New Construction has lots of attraction. The idea of a pristine never lived in home full of brand-new appliances and the newest features and finishes is alluring. Being able to choose your tile and colors to fit your style make wanting to build a new construction home appealing!
When buying new construction your first stop is the model home. It’s always decorated beautifully and a place to find the latest in decorating ideas. In the model you will meet the new home consultant. This person is usually super nice and helpful and can provide answers to your questions about the floor plans, new home community and price points. They can be a great resource. However, please remember that at the end of the day the new home consultant will prioritize the builder’s interests over yours.
The new home consultant does not represent you!
The new home consultant represents the builder!
Therefore, it is very important to have a Realtor® by your side when buying a new construction home!
It’s customary for the builder to pay the Realtor’s fee so hiring professional help is kind of a no-brainer!
Hiring a Realtor puts someone in your corner. You’ll have someone on your side who is invested in your happiness with the home. Those who represent the builder ultimately have the needs of the builder in mind with the transaction. A Realtor is looking out for your interests and protecting you.
A Realtor will help you think through and problem solve issues along the way as well as help you with each step of the home buying process including contracts, inspection, lender, title company and more.
Staying in contact with the builder throughout the home building experience can feel like a full-time job. Many buyers appreciate having a Realtor who can bring peace of mind by providing regular updates, pictures, insight and communication on the building process. A Realtor often serves as a middleman between the buyer and the builder when tensions are raised over a building issue. It is not the responsibility of the new home consultant to keep you updated on construction progress. Hire a Realtor and they will keep you in the loop as part of their job representing you!
Many times, there is not much to change in a new construction contract. They are usually very “builder-friendly.” A Realtor can help you navigate the fine print of builder-friendly contracts. It is important to make note of things in the contract though that pertain to building materials, unreasonable payment schedule, delays to building process, changes in scope with building or waiving your right to legal recourse in the event of a dispute. As your Realtor I can comb through the contract and address any issues with the builder and connect you to a local real estate attorney if needed. It is to your benefit to have me in your corner and another pair of eyes on the purchase contract!
Most builders want you to use their lender. It can make financing convenient, but a Realtor will help ensure that you get the best deal and sometimes that is an outside lender. Helping you weight the benefits and drawbacks of several lenders and the loan options available to you will help you make a wise financial decision on the mortgage of your new home.
One of the major benefits of new home construction is the ability to customize the home. Builders make a lot of money off upgrades. As your Realtor, I can help negotiate upgrades and save you money. A Realtor brings balance and perspective and can help you resist going overboard on the temptation of too many fancy upgrades. Helping you decide between builder upgrades and after market upgrades with your own contractor are important decisions that can keep you within budget. Your Realtor will also help you make decisions that have resale in mind even if that is years down the road.
As your Realtor, I come to the construction process with local market knowledge and know what homes should cost. I can spot a deal as well as recognize when a home is overpriced. I know that even if a builder will not lower their base price there may be space to negotiate for upgrades or better financing terms. As your Realtor I am armed with understanding on all aspects of the deal. I understand the builder’s values and can see both sides clearly making me capable to negotiate a deal to your benefit.
No Cost to You
For buyers, purchasing new construction can be intimidating. Most buyers even wonder if they can use the services of a Realtor when buying new construction. The answer is a resounding YES!
When working with a new construction builder it is important for the buyer to know that the Realtor’s commission is 100% paid by the builder. There is no additional cost to working with a Realtor. So, since it’s common for the builder to pay the Realtor’s fee, hiring professional help is a no-brainer!
Most buyers agree that it is nice to have back up when taking on the formidable task of a new construction home. Whether you are doing a dirt build or getting in on a new home just in time to pick the finishes, an experienced and knowledgeable Realtor by your side is imperative!