Should I Utilize a Realtor® When Purchasing New Construction?
The use of a Realtor® during a new construction purchase, in my opinion, is the most under utilized facet of a Realtor® in today’s marketplace. I strongly recommend that you use a Realtor® whenever you are purchasing a new construction home. Below is a list of the reasons to always take advantage of the Realtor’s® knowledge and expertise in a new construction purchase. A quick note – as a Buyer you will owe little to nothing to your Realtor® for all of these services.
- The sales agent that is on site at the model home you visit is representing the builder and only the builder. Their job is to sell the homes for the builder – they are not there to “help” you as the consumer. No matter how qualified you feel you are as a negotiator, a Realtor® has the expertise to negotiate a Real Estate transaction. Sales price is not the only thing to be negotiated during a home purchase. For example, closing costs, fees, upgrade options, financing terms, etc. are all things that need to be discussed and negotiated.
- A knowledgable Realtor® knows the builders in their area. They will be able to educate you on the builder, their reputation, and their past. Did you know that the last development your builder completed had massive stucco issues throughout? You may not, but your Realtor® did.
- Your Realtor® will be able to help explain and decipher all the contracts and contractual obligations you have. They will be able to help ensure that you understand all the clauses, upgrade options, deadlines, etc. There is a lot of paperwork involved, don’t you want someone on your side helping you see it in the correct light that benefits you?
- You Realtor® will know what to look for when reviewing and comparing homes and builders. There are many factors that play into the building of a home – stud sizes, windows used, efficiency of the heater and air conditioning systems, appliances, and many more things need to be evaluated to ensure that you are comparing apples to apples. Your Realtor® will know what to look for and what needs to be evaluated.
- Quite frankly, your Realtor® will have significantly more pull with a builder if an issue arises – and an issue will arise. With something as large as a home being constructed, issues are bound to arise – from financial to structural issues. Builders need to maintain a strong relationship with local Realtors® and their companies. So when an issue does arise, your Realtor® will be able to utilize that leverage when fighting for you.
- Model homes are always beautiful and they can help get you caught up and swept away. Your Realtor® helps to keep you grounded – they will ensure the home really fits your needs for the long-term. The on site sales agent is there to describe and flaunt all the good factors of the home and the neighborhood. You Realtor® will ensure the right questions are being asked – are there flood plains, possible school zone changes, construction possible right behind you?
- Having a Realtor® help you through this process will save you significant amounts of time. Signing the initial paperwork to purchase is just the beginning. Financing options, inspections, closing, title, etc. all still need to be dealt with. Have an expert on your side.
- As a buyer – all of this comes to you for little to no cost. Most brokers do charge a small fee to their Buyers at closing – usually under $500. The cost savings a Realtor® may offer however is significant.
Unfortunately, too few new construction buyers utilize a Realtor® with their purchase. Please trust me when I say, before you visit any model home, meet with a Realtor® to discuss your personal situation and desires. Then let them help and guide you through the process.
If you would like to set a meeting to discuss any of this, please feel free to contact me anytime at firstname.lastname@example.org or 215-499-9712.