Should I Hire a Real Estate Agent for New Construction?
When you’ve decided to buy a new construction home, you may be wondering if you really need to work with a real estate agent. New construction homes are a popular choice for those that prefer to buy something new, but the common misconception is that you don’t need to work with a realtor during this type of purchase. Despite buying new, you still need representation. Take a look at why you need to hire a real estate agent during this type of purchase.
Why do people think they don’t need an agent?
It’s a common misconception that you don’t need representation from a real estate agent when you are buying a new home. It’s assumed that this is an easy way to save money during the purchase and that a buyer will just have the option to use internal representation, but in reality, a builder’s rep is only in it for representing the builder and they will do their best to get the best deal for the builder rather than you. Without a realtor, you’ll miss out on any savings or discounts due to the legalities of having no representation.
Speaking of legalities, your builder will end up receiving an extra percentage from your purchase without a realtor representing you. Since the commission for buyer representation is a part of the purchase price by law, it’s essentially free for you to have a realtor looking out for your best interests. The builder doesn’t have to have a licensed agent working on their behalf either, so your realtor would act as a licensed agent on your behalf making sure your best interests are met. Don’t depend on a builder’s rep to look out for you.
Your realtor is essential
Not only will your realtor have your back, but they understand this process better than you do. They know the ins and outs of home buying, and they know how to negotiate on your behalf for the best deal, the hidden secrets like free upgrades, and making sure that you aren’t getting cheated. Even though you are buying new construction, it’s important to have someone navigate the complicated process.
Then once you’ve hired a realtor, make sure you’ve told the builder’s representative immediately of whom your realtor is and don’t sign anything without him or her present. Your realtor will be able to help you learn more about a builder’s reputation, if this is a good area for development, and will help you know what to do at each phase of the process.
If you’re not sure who to work with on your purchase of a new construction home, be sure to check out elitereferral.com to get paired up with your perfect match from the start.