How to avoid significant disadvantages when purchasing a new built or pre sale home
Purchasing a new build or pre-sale property is an exciting venture, but navigating the complexities of this process can be daunting. Having a realtor who specializes in new builds and pre-sales can offer significant advantages. Here’s why:
Established Relationships with Builders
Realtors specializing in new builds often have developed strong relationships with the top sales representatives for various builders. These connections can be instrumental in securing favourable deals, gaining access to exclusive information, and ensuring a smoother transaction.
Accurate Information and Comparisons
A seasoned realtor ensures you receive accurate and comprehensive information. They compare different builder offerings, helping you make informed decisions. This level of scrutiny is crucial, as builder representatives might not always provide a complete picture of all your options.
Higher Standards and Accountability
Realtors are held to stringent ethical standards and are accountable to their licensing bodies. They must prioritize your best interests or risk losing their license. In contrast, builder representatives do not face the same level of accountability, which might affect the impartiality of the advice you receive.
Builder Covers Realtor Fees
One of the lesser-known benefits is that the builder (seller) typically covers your realtor’s fees. This arrangement does not impact your purchase price or negotiation power. On the contrary, a skilled realtor can often negotiate better terms on your behalf, potentially saving you more money than their fee.
Protection and Negotiation
Your realtor handles all negotiations, ensuring your interests are protected throughout the transaction. They are well-versed in the intricacies of new build contracts and can identify potential pitfalls. This expertise can safeguard you from future issues and financial losses.
Red Flags and Due Diligence
If a builder is hesitant to compensate your realtor, this should be a red flag. A reputable builder recognizes the value of realtor representation and is usually willing to cover these costs. Reluctance on their part could indicate underlying issues. For example, you become a customer to the builder without having the benefits of the fiduciary duties that come with becoming a client to a licensed representative. This means that your best interests are not protected if you choose to represent yourself.
Time-Saving and Market Insight
Realtors specializing in new builds are often ahead of the curve regarding lot availability, pricing, and options. Their insights can save you significant time and help you secure desirable properties before they hit the broader market. Their familiarity with new build systems streamlines the process, making your experience more efficient and enjoyable.
Connections to Developers
Experienced realtors often have direct connections to developers, giving you an edge in securing premium lots and customizing your new home. These relationships can also provide early access to upcoming developments and special promotions.
In summary, enlisting the services of a realtor who specializes in new builds and pre-sales offers numerous benefits, from expert negotiation and protection to saving time and money. Their established relationships, high standards, and market insights make them an invaluable asset in your home-buying journey.
