More Information for Buyers

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Reasons why you should get help from a Realtor

1.  If you are considering building or buying a new home you need someone on your side to protect your interests.   Don’t go at it alone without buyer’s  agent representation.  Builder's reps represent the builder and the builder’s best interest.  They will get the best deal for the builder and are expert negotiators.

2.  Most builders require us to be with you at your initial visit. This is always a good idea. We'll help you find the right builder who offers the best value and the right neighborhood. If you have already visited the builder or a model home please call us immediately and before you sign anything so we can help keep you out of hot water.

3.  You are signing a contract drafted by the builder, for the builder, with the builders needs in mind, and benefiting mostly the builder. If you do not have a savvy agent on your side, you may not catch items that you need to know and will find the home buying process confusing.  You may also have many unexpected items creep up that may derail your home purchase.

4.  We'll also advise you on when to get inspections and how often.   The city building inspector will probably not be enough to catch many builder defects. You'll likely never see the city building inspector because they're in and out of your home in 5-10mins each time they visit. They won't give you a written report and they certainly don't answer to you. We recommend professional licensed inspectors who will work for you and may identify areas that were not built properly.   This will help add longevity to your very important investment.

5.  We will perform a comparative market analysis with comparable resale homes to point out the premium that buyers are paying for new homes.  Usually buyers without agent representation will pay the builder the full price for the home which includes the commission the builder would have paid a buyer's agent. Buyers do not realize that the commission of your agent is already priced into the price of the home and the builder will usually not give you a discount if you are unrepresented. You are already paying for the service so why not get it.

6.  The value of a new home can change significantly up or down while the home is being built.   During market turmoil in some areas, in unfortunate circumstances, it may make sense for buyers to walk away from their deposit than to proceed to settlement -- some foreclosures can be avoided this way.

7.  There is someone to review the loan terms for buyers and advise buyers on any issue. Some loans have prepayment penalties or are sold with the idea that it would have to be refinanced after a couple of years -- then when people go to refinance they find their property values have gone down and refinancing is not possible -- builders typically want buyers to go with their in-house finance company in order to be in full control of the buyer -- a buyer's agent could point out alternative sources of financing which may have worked out to be better than the builder financing (even after builder incentives are accounted for).

8.  Often times, builders don't accurately inform you about property taxes. We give you the latest and accurate information on taxes before you buy. Many times builders are not collecting enough taxes at closing and sticking it to buyers a year later with $3000, $4000, or higher tax bills that were unplanned.  If you go at it alone, don't be surprised if your payments go up hundreds of dollars after your first year.