What To Know When Buying New Construction
Walking into a decked-out model home in a new development is like stepping into a world where everything is shiny, new, and customized just for you. It’s the housing equivalent of unwrapping a present on your birthday. But buying new construction is a whole different ball game compared to snagging a pre-owned home. Think of it as the difference between ordering a bespoke suit and buying off the rack.
1. Don’t Go It Alone — Work with Your Own Real Estate Agent
At first glance, you might think, “Why do I need an agent when I’m buying straight from the builder?” Picture this: buying a new construction condo, having no idea about inspections, as a result being blindsided when the promised features never materialized. Sounds like a punch to the gut, right? I make sure my clients avoid those pitfalls by knowing when and where those items should be checked.
Builders’ sales agents are great at telling you what the builder can offer, but remember, they work for the builder, not you. Having your own agent (hopefully, that’s me!) means someone is looking out for your best interests. I can review contracts, negotiate terms, and even make sure you get that crucial pre-drywall inspection. Plus, I’ll know the resale value and what upgrades are actually worth it. And the best part? The builder typically covers my fee, so you get expert advice without extra cost.
2. You Don’t Have to Use the Builder’s Preferred Lender
Builders love to sweeten the deal with incentives to use their preferred lenders. While it might seem like a convenient, one-stop-shop, it’s also smart to shop around. The builder’s lender might not have the best deal for you, and those incentives can sometimes hide less favorable terms.
I’ll help you compare offers and ensure you understand all the fine print. It’s your mortgage and your future, so let’s make sure it’s the best fit for you.
3. Always Get a Home Inspection (or Multiple Ones) with New Construction
A brand-new home doesn’t mean it’s perfect. Builders can make mistakes, and sometimes new homes have more problems than older ones. I always recommend multiple inspections throughout the construction process, especially a pre-drywall inspection.
Even with structural and workmanship warranties, a professional inspection can catch issues before they become your problem. And believe me, you don’t want to discover a leaky roof after you’ve moved in.
4. Expect the Unexpected at Times!
New builds require patience. From material delays to unexpected weather, hiccups happen. It’s essential to have a flexible plan, especially if you’re timing the sale of your current home with the completion of your new one.
Also, remember that a new home hasn’t been lived in, so expect some teething issues. Maybe your shower pressure isn’t quite right until the fourth or fifth use. I’ll negotiate terms with the builder to fix certain issues post-move-in.
5. Stick to Your Budget and Don’t Get Swayed by Costly Upgrades
Customizing your new home is exciting, but it’s understandably easy to get carried away. Stay within your budget and pick upgrades wisely. Not all upgrades provide a good return on investment. I’ll help you decide which ones are worth it and which ones you can skip.
Keep an eye on rising costs of materials and any escalation clauses in your contract. Some builders focus on modular or pre-fabricated homes, which can be less expensive and quicker to complete.
Final Thoughts
Buying a new build is a unique adventure, filled with excitement and a fair share of potential pitfalls. With these strategies and a savvy real estate agent by your side (hello, that’s me!), you can navigate the process smoothly and move into a home you truly love.
If you or anyone you know is thinking of buying new construction or even a recently flipped home, let’s chat. Having an agent on your side ensures you stay on budget, sign a fair contract, and avoid any nasty surprises. Here’s to finding your perfect, shiny, new home!
