Thinking about buying in Orlando and torn between a shiny new build and a loved resale? You are not alone. The right choice comes down to the full cost of ownership, your timeline, and how much risk and maintenance you want to take on. In this guide, you will see how the true costs compare in Orlando, including price, financing, inspections, warranties, taxes, insurance, HOA and CDD fees, and more. Let’s dive in.
Price realities in Orlando
New construction often lists at a premium per square foot compared with comparable resale homes. That premium reflects current material and labor costs, builder margins, and standard finishes. In tight inventory pockets of Central Florida, new communities can sell at or above nearby resale pricing, while older or less updated resales can trade for less.
When you compare, look beyond the base price. Add upgrades, lot premiums, landscaping, irrigation, driveway or paver choices, and any required options. In developing subdivisions, early‑phase lots may carry a premium, while quick move‑in spec homes sometimes include incentives that soften total cost.
Appraisals can also affect the equation. In newer neighborhoods with limited comparable sales, lenders may rely on other new‑build comps or price lists, which can create appraisal challenges. On a resale, appraisals lean on recent closed comps in established areas, which can make valuations more predictable.
Timeline and financing
Typical closing timelines
- Resale homes commonly close in 30 to 60 days for financed buyers, depending on inspections, title work, and lender speed.
- New construction timelines vary. Quick move‑in or spec homes can close in roughly 30 to 90 days if they are already built. Semi‑custom or custom builds can take 4 to 12 months or more, depending on permits, supply chain, and weather.
Financing and rate risk
Resale purchases usually use a standard mortgage, such as conventional, FHA, or VA. New construction can involve a construction‑to‑permanent loan or a builder’s preferred lender program with incentives such as closing cost credits or rate buydowns. Longer builds expose you to interest rate movements. The Consumer Financial Protection Bureau explains how a rate lock works and what it protects, which is helpful if you face a multi‑month build.
Appraisals, permits, and completion
Lenders often require a certificate of occupancy and proof of completed permits before funding a new build. Appraisers in very new subdivisions may use competing new‑build sales with adjustments for lot premiums. On resale, the process is more standardized, but condition issues can still affect value.
Inspections and warranties
Why you should inspect both
Resale buyers typically order a general home inspection and may add specialized checks for termite or wood‑destroying organisms, roof, HVAC, pool, septic, plumbing, or electrical. New homes go through code inspections and builder walkthroughs, but it is still best practice to hire an independent inspector for pre‑drywall and final inspections. Organizations such as InterNACHI outline new construction inspection best practices that often catch workmanship items before closing.
Understanding builder warranties
Many builders follow a 1‑2‑10 style warranty structure. That often means one year for workmanship and finishes, two years for major mechanical systems, and 10 years for qualifying structural components. Terms vary by builder, so read the written warranty. The National Association of Home Builders offers guidance on common builder warranty models.
Florida adds its own layer. State building codes focus on windstorm and safety, but code compliance does not guarantee the absence of defects. If you discover issues beyond warranty scope, consult a local real estate attorney about Florida’s construction defect notice procedures before taking action.
Carrying costs you will pay every year
Property taxes and homestead
The Orange County Property Appraiser sets assessed values, and local millage rates determine your tax bill. Florida’s homestead exemption is available for primary residences, and the Save Our Homes cap helps limit assessed value increases after you file. You can review procedures and parcel data through the Orange County Property Appraiser. A new build’s first assessment often reflects the new purchase price, which can be higher than an older resale’s basis.
HOA and CDD fees
HOA dues in Orlando vary widely based on amenities. Communities with pools, lawn service, and security tend to have higher fees. Always review HOA budgets, reserves, and rules during your due diligence.
Many master‑planned neighborhoods use a Community Development District. CDDs fund infrastructure through bonds and collect annual assessments on your tax bill. Florida law governs these districts, and you can learn the framework in Florida Statutes, Chapter 190. CDD assessments can range from several hundred to several thousand dollars per year, depending on the community and bond terms.
