Do I Need a Real Estate Agent for New Construction?
If you’re in the market and shopping for a home, the allure of new construction is undeniable. In addition to being the first to live in the home, it’s full of new appliances, finishes and upgrades that you chose.
Also, you’ll be able to take advantage of builder and manufacturer warranties. If you’re not a handy person – like me – then it’s an invaluable way to make sure that you won’t have to buy or fix anything in the home for a while.
For years it’s been thought that having a house built was an option that only rich people could afford but it may be much more affordable than you think.
Now, if you decide to go the new home route, the next question is usually – where do I start?
What areas, what builders, what budgets and what timelines are some of the first questions asked. I often get asked the question of whether or not someone needs a realtor or real estate agent to buy a new construction home.
The answer? Not necessarily.
You may not have been expecting that from a Realtor whomakes a living and feeds his family based on helping others buy and sell real estate. But the truth is – you don’t NEED a real estate agent to buy a new construction home.
That said, there are some reasons why you may WANT one. Two very important ones that first come to mind.
The first is REPRESENTATION.
Imagine if you will driving down the street and finding a nice, new home community that meets your eye. You make an in-the-moment decision to get a closer look and even go a step further to walk into their model home office.
As you’re looking around, the agent comes out to answer any questions and to see if you need help.
Question: who do you think that person works for? They’re not there volunteering.
That’s right. They work for the builder. They’re a new home representative of the builder who is working to sell homes in the community.
The builder's agent will always have the builder's best interest in mind. The job of the builder's agent is to get the highest price for the homes the builder is selling.
Don’t get me wrong, I’m not beating on them or disrespecting the work that they do. I work with many of them but the fact remains that they are a representative of the builder – not a representative of you as the buyer.
When you hire your own real estate agent, you’re working with someone who represents YOUR best interests. In fact, they are legally obligated to work in your favor.
By representing your best interests, they can use their experience to negotiate price, upgrades, lot premiums, review builder lending options and other intricacies that many buyers aren’t aware of.
The second benefit is COST.
As in…there isn’t any. Buyer representation is free as the seller, or the builder in this case, pays the buyer’s agent commissions. So not only can a Realtor help you through the home-buying process but you don’t have to pay them for it!
I really pride myself on being transparent with the home-buying process and I’ve tried to find con’s to using a real estate agent for new home construction but can’t find any.
Once you find a realtor that you feel comfortable with and trust, they are only there to help get you where you want to be.
If you’re in a position where you’re considering purchasing a home, new construction or not, and are looking for someone to talk with who can provide real world advice- give me a call or text at 941-677-8798.