is that every thing is new and you probably don't get that many problems compared to same build quality for an older house (but people also claim the age of "they don't make them like they used to" cliche).

Please share your thoughts.

[olga118]

If the building isn't yet finished you could get surprised with a really high avgift in the end.

[Localer]

we bought an apartment 2 years ago, and the avgift is now 6970 SEK per month for 90 sqm ! i would suggest go for old apartment, because they are more financial stable. new apartment you would never know what is gonna happen and avgift might get higher and higher

[hatim]

Yeah, but it really depends on the stability of the situation. An older apartment may have a lot of problems which if not solved are a hassle (like for example if they have to do building repairs then you have significant problems, even if insurance covers you to stay else where)

[skogsbo]

just because something is new doesn't mean it will be better, newer buiding products could be better or worse, it also down the craftsmanship, buying in advance you have no idea of the finished product. Also I'm not sure how the snagging phase at the end of construction prior to handover works in Sweden, who controls it, then owner the association, how long can you keep called them back?
With an apartment that's even 1 year old, many or most of the faults have been ironed out, especially heating systems over the winter etc..
As mentioned above, the cost, the more plots they sell off plan, the less pressure there is to the builders to keep the costs down.

[Essingen]

I would suggest that the purchase of both new and old apartments requires a good understanding of finance. If you go second hand you have the annual accounts to study...something that seems beyond the ability of most people. You can work out how much debt is associated with your flat and what the intest rates currently are. When will they be renewed? Are market rates much higher...or possibly lower. Ask about planned major renovation work and how it is to be financed. Look at the sale price vis-a-vis other properties in the area.

New properties are trickier as there are no accounts to look at. This principle is the same though. How much debt is associated with your flat? What is the interest rate? What would happen if interest rates increase by, say 3%. When does the Brf take over from the builder? Ask the right questions and you will be able to assess what future monthly charges are likely to be.