Builder Salesperson represents Builder – Who will represent You?
Custom Building or New Construction offers the opportunity to make lots of choices and get the home of your dreams. You can choose every possible upgrade. But, you will need the guidance of a Realtor to make sure that you are protected. The builders representative’s ultimate goal is to sell you a home. And in that process, he or she is looking out for the builder and the builder’s bottom line. We can help you in taking care of your bottom line while holding your hand through the decision making.
If you are interested in going the Custom Home route, you will need to consider decisions such as lot size and location. Are you looking for a lot located in a subdivision? Do you want a lot with lots of space? Or are you going the Custom route to better control the quality of your finished product? Are you looking for a Luxury Home with all the custom features? These are all great questions that will need to be answered while exploring the Custom Build. Will the land need to be purchased by financing? Are you going to need a construction loan? Do you have your down-payment for the construction loan? Not all lenders do construction loans, so you will need a lender that does construction loans. We can help oversee this entire process as well as the entire construction process through the project completion.
Quality of Builder
Tract Builders or Volume Builders typically develop an entire subdivision or share a subdivision with one or two other builders. Each builder will have their own set of floor plans, upgrades, standard features, lot fees. Each builder also has their own quality of product.The quality of the builders product is different from builder to builder. If you are looking for an idea on which builders have better quality product and which builders have better construction practices it is important to do your research. Builders during the peak market days of old were known for many short cuts leading to homes with structural flaws that led to homes that allowed moisture intrusion and mold.
Experienced Realtors area aware of the builder’s quality of work. Certain builders are known for certain craftsmanship. Realtors that have worked with new home builders also get a great idea on which builders are more negotiable, which builders are more customer service and customer friendly, which builders repeatedly look out for the builders interest above that of the customer. Obviously price will pay a large factor in what you can afford as far a quality, but when faced between two similar builders, a good agent can help you make a decision based on previous experiences.
Some builders may have inventory homes, which are often sold at a slightly discounted rate. These homes may be the result of various scenarios. Sometimes contracts fall through due to buyer financing falling through or a buyer changing their mind. But, other times the builder starts the construction with hopes of having a buyer before completion. When the property is held, the builder looses money by carrying the property. When a property sits too long, the builder may be open to more negotiations. It is not uncommon for a builder to throw in appliances, closing costs, and other benefits for purchasing an inventory home. A good agent can really push to help get you some of these added bonuses.
Builders often require larger upfront deposits, which are non-refundable after set periods. They also require that the buyer pay for any upgrades before closing. If you back out before closing, unless the agreement states otherwise, you will lose that money. Make sure you understand every detail in the builder’s contract before signing it. Most builders have clauses in their contracts that allow for them to take longer for closing.
Sometimes the builders do not even own the land at the time of contract. The land may be help in another entity which needs to purchased or transferred over to the company. Upon the sale and transfer the builder will then begin the rest of the project, but this could create delays to the process. There was one builder that took over 4 months just to buy and transfer the land. Upon the transfer, there were months of delays due to zoning and permitting. The buyer was originally told that the builder would have the home ready in 6 months. The entire process for the home took nearly a year.
Still Need Inspections
Many people think that purchasing a new home means that the home is brand spanking new with no flaws. But, that is not necessarily true. New homebuilders make mistakes like everyone else. Several local builders built homes without putting insulation in a portion of the attic space leaving the buyer wondering why his or her electric bill was so high. Perhaps the builder that failed to put a ballast in front of a water heater in a town which requires them for any home to receive a certificate of occupancy regrets their expensive mishap. The inspector caught the mistake, which saved the buyer thousands of dollars.
The builder typically has a walk through pre-drywall. It is very important to attend this walk through and if possible have an inspector also walk through with you. You will want to make sure that the builder first and foremost built the correct floor plan. They have been known to build the wrong ones or put something in the wrong place. Then, you will walk to make sure those windows, wiring, electrical outlets, ceiling fans and light fixture wiring are all where they are suppose to be. Where is the air conditioning unit? Have you ever heard of having one directly outside of a living room window? Imagine sitting and watching television and hearing the unit come on during the hot summer. Again, these are all things that a Realtor can help you catch before closing on your brand new home.
Before visiting any new home office, please contact an agent. New Builders WILL NOT honor any realtor which comes after your initial visit. Your agent must sign in with you. We have a list of all the local builders and can walk you through the entire home construction process. Contact us about buying your home