Building a New Home? 3 Things Every Buyer Should Know
Happy Summer!
For this months blog post I wanted to cover a topic that has come up for me a lot lately. With this crazy market I have spent countless hours taking buyers to existing homes looking with no success. And although I REALLY enjoy looking at homes, I want my clients to find the perfect home for their family. So what is the problem?
It has mainly been two things:
1. The seller’s didn’t spend any time updating anything to get it ready to sell because they knew it would sell eventually and it was too much of an overwhelming project for my buyers to want to take on.
2. Before we could even make a decision there were already multiple offers and we weren’t able or wanted to compete with that.
So where have we turned to? New construction!
And I generally get asked the same question every time. Do I really need an agent if I am building? The answer is yes, yes and YES and I am going to tell you why.
1. Purchasing and building a new home is way more complicated than buying an existing home. In general model homes are stacked with agents that work directly for the builder and not you.
Realtor.com says it best…
Builder sales reps represent the builder. “Often builders have their own agents on site to answer question, assist people who walk in and ultimately help with a purchase. Builder reps provide a valuable service: they can explain differences between model and floor plans and share information about financing options, upgrades and specials. But it’s important to remember that builder reps represent the builder, as they are contractually obligated to do. Realtors are trusted resources for real estate information and can help home buyers navigate the increasingly complex home buying process,” said National Association of Realtors President Gary Thomas. “The buyer agency agreement ensures the buyer that his or her Realtor will represent the interests of the buyer alone and not the seller.”
2. A buyer going into a new construction deal needs an agent that is representing you and is looking out for your best interest!
3. Does the price of my new construction go down if I don’t have a realtor? The answer is no! If you go in with an agent or go in without an agent the base price of the home is the same and the upgrades are the same. Builders do not want to reduce their prices because it sets the comparison price for future homes sales in that neighborhood. Here are some things that will impact the price of new construction.
-Location
-Cost of the land
-Demand
-Size of the home
-Cost of the building materials
-Labor costs
Here at Prime we are all experienced and knowledgeable in the new construction area. Experience isn’t expensive, it’s priceless! It is free to you to use a Realtor! Next month we will dig a little deeper with the process!
Thanks for reading!
THE PRIME MISSION
We are a boutique Real Estate Brokerage committed to educating our clients how to maximize profits when buying, selling and investing in real estate. We achieve this accord by serving our clients with the heart of a teacher.
From luxury listings to first time home buyers, we dedicate our time, resources and knowledge, to achieve a very personal and rewarding real estate experience.
Jen is one of PRIME's brightest assests. Her personality and desire to learn is contagious with everyone she encounters. Whether you are listing your home with Jen or she is showing you a home to buy, she takes pride in walking beside you every step of the way.
Contact Jen: 801.879.0850
