There is something special about the smell of a brand new home. If you have never purchased a new construction home, the process can seem quite daunting. Before you start chatting with a builder or exploring new neighborhoods, keep these tips in mind.
Find an Agent
When you start shopping for a new construction home, you’ll notice that builders typically have a dedicated real estate agent who works for them. While a builder’s Realtor can be useful when gathering information, it is best to find a real estate agent who is dedicated to supporting YOUR interests, rather than the builder’s. Hire a buyer’s agent who has experience with walking buyers through the new construction process.
Determine Your Priorities
Do your research and determine your top priorities when purchasing a new construction home. Is there one builder who you really want to build your home? Is your heart set on one specific location, or is budget the most important consideration? Your Realtor will be able to talk you through the various options you have available, depending on your top priorities.
In-Between Living Situation
The average completion time of a home being built is about six months. This creates a lot of logistics that need to be determined when purchasing a new construction home. If you need to sell your current home before you purchase, you will need to find a place to live. Some home buyers move in with family, while others utilize short term rental options. Work with a Realtor to find rental options, and to determine the best time to list your home to sell and possible strategies.
Get Creative with Negotiations
Negotiating with a builder is different than when negotiating with a re-sale homeowner. Builders are unlikely to drop the purchase price on a house because they need to maintain a certain value for the neighborhood. Instead, the best way to negotiate is through upgrades! Rather than requesting a price change, ask for that granite countertop or an extended warranty.
Keep in Mind the Extras
There are a lot of extra costs to budget for when purchasing new construction. Not all new construction automatically comes with appliances, window coverings, fencing or even landscaping. Check with the builder and your Realtor to determine what is included in the base price for the home, and then do your research to find how much these other items will cost.
Every builder and home purchase is unique. This list is a great starting point when you begin the new construction buying process, however an experienced Realtor is the most important resource you can use. We would love to help you along the fun journey from a dirt lot, to framing, to keys in your hand!
If you ever have any questions about the ever-changing marketplace or know someone looking to buy or sell, please do not hesitate to reach out!