by Karen Stang
Thinking of building or buying a new construction home? Knowledge is power, so best to know who represents who in the building process! Furthermore, building a custom home involves a myriad of decisions that ultimately are made by you, the homeowner. Read on to learn why you should call us first!
Someone to represent only YOU
Almost every builder has a Realtor representing THEM. The builder is considered the seller in a new construction transaction and has their own representation, i.e. the builder’s agent. Many times, the builder’s agent owns part or all of the business. Consequently, it is vital to understand what interest that agent has in the build process as they will have have the builder’s best interest in mind. Do you want to use whomever your chosen builder uses, or do you want to choose your own Realtor? Choose someone based on experience, reputation, integrity, and knowledge!
The builder and their agent are salespeople and may offer upgrades, lots, or styles of homes that benefit their interests and/or sales goals, which might not align with your ideas. An agent representing YOU will help guide you through the build in a way that helps to achieve your goals while also keeping in mind future resale possibilities. Your agent will help you to view the build as an investment and keep too much emotion from affecting your decisions.
Your Realtor will be your advocate and will tie together your goals with those of the builder. Making sure these goals are achieved and clearly communicated and executed are key.
Comparing options and builders
A builder’s agent may not tell you about other lot options nor other builders within the community since they are likely to be viewed as competition. Is their pricing reasonable? How about a completion timeframe? What about their quality of construction? A great Realtor will be knowledgable about the different builders in your area and whether they are reputable with high quality work. Our Carriage Realty agents network with reputable builders in the Twin Cities and can provide recommendations and references for you.
Yes! By paying for your own representative, you can utilize their expertise to help you save money every step of the way. In fact, most builders incorporate the buyers’ agent fees in the cost of the home. If you opt to not use your own Realtor, builders typically do not credit you the commission that they would have paid to a Realtor. The builder keeps that commission; therefore, you are not saving money by not using your own agent.
Meet with a Carriage Realty agent BEFORE you begin your new construction home search
This will ensure you are independently represented! If you visit directly with a builder first, they may not pay a buyer’s commission if you later decide to use a Realtor. Choose your agent first and then start the new construction process! You have nothing to lose by doing so and plenty to gain!
To get started, simply contact us and tell us a bit about what you’re looking for!