Homeowners insurance in Florida
Florida homeowners insurance is often higher than the U.S. average due to wind and reinsurance factors. Newer features such as impact‑rated openings, modern HVAC, and a new roof can help reduce premiums. For market context and carrier updates, the Florida Office of Insurance Regulation is a reliable resource. If a property is in a high‑risk flood zone, a lender will require flood insurance. In much of inland Orlando, flood risk varies parcel by parcel, so check the specific address.
Utilities, efficiency, and maintenance
New homes built to recent codes with modern insulation, windows, and appliances can reduce energy use. The U.S. Department of Energy’s Energy Saver explains how efficient systems can lower consumption over time. Older resales may need near‑term replacements such as roof, HVAC, or water heater. A common rule of thumb is to set aside roughly 1 to 4 percent of a home’s value per year for maintenance, with older homes trending higher.
Negotiation playbook
Resale strategies
On a resale, your leverage depends on inventory, days on market, condition, and the seller’s motivation. You can often negotiate price, seller‑paid closing costs, repair credits after inspection, and inclusion of appliances. Flexibility on closing date can also help.
Builder incentives
Builders may be slower to cut base prices, but they frequently offer incentives. Common examples include rate buydowns, closing cost credits with a preferred lender, appliance packages, and finish upgrades. Spec homes that are ready now may carry stronger promotions. Builder contracts often include nonstandard deposit schedules, change order deadlines, and arbitration clauses, so read them carefully before you sign.
Orlando buyer checklist: compare true cost
Use this quick list to price your top two or three options side by side.
- Upfront costs:
- Purchase price plus upgrades and lot premiums
- Earnest money and deposit schedule, noting any nonrefundable milestones
- Inspection and appraisal fees
- Closing costs and any builder or seller credits
- Carrying costs:
- Property taxes, homestead eligibility, and any CDD line item
- HOA dues and the health of HOA reserves
- Homeowners insurance and, if required, flood insurance
- Utilities and estimated energy costs
- Short and medium‑term outlays:
- Immediate repairs, replacements, or updates for a resale
- Landscaping, fencing, window treatments, and driveway or paver choices
- Warranty claim process and what is not covered on a new build
- Timing and risk:
- Move‑in timing needs and tolerance for construction delays
- Interest rate exposure during a long build and rate‑lock options
- Appraisal risk in a new subdivision with limited comps
- Resale value considerations:
- Location, commute, and nearby amenities often matter most long term
- Oversupply risk in brand‑new communities if many similar homes list at once
Which path fits your goals
If you want to move within 30 to 60 days and value established neighborhoods, a resale can offer speed and negotiation room. If you prefer lower near‑term maintenance, modern efficiency, and a warranty, and you can wait, a new build can be a great fit. Many Orlando buyers end up comparing a quick move‑in spec home against a nearby resale to balance timing with incentives.
If you want a clear, side‑by‑side cost picture for your shortlist, reach out. With deep Orlando market knowledge and renovation‑informed guidance, Brenda Feliciani can help you choose the path that delivers the best total value for your goals.
FAQs
Is new construction cheaper to insure in Orlando?
- It can be. New roofs, impact‑rated openings, and modern systems often qualify for credits, but premiums still depend on location, carrier, and coverage, so get quotes on specific addresses.
What is a CDD fee in Orlando communities?
- A Community Development District funds infrastructure through bonds and collects an annual assessment on your tax bill; learn the framework in Florida Statutes Chapter 190 and verify the amount on the parcel’s records.
How long does a typical resale closing take in Orlando?
- Many financed resale transactions close in 30 to 60 days, depending on inspections, title work, HOA documents, and lender timelines.
Should I skip an inspection on a new build?
- No. Hire an independent inspector for pre‑drywall and final walkthroughs to catch items that municipal or builder inspections may miss.
How does Orange County’s homestead exemption affect my taxes?
- If the home is your primary residence, filing for homestead can reduce taxable value and limit assessed increases going forward; review steps with the Orange County Property Appraiser.
