Did you know:
Hire a real estate agent when building a new home
Most people are surprised to hear this – they assume the contractor takes care of everything. Well, that is somewhat true. However, the builder does not have your best interest in mind – they are thinking about their own bottom line. Here’s why you absolutely need to hire your own realtor if you are considering new home construction:
- REPRESENTATION
The representative in the construction office works for the builder, not you. A real estate agent represents you and will advocate on your behalf, keeping the transaction easy and frustration-free.
- NO COST TO YOU!
Buyers do not pay the real estate commissions – the seller or the builder does. Builders have the commission built right into the cost of the home whether you use an agent or not. This does not mean they lower the price if you don’t use an agent either. In fact, the builder relies on realtors to bring potential buyers to their homes.
- RECOMMENDATIONS
Buying new construction can get pretty expensive – quickly. An agent will help make recommendations for upgrades and improvements on your behalf. Love granite countertops, crown molding, upscale appliances? Your agent will make sure you know what is an upgrade or included with a base price so there is no sticker shock when you receive the bill. An experienced agent also knows what upgrades will help or hinder the home value when it comes time to sell.
- NEGOTIATING
Are you familiar with a real estate contract? Think a verbal agreement will hold up? Hidden fees or association dues? This is where your agent should shine. The fine print, the details of the deal – your agent will go through it all. Did you know that a builder could cover closing costs? Provide a home warranty? Include free upgrades? An experienced agent will help guide you through the negotiations and get it in writing with agreed-upon fees, timeline, upgrades, etc. Do not sign anything without your agent present.
- INSPECTIONS
Sure, it’s new construction or maybe the builder has issued a warranty. However, if an issue comes up, you may not have any recourse. Your agent has a relationship with several good inspectors who specialize in new construction. They can identify potential areas of negotiation, needed corrections or repairs with the builder.
- FINANCING OPTIONS
Chances are the builder will offer financing but is it the best rate available? Financing for a new construction home is very different than getting a mortgage for an existing home. A realtor who has experience in this area will be able to provide several recommendations of lenders who offer new construction loans.
- REGISTER
If you want to be sure that you have someone looking out for your best interest, tell the builder on your very first visit that you are already working with an agent. If you do not communicate this with the builder, your agent will not be able to represent you moving forward. We work with so many areas contractors, that we have established excellent relationships with them and their communities.
Everyone wants a stress free, easy home buying experience – whether it’s a new build or not. Having a real estate agent in your corner will help with your peace of mind.
