Do You Need a Realtor to Purchase New Construction?
The answer to this question should always be, “YES!” With new construction being so plentiful in the Greater Philadelphia Area, you may be considering buying a newly built home. The benefits of using a Realtor as a new construction buyer’s representative are many. Here are our top 3 Reasons why you need a Realtor to purchase new construction:
Buyer representation is provided at no cost to you because the commission for buyer representation has already been built into the purchase price. If you are not represented by your own Realtor, the price of the home will not be reduced. The builder simply pockets an extra 3% from your purchase. Since the builder has a professional real estate representative watching out for their interests, shouldn’t you also have expert representation watching out for you? If you walk in without having hired a Realtor, you are representing yourself. Using an agent for purchasing new construction will keep your best interest in mind against a seller who is trying to maximize his net profit on the home sale.
Remember: The friendly onsite agent/salesperson is hired to represent the builder’s best interests. If a buyer chooses not to be represented by their own agent, that savings goes right back to the seller/builder without providing any discounts to the buyer.
Since the purchase price of the home will be the same with or without a Realtor, it makes sense to have an agent on your side to help you navigate the complicated home buying process. Your agent will assist you with the pricing, terms, and conditions of the contract. A good agent will know all the right questions to ask in order for you to understand the new construction process and allow you to make educated decisions. Your Realtor will also negotiate directly with the builder, on your behalf, to get a better deal with the upgrades you want. An experienced agent will work diligently to make sure that everything you want, and any matters related to the transaction, are stated in the purchase contract.
Remember: Everything will be done as it is written in the contract, so it is important that you clearly understand the contract.
KNOWLEDGE & EXPERTISE:
Buying new construction is a little more difficult and time-consuming than buying an existing home. A Real Estate professional can help guide you through this process. They can provide you with valuable insight into the market as they know where the new homes are and can help you locate the brand new home that is right for you! The expertise an agent brings to the table means they can often clarify details of the construction process, appraisal, contingencies, builders’ warranty, potential issues in construction, down payment, inspections, financing and much more.
Remember: Enlisting the help of a buyer’s agent will provide you with expertise in contract writing, negotiation, and closing.
There are some rules as to how you are to be introduced to a builder so that a Realtor, working on your behalf, receives their compensation. If you plan to visit a model home alone, inform your agent before going so that they can call ahead, letting the builder’s rep know that you will be coming and that you are being represented by a Realtor. Be sure to hand your Realtor’s card to the builder representative at the door of the model, and specifically tell them, “this is my Realtor”. It is even better if your Realtor accompanies you through the door of the model in order to make it clear from the very start that you have Realtor representation. If you visit the model on your own without your agent and register yourself, the builders generally will not allow a Realtor to negotiate on your behalf later.
Click below to search some New Construction homes in the Greater Philadelphia Area:
King of Prussia, PA
West Chester, PA
Don’t see the area you are interested in listed above? Head on over to my website to customize your search:
If you are looking to purchase New Construction and have been searching on your own so far, it may make sense for us to have a conversation about how my experience as a Buyer’s Agent will benefit you. Contact me and let’s see how I can help you!
Donovan Mitchell :: DonovanMitchellGroup.com :: 215-688-3863