New Construction Homes
WHAT YOU NEED TO KNOW ABOUT NEW HOME CONSTRUCTION PURCHASES
READ THIS BEFORE GOING DIRECTLY TO THE BUILDER’S MODEL HOME SALESPERSON
DO NOT REGISTER WITH THE NEW SALES OFFICE WITHOUT YOUR AGENT OR ELSE YOU WON’T BE ABLE TO HAVE THEM REPRESENT YOU!!!
- Hiring an agent to represent you is free. The builder pays the buyer’s agent a commission for representing the buyers. Many buyers mistakenly believe they will get a better deal if they do not use a buyer’s agent. The buyers assume that since a builder has to pay the agent a commission, they would be willing to pass those savings on to the buyer if they do not use an agent. This is not true. In fact, builders charge the same price for a house regardless of whether or not you use an agent.
- It’s very beneficial to have your agent explaining the documents and the process throughout the negotiations. They will look out for your best interests. The model home salesperson is working for the builder, not you – the salesperson represents the builder. Their main goal is to sell you a home at a price that maximizes profit for the builder. A buyer’s agent has a fiduciary duty to negotiate the best terms and price for you.
- There’s so much more involved than just picking out the lot, the floor plan and neighborhood. Although there are buyers out there who have gone into a model home site and started the process directly with the builder’s salesperson, things are only good as they seem to be at that particular moment… But please be aware that when problems and technicalities arise, you want to make sure that you have a knowledgeable buyer’s agent on your side and is able to deal with the unexpected things that can go wrong while building your beautiful new home.
- Builder’s mortgage rates and incentives may or may not be your best option for financing. You need to make sure you have the best loan for your needs. Many builders will offer you incentives for using their lender. Will their lender be the best loan for you or should you call another lender to see if there is a better option for you? In case there will be a construction delay what will happen to the interest? It is always good to shop around and ask your REALTOR for some recommendations.
- Don’t overpay for your new home. Your buyer’s agent can provide valuable information so that you know what comparative properties are selling for in new home communities. You don’t want to overpay for your property. Are all the options you are adding to the house making your home the “most expensive home on the block?”
- Get a Home Inspection. You will be glad you did. Sometimes, the builder is in a hurry to get the project completed and in the rush things get overlooked or sloppy. The money will be well spent.
- Avoid headaches and stress and have a “Plan B” just in case there is a delay with the completion of the property. Make other arrangements in advance, just in case you cannot move in on a timely manner.
- When your house is complete. Meet with the Quality Control Manager and walk through the property with a notepad and take notes. I would also record the conversation as you are walking through so that nothing is missed or misunderstood.
- Keep tabs on the communication between yourself and the builder’s representatives. When things don’t turn out well, you will be clear on what happened or didn’t happen.
- Keep your agent informed on the conversations and emails. Copy them on the communication exchanges with the builder’s representatives. I cannot stress this enough.
New Construction Homes in Camarillo:
New Construction Homes in Oxnard:
New Construction Homes in Simi Valley:
SANTA BARBARA COUNTY:
New Construction Homes in Santa Barbara: