Pennsylvania is one of two states where the typical newly constructed home costs more than twice as much as the typical existing home, according to an analysis by LendingTree, an online lending marketplace. Existing homes in Pennsylvania are valued at a median of $297,831, while new homes are valued at a median of $659,468 — a 121% difference. Price gaps vary widely by state. Nationwide, the average gap is about 38%, or about $147,000. Homes in Connecticut have the largest percentage cost difference between new and existing homes — 126%. New homes tend to cost more because buyers are willing to pay more for them. Builders also face a limited supply of available land, a shortage of trade workers, and government regulations that add to the time and cost of construction. Regulations at the federal, state and local levels made up about 30% of the cost of new single-family homes in Pennsylvania in 2023, according to a report commissioned by the Pennsylvania Builders Association. Households in Pennsylvania need to make $210,643 for a median-priced new home compared to $95,131 for a median-priced existing home.
Source: Philadelphia Inquirer; 8/18/2025