The real estate industry focuses plenty of resources on building new homes for first-time buyers. That’s understandable – first-time buyers account for 1/3 of all home sales in 2019. Usually, they have less knowledge and experience when buying a home. They need more guidance along the way and may not be familiar with several parts of the buying experience. 

Second-time home buyers make up many home purchases. These buyers usually want larger residences with more features and upgrades. Check out these luxury homes in the Austin area; the communities have large homesites, Olympic-sized pools, and golf courses. 

These are called “move-up” homes by most in the industry. They are usually mid-tier or luxury residences in gated communities or communities with world-class amenities.

Who are Move-up Homebuyers 

The typical move-up buyer is ready to buy their second home after successfully carrying a mortgage on a previous residence. They’ve started a family, and they need more space for their kids and the things that go with a family. Think additional cars, scooters, bikes, and room for the kids to play outdoors.

In most cases, move-up homebuyers already own a home. They must sell it before, during, or immediately after purchasing their new one. This can sometimes be a tricky balancing act. Emotions take over when we’re home shopping, and if you don’t have a plan to follow, you may take the wrong path. The best advice is to budget, plan ahead, and decide what to do with your current home, i.e., rent or sell it, before looking at a new home. 

After deciding on what you’ll do with your current home and taking care of anything that will help accomplish your goal, it’s time to look for your dream home! 

Start looking for your new luxury residence in the area you want to live. If you’re unable to find what you want in the area you want to live in, look in nearby suburbs and communities outside major metropolitan areas. These move-up homes may not be exactly where you want to live. Still, they are nearby and in locations that can provide oversized homesites, more builder options, and an exclusive community environment. 

What Is a Move-Up Home?

We’ll start with the basics. What is a move-up home in the first place? While there’s no set-in-stone definition, they tend to share some specific characteristics:

• Larger homesites
• Larger floor plans
• Higher-end appliances 
• More home design options (lighting, flooring, cabinets, etc.) 
• Larger rooms with taller ceilings 
• Energy-efficiency 
• Community gate/exclusivity 
• Higher purchase price 

Let’s look at some aspects of move-up homes you should know about.

Larger Homes 

In most cases, move-up homes are significantly larger than starter homes. Usually, the size almost doubles between the two, so a homebuyer moving from a 1,500-square-foot house would likely consider a home with 2,500 square feet of space. This isn’t just about having larger rooms. It’s about having space for each family member and their specific needs. You might find the layout something like this:

• A master bedroom and two to three other bedrooms
• A basement (either finished or unfinished) that can be used as a game room, guest area or man-cave 
• Ample space for storage
• Office space within the home (or a den) 
• Open and spacious living spaces – a living room, entertainment/family room, formal dining area, larger kitchen, etc. 

Larger homes offer more space for living and accommodate growing families. A move-up home can provide ample space for children to become teens and young adults. They even offer space for multigenerational living, a trend that has steadily increased over the years. 

Better Quality

Move-up homes are typically built better than first-time homes. This has more to do with the materials than the craftsmanship. Homebuilders usually rely on top vendors to construct all of their homes; there’s no proof that move-up or 2nd homes are built by more skilled trades. 

Most materials used to build move-up (luxury) residences are better than materials found in first-time homes. Rather than vinyl siding, you’ll find brick and stone facades. You might discover block construction instead of stick-built homes. Your appliances will be top-tier models. The interior finishes will be of higher quality throughout the house, from the paint on the walls to lighting greeting guests at your front door. 

Better quality, more energy-efficient homes, and beautifully designed residences. 

Higher-quality homes also mean other things, including:

• Many aspects of the home are more durable.
• Today, they are usually more energy-efficient 
• Many homes will command a higher price because of the high-end materials and upgrades

Better Quality Appliances

We mentioned it above, but we’re singling it again because appliances are essential; suitable devices enhance your life. Move-up homes typically come with better appliances than first-time homes. There’s a clear difference in their ability to clean, last, and impress visitors. 

However, better quality appliances do more than just up the home’s appeal. Most move-up houses will find stainless-steel dishwashers, flat-top stoves, convection ovens, and smart features. They save you money over having to upgrade after moving in, and they typically last years longer than their budget counterparts.

Bigger Lot Sizes

Because most move-up homebuyers have growing families, they typically look for more yard space. Bigger lot sizes offer more elbow room between you and the neighbors. Still, it also provides you with opportunities to do other things, such as:

• Installing play equipment for your kids
• Installing a swimming pool and spacious sundeck
• Installing a flower or vegetable gardens
• Installing horse stalls 

Gated Communities, Better Locations & Amenities 

First-time homes can be located anywhere, from decades-old subdivisions to suburban and rural areas without any defined neighborhood at all. On the other hand, move-up homes tend to be in gated communities and have better overall locations. 

• Gated communities offer better security and more peace of mind.
• Move-up homes are often found within very walkable communities.
• These communities often have high-end amenities, including clubhouses, community pools, etc.
• Luxury and 2nd home neighborhoods are often in higher-end areas of town.

Move-Up New Construction Homes vs. Older Homes

You will find move-up homes split into two types. On the one hand, you have new construction homes. On the other are older, pre-existing homes.

Which is suitable for you, and will it be your forever home? 

While there might be an element of romance in buying an older home and renovating it, that might not be the best path to take. With an older home, you’ll have:

• The costs of renovations on top of other costs 
• Only an inspection to let you know what the home’s shape is like 
• A very significant likelihood that the home is not designed with modern electronics in mind, making it more expensive to update your home
• There is a genuine chance that deeper underlying issues have developed over the years, like foundational issues, problems with ventilation and the HVAC unit, etc. 

There are newer luxury homes on the resale market that offer much of what a 2022 home will offer. Still, resale homes will always have unknown elements and possible items you may have to deal with. Professionals can help ensure any home you purchase is thoroughly inspected. 

When purchasing a luxury house from a home builder, these issues are considerably mitigated. Most builders offer warranties on appliances and their work; their customer service teams work with homebuyers to quickly address any problems. 

There are no renovations or repairs needed, and your builder addresses any minor issues promptly. You simply move in and make the residence your home. You get a thoroughly modern home designed with today’s lifestyle in mind.

Ultimately, a move-up home can become a forever home – a place you can grow into over the years, where memories that last a lifetime are made. Move-up buyers should keep that thought in mind as they compare their options and choose somewhere they will be happy for years to come.