Do I use a Realtor for new construction?

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Real Estate

Why do you need a Realtor to buy a brand new home? This is a question that is important to address. So, what are the benefits? There are plenty of signs pointing out the communities and the features. Also, there are friendly sales representatives available in the office to speak with us and fill out the necessary contracts.

This is a good question. The housing market is booming with new construction, and communities are offering more than ever for amenities and features. Here is some great information to review so that you can make the best choice for you and your family.
Whether you are a first time home buyer or are seasoned and may not have had past memorable transaction with a real estate agent there are some very good considerations to look at.

1. The sales representative works for the builder. This is true and they have sales goals to meet along with directives to sell certain lots or options.
2. The sales representative wants you to buy in their community. They will not have information on other communities in the area that could be a good fit for you. Their goal is to sell out the community they work in.
3. The builder has financial interest in mortgage and closing services. While this is not necessarily a bad thing, but there may be additional incentives that can be negotiated. Also, did you know that if their financing falls through another mortgage company may be able to save you while keeping certain incentives?
4. You can negotiate on Quick Delivery & Spec Homes. When you fall in love with a home it is sometimes more challenging to negotiate options or price since it is pulling on your heart strings.
5. There are hundreds of new home communities in Arizona. What is your time frame to build and are you out of state?
6. There are dozens of new home builders in Arizona. Are you familiar with reputations, warranties offered, and customer service experience of the different builders.
7. Builders use their own contracts. A builder contract is typically over 30 pages plus the supplements.
8. The price is only a base price. Most builder pricing is just the base and you have to add options. Do you know what the typical options are and where to start with your base? There are builders with complete pricing, but who are they?
9. What will be developed in the nearby area. Did you know that a public report is supplied along with CC&R’s for the community. It is important that the area conforms with your future plans.
10. Have you ever said to yourself “I wish I had that in my house”? There are many new home options to navigate. A Realtor will be able to bring up items you discussed during the process so that you are not regretting not adding it later. Also, a good Realtor will give advice on what is more cost effective to add after construction.

How a good and trusted Realtor can help.

1. Choose carefully who will represent you. There are some part time Realtors that may not have the time or dedication to truly know your needs or the market. I meet with every one of our clients to make sure that we understand your needs and navigate the various new builders to find the right fit for you. This will save you time and the heartache of missing out on the perfect community.
2. Realtors will show you all communities. After finding the best area for you to live based on your needs, we then find the best community and builder based on our needs analysis conversation.
3. Realtors have resources such as lenders and can also help negotiate incentives with the builder. In some cases the builders lender may be a good fit, but not all individuals have the same situation. Our team works with lenders that have relationships with builders and also can help negotiate incentives no matter who you may use. At the end of the day, it is what works best for you that matters!

4. Realtors have access to important links and documents to educate clients and keep them informed about the process to ensure that you are doing your due diligence with a home inspection, etc

5. Realtors work on your time frame. Most builders have a 6 month build time frame (give or take). Do you need something sooner? Our team has access to find quick delivery homes that meet your time frame.
6. Realtors can sell your home. Builders may be able to refer you to one of their preferred agents to sell your home. These agents may have a financial tie to the builder and may not have your best interest in mind. We consult with you and give you a full 14 step marketing plan and review the timeline to buy your new home. We work hand in hand with the builder on the progress of your home sale to keep your timeline in order for your build.
7. Realtors are your voice along with eyes and ears. Your life is busy and you may be out of state. During the sales process the Realtor is your voice for negotiation. When the construction starts, we will send you home updates along with photo and video progress updates. We accompany you during inspections and help voice any of your concerns about corrections needed.
8. Realtors help navigate forms and documents. We will ensure that you received the public report and CC&R’s and answer any questions along the way. We are also familiar with the builder contracts and accompany you to the signings.
9. Helping to navigate what the heart wants. We will bring up insights based on our needs analysis to help you stay on track with your builder options to help you not miss out on those very important items you may have wished you wanted in the future. We will also provide advice on options that may be more cost effective for a 3rd party to complete after closing.

10. Realtors will send you updates of your construction. A good Realtor will send you photo and video updates of your construction. This is great for busy clients or out of state clients.

In conclusion, the choice is yours on who you want to represent you. The builder does not give you a discount to not have your own representation (if they offer a co-broke payment to your agent comes from the builder proceeds as part of their marketing to draw business to their community). At the same time, you do not want to have useless representation with an agent that is not there for you. I would be honored if you chose me to represent you, and I guarantee you will not be disappointed. Call me at your convenience, and I would love to interview to be part of your new home search team. Best of luck in finding the perfect home!