Why Have Buyer Representation on new construction?
Representing buyers for new home construction is something you will want to strongly consider. Without buyer representation, you are negotiating directly with the seller (the builder) who represents himself. As a result, you give up having the expertise of a Buyer Agent to will guide you through some critical decisions.
For example, with a traditional sale of pre-owned homes, the earnest money is deposited with an escrow company. When buying a home that is new construction, your earnest money will be deposited directly into the Builder’s account. If that builder goes out of business, you will be in a long line of vendors and creditors seeking reimbursement. Consequently, most never see their earnest money again. Therefore, it is critical to know the reputation and history of the builder you are selecting to build your new home.
Representing Buyers for New Home Construction is a Smart Move
Not only with a Buyer Agent help you research the reliability and reputation of the builder, they will also encourage you to hire an inspector apart from the Builder Inspector. A third party professional inspector will be able to examine the home in several building stages. Consequently, you will be aware of any potential issues.
Another important aspect in representing buyers for new home construction is the financing aspect. The builder has a relationship with a lender and will offer incentives if you finance with them. However, you may have better options. Therefore, a Buyer Agent will help you shop for the best loan and may save you thousands of dollars in the process. Don’t get confused by all the questions. Rather, hire a good Buyer Agent, like The Kolb Team who will help guide you through the process.
Additionally, a good Buyer Agent will be familiar with the latest trends, color schemes and upgrades that will add value when you sell. Of course, most buyers are not thinking of selling when they make the purchase. Consequently, the Buyer Agent can help you choose upgrades that will add value for years to come.