Should You Use a REALTOR® to Buy a New Construction Home?
by Diane Strauch
on Tuesday, February 7th, 2017 at 12:53pm.
JB Goodwin REALTOR® Diane Strauch is a retired educator who has made a career out of helping people. A native San Antonion, Diane has a lifetime to offer about the San Antonio real estate market. In this blog post, Diane explores the value of hiring a REALTOR® when buying a new construction home.
I am often asked if a REALTOR® is needed when purchasing a new construction home and my answer is, "Yes, yes, YES!" Many people assume that because new construction homes are typically wrinkle free, and that the home prices are often fixed, that there's nothing to be gained from hiring a real estate agent to represent you as the buyer—but that couldn't be further from the truth.
Here are eight reasons why you should always hire a REALTOR®, even when purchasing a new construction home:
The smiling, friendly sales agent at the model home represents the builder, but who will be representing you? They will be negotiating for their builder to ensure that the builder gets the most money for the home and you need someone who will negotiate just as aggressively on your behalf. Price is not the only point to be negotiated. There are fees, upgrade options, financing terms, closing costs, and much more. Make sure you have someone who is in your corner and ensuring that you get the very best deal!
Contracts can be very confusing documents and your REALTOR® will make sure that you understand all aspects of the document. She will help you understand how contract clauses, riders, and options affect you, and she'll make sure you are comfortable with every aspect of the contract before you sign on the dotted line.
A good REALTOR® knows the builders in the area and can help to educate you on builder reputations and reviews so you can choose a quality builder for your dream home.
Your REALTOR® will fight for you if issues arise during construction of a new home. A REALTOR® will have far more pull with a builder than an individual will, because builders need to maintain their reputations with REALTORS®, because we sell their homes over and over again. Don't go into the largest purchase of your life without someone in your corner to fight for you!
A REALTOR® will ensure that you are comparing apples to apples. Many factors go into a new home build; energy efficiency, quality of flooring/counter tops, irrigation or sprinkler system included, fencing, size of garage, what items are standard and which are upgrades and many more. Your REALTOR® knows the questions to ask to see that you have sufficient information to compare builders.
6. Voice of Reason
Don't get swept up in the excitement of the sales pitch! Your REALTOR® can make sure that you are informed enough to make sure that the home will really fit your needs. She will look out for your best interests and will research important points such as flood plains, tax variances, changing school zones, resale value and much more!
7. Time Saver
Time is money, and your REALTOR® can save you hours of leg work by coordinating all aspects of the home-buying process.
Many buyers think they can pay less for a home if they don't use a REALTOR®. Statistics prove the opposite to be true. Builders need the price of their homes to be consistent so that they will appraise for full value, allowing buyers to get mortgages. The commission is built into the price of the home and a REALTOR® can, in fact, save you money by helping to eliminate the hidden costs with purchasing a home.
I hope this information was helpful. If you have any questions, or real estate needs, I'd be happy to help you!