Many people buy new construction homes working exclusively with the builder's Realtor. That person representing the builder's homes or housing tract is representing the interest of the builder, not the buyer. The builder's Realtor may also work with only one bank or mortgage company when there are many others available.
Using your own agent when buying a new construction home will be helpful to you in negotiations with the builder. The real estate agent representing you is likely to get his or her commission from the builder-seller so you may be getting free assistance.
You may find a new home you like that is still under construction. You would like to make a few minor alterations and the builder is willing to work with you but he will charge you more for the changes. This can include fencing, landscaping, additional wiring and plumbing.
The Realtor representing you can negotiate the price for the upgrades or help you determine if you want to hire a separate contractor for fencing, landscaping, painting, shelving and other finishing work. You may decide to do your own landscaping and save money.
If you are a do-it-yourself person, you may decide to leave a daylight basement recreation room unfinished. You will paint the walls, install your own shelving and floor covering. Many first-time home buyers do this when purchasing in a new development. The builder wires the room and installs plumbing pipes where appropriate. Your agent will help you with these negotiations that may save on the overall cost of the house.
The buyer's agent is familiar with blueprints, topography maps and the general area. The buyer's agent will help you select the best lot in a new development. The agent will know about utilities and any flooding or sewer problems in the area.
You may not want to use the builder's bank for your mortgage. Your Realtor knows different, reliable mortgage lenders and procedures for obtaining financing. You may be eligible for a Federal Housing Administration (FHA) loan. It's your Realtor's job to help you find the best financing for your major investment.
The Realtor will also explain the taxes and necessary insurance, important information for first-time home buyers.
Real estate professionals are familiar with homeowner associations and related codes, covenants and restrictions (CCR's) that are often required in new construction communities. The CCR's include homeowner dues, landscaping and property maintenance requirements to preserve the value of the neighborhood. Buyers are required to join the association and agree to these rules and regulations when purchasing a new construction or older home in these residential planned communities.
You can rely on your buyer's agent to help you finalize the paperwork to complete the purchase of the home. If you are considering buying a new construction home, contact The Michele Safford Group to for assistance with your purchase.