10 Reasons to Use a Realtor When Buying a New Home
Although 97% of home buyers utilize the services of a RealtorÂ® when purchasing a resale, they don't realize that a RealtorÂ® is even more important when purchasing a new home. A market knowledgeable RealtorÂ® representing you is critical to achieving your goals in the purchase of your dream home. Consider the following ten facts.
1. Lot size and location: The lot you select will determine a significant amount of the home's future value. Your choice should not be based on what the builder needs to sell but what gives you the best return on your investment and meets your individual needs.
A sound investment idea! Make your selection based on your personal choice and then let us assess it according to how it will appraise in resale in relation to other lots available.
2. Accompaniment to the design center: What standard builder features or upgrades will directly impact the home's future value? Will the upgrades merely return enjoyment or actually create more value in resale? Your choice should be based on what gives you the greatest enjoyment and/or return on your investment. Knowing how these selections impact future value should also be a consideration.
A sound investment idea! As a free service to our new home buyer clients, our licensed interior decorator will accompany you to the builder design center. She will analyze the selections you make based on future resale and you can decide if they are worth the extra investment, if applicable.
3. Get clarity on upfront, non-refundable expenses: When entering into a new home transaction with a non-represented consumer builders often do not explain what expenses are upfront and/or nonrefundable.
A sound investment idea! Let us assist you in the process before you sign anything and make sure all of the costs, upfront, nonrefundable and long-term, are clearly communicated and understood by all parties.
4. Get a Home Price Evaluation before you sign: Builders do not generally know how the market treats its product in resale. Once you purchase the home, it is your investment.
A sound investment idea! Let us give you a Home Price Evaluation on the property based on how it would compete in the market today. This will tell you if the lot, floor plan, and your selections will most likely retain value in relation to the current market.
5. Get the best loan for your needs: Builders often offer monetary incentives to work with their mortgage company and this may not be in your best interest.
A sound investment idea! Let's compare the builder's incentive with the actual mortgage product as well as other products available on the market that are competitive. You may pay more in mortgage closing fees than the actual builder incentive is worth.
6. Watch for those appraised values: A builder often gets his mortgage company to qualify you based on the assessed value of the unimproved property. When the property gets reassessed with the improvements of a home, the increase in taxes can place a tremendous financial strain on a budget based on a lower tax assessment.
A sound investment idea! Let us review property taxes in the neighborhood that have been reassessed with improvements and make sure you are comfortable with the house payment based on the future tax. In this way, you know your future obligations before you purchase.
7. The home is new, why should it be inspected? The Texas Association of RealtorsÂ® found in a study that 45% of defects found were present when the home was purchased new. Your builder should stand behind warranties and guarantees, however, making needed improvements/corrections to the construction after you live in the home or addressing code/repair items after your closing may be costly, inconvenient or at the very least, complicated.
A sound investment idea! Let's get a qualified inspector to give you a professional opinion of current condition and potential future problems. Often, this can result in making a builder bring the home up to a code that although not currently required may become an issue in case of future annexation. It will either be the builder's cost or your future cost and you are the one I represent.
8. Market Knowledge: In addition to the immediate value of the home, there are other important facets to purchasing that should be considered. When you work with us, disclaimers and disclosures endemic to the area/subdivision, addenda regarding homeowner's associations, recent information regarding the surrounding community, the local schools, and utility districts, will all be presented and evaluated.
A sound investment idea! Allow us to guide you through the myriad of local market conditions so you can be an informed homeowner and make the most of your homeownership experience.
9. Do you need to sell your current home in order to purchase new? Clearly, the builder has an interest in the selling of your current home. You should personally select the REALTORÂ® who will be representing you and be wary of builder recommendations, which may come with hidden incentives that do not serve consumer needs. Few builders know the actual performances of RealtorsÂ® in resale, and make recommendations that are not based on representing your interests, but their own. Choose a RealtorÂ® whose goal is your highest possible profit and not their builder allegiance.
A sound investment idea! Allow us to give you an honest Home Price Evaluation. This gives you a good idea of the equity you will be able to reinvest. Our service comes with a guarantee and 192 Critical Steps we take to sell a home. If at anytime you are not happy with our services, you can be released from our agreement. Never work with a RealtorÂ® that will not release you from a listing agreement if you are unhappy with their services.
10. Home Services to save you time and money: There are many services you need in a new home purchase, for example, moving company estimates, utility connect and disconnect, cable or satellite hook up, and estimates on homeowner's insurance. The builder expects you to handle all of these.
A sound investment idea! We have a complete list of service providers. If moving from outside the area, one of our support staff can establish necessary accounts on your behalf.