As of today there are just 1,704 homes listed for sale in Central Ohio on the Columbus MLS. That’s over 46% less than a year ago.
To say that inventory levels are low and the housing market is competitive is an severe understatement.
In today’s hyper-low inventory market, a new home is a great option for a host of reasons. For starters, you typically won’t have to compete with other buyers, depending on whether you decide to build from the ground up or purchase a spec home, you’ll usually have the option to make selections including picking your own finishes and upgrades. Also, with new construction not only is everything brand new and pristine but you won’t have to worry about any repairs for years, and you’ll cut the costs of your homeowner’s insurance policy!
If you’re wondering, Do I Need A Buyer’s Agent When Buying A New Home? The answer is you do, but keep reading to find out why you need professional representation to get the best deal for your money when you build new.
1. The Builder’s Rep is Not Representing You
When buying a new construction, the builder’s sales representative will be ready to help you with the process. But make no mistake, the sales rep in the builder’s model represents the builder’s interest, not yours.
It is the sales representatives job to motivate you to sign a contract immediately. They will also try to sell you options that are profitable for the builder, not necessarily what you really need or what best adds to the home’s future resale value.
Their tactics often include limiting the selection of available lots, advising buyers that new inventory will only be released in phases and often months or years later, utilizing scare tactics including looming price increases and/or the elimination of current promotions.
In short, the job of the builder’s sales representative is to get the highest price and best contract terms for the homes the builder is selling.
As an independent real estate agents we represents your interests and advocates on your behalf. We will help you get the most value for the least amount of money, while educating your through every step of your transaction to ensure you make the best decisions. We will also work to make your real estate transaction as easy and hassle free as possible.
2. Expert ‘Third Party’ Negotiations
While you may be a great negotiator, even great negotiators are more effective when they negotiate for other people than they are when they negotiate for themselves. An agent will look at the transaction from a dollars and sense perspective without being swayed by emotions.
A good Realtor will also know what is and what is not negotiable and as you can imagine it varies by builder. For example, did you know many builders will cover some closing costs? Include a warranty? Include free upgrades? Consider home sale contingent offers? Builders are far more likely to negotiate on fees or upgrades than they are on price.
As your agent we will help guide you through your real estate negotiations and ensure you are getting the most for your money.
3. You Won’t Get a Discount if You Buy Without an Agent
Some buyers believe they can negotiate a lower sales price if they work directly with the builder and cut out the real estate agent.
That’s not the case and you will not receive a discount by representing yourself!
Builders know that Realtors are the best, and least expensive form of marketing available to them, helping them sell far more home than they could without the support. They also realize that represented buyers dramatically reduces their staffs workload, as these buyers are better educated and prepared reducing their costs and making their lives much easier.
The purchase of a home is one of the most complex, high-risk, and expensive transactions most people will ever participate in. Take advantage of the greatest home-buying resource available – a Realtor®. For more on this topic read Why Buyers Should Hire A Realtor.
4. Use the Builder’s Financing and Get Favorable Terms
While you may not get discounts on the price of your new construction home (especially in the current market), depending on which builder you decide to work with there is a good chance you’ll receive financing incentives through the builder’s preferred lender.
Often, the builder’s lender will agree to contribute to, or pay for your closing costs, which can save you $3,000, $5,000, or more. A great benefit when you want to conserve cash. They may also agree to buy down your mortgage interest rate which can dramatically reduce the cost of your monthly mortgage payment!
5. Contractual Terms
Builders require the use of their own contracts, that is contracts which are written to protect the builder and their interest. How familiar are you with real estate contracts and their related clauses? Do you know what to look for to make sure you are protected, and contractually obligated to receive all the benefits discussed? Are you aware of any hidden fees or community fees? What about the tax prorations, how will these be calculated and who will be responsible for paying them?
We are experts in the industry and here to provide guidance throughout your real estate transaction. We prepare and review real estate contracts daily and know what to look for to ensure everything is correct. We know the nuances of the different builder contracts and will help review and answer questions pertaining to the contract. We strongly recommend you do not sign any paperwork or contract without your agent being present to review and advise.
The Benefit of Professional Representation
As a buyer, you will receive tremendous value and peace of mind working with an experienced professional, like myself.
I can advise you on selecting the best options to enhance the value for your new home including which options to allow the builder to make, and those which you might want to hold off on and have completed by a third party at a later date. That’s important, because options and upgrades easily add 20% or 25% to the base purchase price.
I have access to a network of builders, their current inventory of move-in ready homes, as well as lots to build on, and the current incentives.
This will save you a tremendous amount of time. You won’t have to sit through high pressure sales presentations in every single new development. I can schedule appointments in advance and represent you during all negotiations.
Best of all, working with me does not cost you a thing!
Allow me to represent you with the most important purchase of your life!
Call or Text me Today at (614) 332-6984 Before You Contact a Builder!
The Opland Group Specializes in Real Estate Sales, Luxury Home Sales, Short Sales in; Bexley 43209 Columbus 43201 43206 43214 43215 Delaware 43015 Downtown Dublin 43016 43017 Gahanna 43219 43230 Grandview Heights 43212 Galena 43021 Hilliard 43026 Lewis Center 43035 New Albany 43054 Pickeringto, 43147 Polaris Powell 43065 Upper Arlington 43220 43221 Westerville 43081 43082 Worthington 43235