Why work with a buyer’s agent when purchasing new construction?
Should you use a buyer’s agent when buying new construction? It might seem like the build already has a good system in place; you can just walk in, sign your contract, and take ownership of the house six months later, right? So why would you need to bring a buyer’s agent along? Well, there are a few good reasons to hire representation when you purchase new construction:
1. It’s still a real estate transaction. Transactions are complicated and have a lot of moving parts. Plus, the builder’s representatives are there to serve the builder’s interests, not yours. A buyer’s agent can guide you through the whole process and help you navigate the more complicated aspects, as well as make sure you’re getting the best deal possible.
2. Agents know the community you want to live in. Chances are that we’ll already have a lot of information about the community you’re looking in based on the home criteria you gave us. Further, builders market their properties to us because they know that we have buyers looking. According to the National Association of Realtors (NAR), 86% of homebuyers started their searches on the internet, and 81% bought a home that their agent brought to them. With us, you’d have access to our entire MLS system; the less-than-stellar builders tend not to market on the MLS.
3. Your agent needs to go with you the first time. It’s important to have your agent call the builder before going to visit a property so that they know you’re a customer, not a potential client, when you walk in. The builder won’t disclose any information if you don’t ask about it, but we as agents know which questions to ask. Bringing your agent to the first visit can change the whole process.
A buyer’s agent can guide you through the whole process and help you navigate the more complicated aspects.
4. Agents help decipher the contract. New construction builders don’t use the standard state contract, but rather their own contracts that have been written by their attorneys to protect them. You need someone to go through it with you and decipher the language. In this market, builders won’t likely give much wiggle room on the terms of their contract, but we can help you understand what is in it so that you’re not hit by any surprises at the closing table.
5. Agents help set reasonable expectations. Sometimes, builders create unreasonable schedules for payment. We can work with the builder on that to make sure that their expectations of you are reasonable.
6. An agent will fight delays. Sometimes builders will request extensions for various parts of the building process; as agents, we can (kindly) do our part to keep builders on schedule, or even get your move to the head of the line.
7. Agents can help separate fiction from reality. The model home you visit will have a number of upgrades that the builder will try to upsell you. For example, a breakfast nook in the home might not be standard but rather a $40,000 add-on. We can help you determine what your home is going to have and what will cost you extra to include in your home.
If you’d like to have a consultation about buying a new construction home with us or you have any questions, reach out to us. We’d be happy to help you through the process of buying a new home.