Buying a new construction house can be more complex than buying a pre-owned home, but with a little bit of extra work and an excellent buyer’s agent, you can buy a beautiful new house that will serve you well for years to come. Here are a few things to consider as you navigate the process.
Some buyers don’t see the need for a real estate agent when purchasing a new construction home because there is a sales person on-site who can answer any questions. But this is a mistake that could cost you! That on-site person works for and represents the builder, not you. A buyer’s agent who is knowledgeable about new construction can protect your interests by handling the complicated negotiations and ensuring that all of your concerns are addressed.
One of the biggest issues to consider when considering a new construction home is how you will finance it. It is important to find a lender who has experience with new construction, as many builders require the use of their preferred lenders or have special financing incentives for buyers. Getting an experienced lender who can provide you with the information needed to make a sound decision can save you money and hassle down the road.
Another issue to consider when purchasing a new construction home is what is included in the price. Some builders have a standard set of upgrades that is automatically added to the purchase price, while others allow you to select the options you want from an extensive list. Whether you choose the standard features or the upgraded options, it is critical to get all of your selections in writing, as verbal agreements can be misinterpreted and forgotten.
It is also essential to understand how long it will take to build your new construction home. Some builders have delivery timelines that are a few months out, while others can be as much as a year. It is important to have a solid plan of action for what will happen in the event that your house is not ready on time, as it can be difficult to find an available rental or sell your current home in the meantime.
One of the best things about a new construction home is that it usually meets today’s building codes and energy efficiency requirements. This can save you money in the future as utility bills and insurance costs may be lower than if you purchased an older, renovated home.
A final thing to consider when buying a new construction home is that you will need to consider where you will live in between homes. It can take up to six months or more for your new home to be built, and it is not always guaranteed that you will sell your current home before moving into the new one. It is important to think about this now, as it can be a very stressful time for all parties involved.
