The answer that I share may seem biased especially coming from a Realtor®’s standpoint. I usually try to be as objective as possible whenever I answer. Hence, I try to answer this question as honestly and fairly as I can, coming from a first time Frisco TX home buyer standpoint as well as inter-mixing my past experiences as a Frisco TX Realtor® in Frisco TX
I bought my first home back in 2000. I was not a Frisco TX Realtor® back then. Knowing what I know now about real estate and negotiations, I realized I put myself at a disadvantage many years later. Back then, I thought I could negotiate the best deal without one. I failed to recognized the value an experienced real estate agent may bring to the table.
First of, the salesperson that I dealt with is an employee of the builder. He watches his company’s best interest whenever he answers my questions. I was already at a disadvantage. The builders’ representatives are also highly trained in sales and negotiations. Again, a skill I didn’t have when I bought my first home. I didn't say every salesperson is out to get you, but after working with enough builders in Frisco TX, you will know how “negotiable” some builders are and how some won’t budge on the price or terms. Again, something I didn’t know when I first bought my house.
When I bought my first home, I went in with the mindset that the builder’s rep is out there to get me, ie. to make me upgrade features in the house unnecessarily. Several years later, I found out that mindset was wrong. If I had a Frisco TX Realtor® to guide me, I would have known what are the features I should have included in my house when I contract to build it. Some “mistakes” are things that are “fixable” after expensive expenses, then there are those features I didn’t get that I could never add to the house after the fact. Again, had I have an experienced Frisco TX Realtor® who understands the Frisco TX market, what’s hot and what’s not, I would have built a better first home in Frisco. (Special note: Agents aren’t paid on the upgrades the buyer add to the base price of the house. So, we are here just to tell you what you ought to have in the house from a desirable standpoint).
Also, as a first time home buyer in the Frisco TX market, I have never lived in a single family home. An experienced Frisco TX Realtor® may ask me to add certain features to the house that can ease living in the house. Some of these features are things I wished I had only after living in the house. Won't it be nice if someone mentioned to me? I would have a much better built-home, with a better re-sale value because of these features.
Working as an experienced Frisco TX Realtor® in the new home construction, I have helped many clients contract to build their new home. My best record was 6 new homes in 6 weeks. As a home buyer, even an experienced one may only contract to build 2 or 3 in a lifetime. The dozens of new home construction experience do count when you have someone with experience watch your back.
As an example, a client's form for foundation was set incorrectly. I happen to be there to check on the construction. I noticed the problem and quickly called the salesperson. We took care of the issue right there instead of letting the subcontractor build the forms incorrectly, then take another day or two to rectify the problem. Another example - My clients who counted on the City Permit to begin construction was told by the Design Center that they did indeed receive it, stamped on the blueprint. When I looked further, it was actually the Architect's stamp and not the City Approval. Had I left my clients leaving the design appointment thinking they had a Building Permit approval and ready to start construction, then having to burst their excitement in a day or two, again, it's setting the right expectations for clients. Had I ever noticed that salespeople have one of the most positive outlook on schedules?
These and more reasons support the decision of hiring an experienced real estate agent in new home construction to make your process a much better experience.
The truth is that some BUILDERS **may sell their contract-to-build homes to you at a lower price without a Realtor® but THE BIGGER QUESTION is saving a couple of thousands of dollars worth it when the value of an experienced real estate agent clearly BRINGS you much more than what it costs you?
As a home buyer, you think you may be saving a few thousand dollars, and in a period of a 15- or 30-year note payment, the monthly savings is minuscule, but the grander picture for a home builder may very well be a less-hassle client who enters the contract unrepresented.
- Do you understand the home construction process?
- Do you know the inspection "stops" along the way by Building officials?
- What to expect during the 6-8 months building time?
- Can you determine if the "minimum" standard features, as disclosed by the Builder is a differentiator between one builder from another, or is it merely just a Building Code as required by the City?
If I could turn the clock back, with or without the Realtor, I would sure hope I would build a better first home for my family and I. But I couldn't have done it without one.
** Some home builders who respect and honor the business real estate agents bring them will not reduce the price of the home, with or without a Realtor®.
Related Frisco TX New Home Buying Articles:
*********************************************************************************************
All contents are original. Consider subscribing to my blog for more real estate commentaries.
Subscribe via Email if you are not an Active Rain member here.
Pick up your phone & call today!
Loreena Yeo - Realtor(R) in Frisco TX
Realtor®/ Broker of 3:16 team REALTY
(214) 783-2210
loreena@loreenayeo.com
Super-serving Frisco, Plano, Dallas, McKinney, Allen, Little Elm, & North Dallas area communities.
Join the Frisco TX City Guide Facebook page
Copyright © 2010 by Loreena Yeo (3:16 team REALTY)
Original Source: Do you recommend using a Realtor® in the new home construction process?
Posted by 
;)
;)
;)
Loreena - I believe strongly that new home buyers need their own representation. I have helped several buyers on new construction with their purchase and have helped them negotiate upgrades to be included in the original price, loan fees to be paid by the builder, plus I have caught many errors in the closing costs when we get to closing. Left up to the builder's agent, these items would not have been negotiated or caught in the end and the buyers could have lost several hundred to several thousand dollars.