Many buyers don't understand the importance of having their own representation when purchasing new construction. They figure that the site agent can take care of everything.
First things first...site sales agents work for the seller. This is not representative of dual agency. In dual agency the agent works for both buyer and seller and has both of their best interest in mid. The site sales agent works only for the builder, with only their best interests in mind.
Below is one example why buyers need their own representation...
I recently saw that sales prices dropped in a certain new construction subdivision. I happen to have a client who is currently building in that subdivision. I called the site agent that we are working with and asked for a price reduction. I told him that our same house is now lower in price and that my client would be better off cancelling our contract and buying one of the discounted spec homes.
He agreed and told me that he is not allowed to bring this up if no one complains...again; he works in the best interest of the builder. He told me he would speak with his manager and see what we can work out. He called me the next day with a new sales price that was $35,000 lower than our contracted price! He was a great guy and apologized that he could not initiate the discount without my call.
My clients were thrilled when I told them the new price. The never would have thought of calling the builder one month before close and asking for a price reduction.
New construction is a huge business and most buyers think that they can go at this alone, even when those same buyers would never dream of buying an already built home by themselves.
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