Should You Consult a Realtor When Purchasing New Construction?
Most buyers wouldn't hesitate to consult a Realtor when buying an existing home. They recognize the value of working with a buyer's representative who knows the market and is familiar with financing options; someone who can provide advice on market trends; who can interpret contracts and warranties; and who offers fiduciary duties of loyalty, confidentiality, obedience, disclosure and full accounting, along with the duty of using skill, care, and diligence.
But when buyers consider NEW construction, often times they don't consult a Realtor. They may spend their weekends touring Open Houses and when they find "the one", the builder prepares the paperwork, and the buyer may execute an agreement without representation or advice.
Most builders are ethical; that is NOT the intent of this post. But builders are in business to sell their product. They are not in the business of showing all available properties, or looking out for the buyers interests. A builder does not owe fiduciary duties to a buyer.
Buyers should have representation to be assured the best possible outcome, to know that all forms, disclosures, warranties, and inspections have been properly executed and fulfilled, and to have an ADVOCATE who is looking out for his best interests.
Buyers may not consult a Realtor if they believe they are saving "the commission". But that expense has already been factored into the price of the home. So, if a Realtor is not involved with the transaction, that money will go into the builder's pocket.
Think about that for a minute...
Not using a buyer's rep is like THROWING MONEY AWAY.
When represented by a buyer's agent, and especially an Accredited Buyer's Representative (ABR), buying a new home can be a gratifying experience.
The attached handout is provided by the Real Estate Buyer's Agent Council (REBAC). Anyone interested in buying a new home will find it helpful.
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