Two Options For Showing Used Homes In A New Construction Community

Mark:

You are very cleaver.  Stopping off at the Welcome center and registering your clients is a great idea.  Some of the new developments in my area do not allow you to register your clients, but most do.

Mark I agree, Option 2 is the way to go. It only takes a couple of minutes to register and you never know.

There is a third option, but it probably involves significant time in jail at the minimum. I've had a similar experience with someone whose home I sold when it had been sitting for months. I finally got a referral fee. It still amazes me what does or doesn't go through a buyer's head.

Mark, that's an excellent suggestion!  I've had problems with builders in the past who haven't honored a BA agreement, and buyers who don't understand loyalty after they sign one.

Smart move, Mark.  It can be a tricky business sometimes, and you've got to protect yourself.  Well played.

Mark...

This is a brilliant post about the right way to handle the situation! It's a "no-lose" solution.

Yes, it is a unique take on how to handle things. Thank you for the tip.

Unfortunately, people abuse the system. I sat on tracts and as soon as someone learned we pay commissions, they remind me they had an agent....after they signed up of course....The system works better if not abused...good post

I guess the sales agent isn't a realtor?

They don't have to ask whether the buyer is already working with an agent?

NAR should work on that. The sales agent should be bound by the same ethics as the realtor.

I am very fond of doing your option 2.  In a market which has been laden with short-sales within a new home community, I add an additional question to the buyer, "Would you rather shoot craps or buy a house?"  Working with banks to get a short-sale through on a less than new home, is a burden that is unnecessary in a new home community.  There is also usually a choice of colors, upgrades, models, and sometimes builder incentives.  There are a number of builders in the greater Sacramento region who cooperate fully with outside agents. 

They likely won't ask anyone walking in on their own to a new home sales office whether they are working with an agent, however.  The key is to accompany your client, and register them with the builder.  I also sit with the client during the process of all paperwork, too!  After all, the salesperson at the new home community is representing the builder/seller, not the buyer!

Mark,

Good way of handling the situation. It seems to be a universal experience that clients will build without representation. I guess they will never understand the sales associate works for the builder and not for them.

-Brent

Great post!  I always try to include new homes in every search so that the client feels you have their best interests at heart and exploring every avenue.  Good thoughts!

Intersting post, Mark. Buying the-year-old home can be like buying a used car, where there are lots of options included that you would've had to pay for in your model. Despite that, sometimes the shinier alternative seems better. You cover both bases with your approach of showing the old and leading buyers o the new.

Thx for sharing this. I just reblogged.  This sounds like a very smart strategy.

Mark - sounds like  a plan and very smart. We will try and follow through on your great advice.. Thanks to Debbie who directed us to you.