Important options to know in your new construction home buying process

by Marianna E Perez 03/23/2025

The new construction home buying process differs significantly from the buying process for an existing home. However, one thing that remains the same in each case is that no two homes are exactly alike.

While it’s common for newer developments to have “cookie cutter” homes with similar layouts, many builders have options for customization.

Here is a basic explanation of the major types of new construction home options you’re likely to encounter:

Tract homes

Tract homes are built as part of a large development on a single piece – or tract – of land. Tract homes are mass-produced and usually built quickly, making them an excellent choice for prospective homeowners who don’t want as long a process as a fully custom home would entail.

However, these homes can be almost identical in floor plan and features. While very affordable and convenient, they do lack built-in customization options.

Spec homes

A spec home is a brand-new, move-in-ready home. These homes are sold strictly as-is, so any desired changes and upgrades are your responsibility. The “spec” in spec homes comes from “speculative,” meaning the builder has created a unique design for a particular market.

Therefore, spec homes can vary greatly in style and features, making them a great option for buyers who want something beyond the cookie-cutter of a tract home development.

Semi-custom homes

As the name suggests, a semi-custom home is only partially customized by the prospective buyer. These homes come with many of the structures and features set by default, and others you can customize.

Some builders provide catalogs of options for things like materials, finishes and layouts. Spec homes will generally have the same exterior style, but the interiors depend on the choices of each buyer.

Custom homes

A fully custom home is built to the buyer’s every choice. Working closely with an architect and real estate agent, buyers determine every single detail of the home, from architectural style to light switch location.

While the design and building process mean countless decisions, if you have a vision for the perfect home and a larger budget, a custom new construction house might be the best choice for you.

Every home purchase is different, and even once you decide between new construction and existing homes, you have important choices to make. Keep these new construction options in mind to make the best decision for your future home.

About the Author
Author

Marianna E Perez

Marianna E. Perez is a Real Estate professional with over 20 years of experience. A lifelong resident of South Florida, she keeps her finger on the pulse of the latest trends and movements in the real estate market. She offers clients top-notch guidance from start to finish, ensuring the entire process is seamless, efficient and rewarding. Prior to entering real estate, Marianna was Senior Vice President of Commercial Real Estate Banking at City National Bank of Florida. She provided strategic leadership facilitating profitable and efficient origination of real estate loans. Marianna was a trusted advisor to clients and to the bank growing a real estate portfolio to over $300 million. She is firmly committed to the philosophy “not quantity, but quality,” which she practices in both her personal and professional life. Marianna is a graduate of FIU where she earned a bachelor’s degree in business management. She is a member of the Miami Association of Realtors, a lifetime board member of the BASF (Builders Association of South Florida), a member of CREW (Commercial Real Estate Women), and ICSC (International Council of Shopping Centers). She is also involved with the Women’s Leadership Council (United Way TNC). In addition, Marianna has received these special industry accolades: Housing Hall of Fame inductee 2017 Builders Association of South Florida, Associate of the Year 2017 Builders Association of South Florida, Florida’s Best Awards Chair 2016 and 2004 Builders Association of South Florida, Vice President 2008 Builders Association of South Florida, President’s Award 2008 and 2003