Do I need a real estate agent to buy a new construction home? When you’re house-hunting, you should engage the help of an expert. But who is the right one? Are you wondering, “Do I need a real estate agent to buy a new home?”
At New Home Inc., we work with buyers who come in with or without Realtors. Certainly, we respect a real estate agent’s expertise in not just guiding you to the right home, but also through the purchase process. The knowledge of a great Realtor is so valuable! They’ve invested in knowing the market and staying on top of the trends.
But if you’re wondering if you must have a real estate agent to buy a new construction home, it’s not a necessity. Most builders have an onsite sales agent to assist you with everything from lot and floor plan selection all the way through the building process and closing. These agents are usually licensed Realtors, too. It is important to remember, that any onsite sales agent or onsite Realtor does represent the seller directly. That doesn’t mean that can’t or won’t help you, but in the state of North Carolina, their fiduciary responsibility is to the builder. You can learn more about those relationships HERE
The Realtor who specializes in new construction—whether an independent agent or the builder’s onsite real estate agent—can guide you through the steps, educating you on what to expect. This real estate agent knows what happens when and stays in contact with your lender, who must also understand financing a new construction home. Without that knowledge, a lender might not understand the documentation and when it needs to be completed, which leads to a delay in closing.
It’s not that buying a new construction home is complicated. In fact, that’s not the case at all. It’s just different. You’re not buying a resale home that’s already built. You’re working your way through the homebuilding process, making choices, seeing your home come to life. For our customers, it’s exciting to be so involved in this major investment in their futures!
Here are the 7 steps to buying a new construction home from New Home Inc:
- Choose the floor plan. This is when you begin to see what your new construction home will look like. Browse the floor plans to see which one best fits your lifestyle. Be sure to discuss ways to personalize the plan. The builder can explain what can be done, but you need to communicate your ideas.
- Pick the homesite. Look at the available lots. Think about the location of the homesite within the community. Do you want a corner lot? Would you prefer being on a cul-de-sac? How much yard do you want AND can take care of? This is where the onsite sales agent is really helpful, because they know each lot in the neighborhood and can help you narrow your selection of a homesite.
- Secure the financing.If you have a real estate agent, they probably told you to get pre-approved for a mortgage, a smart step. This simple process tells you how much of a mortgage you’re likely to be qualified to receive. It’s not a guarantee but a great start to shop confidently.
When you’re buying a new construction home from a builder who owns the land, like in a community, you don’t need a construction loan. Your purchase is for the land and the home and you have only one closing when the home is move-in ready. If you’re building on your land, you will need a construction loan.
- Sign the sales agreement. All of the terms you’ve agreed upon—the floor plan, options, homesite, schedule, and price—are detailed in the purchase and sale agreement. Review it carefully, just as you would when buying a resale home.
- Choose the finishes. When you are building a home from the ground up, you choose every design detail: exterior colors, details, and siding (vinyl, stone, brick) and everything from the flooring and wall color to the hardware on the cabinets, doors, and drawers. If you’re buying a new construction home that is already underway, ask the onsite sales agent about any options you can still select.
- Let us build it! The construction process begins with excavating the site, followed by pouring the foundation and framing the home. We give our customers weekly updates (more frequently when there’s more to report). We know you’re eager to see every bit of progress and we want you to be involved in the building process.
- Close on the sale. The closing happens when your home is completed and has a certificate of occupancy. Prior to the closing, you’ll do a walk-through of your new home to inspect every detail. We’ll give you a thorough introduction to every aspect, including how to use the systems, including the smart home automation system.
Did we miss anything you need to know? Check out our answers to frequently asked questions about buying a new construction home
No matter what you decide, you should have a professional who understands both homebuying and homebuilding. If you want to use a Realtor, ask about their experience with helping clients buy a new construction home. Of course, the onsite sales agent is always available to provide help. We love showing Realtors and homebuyers all the benefits of buying a new construction home.
Remember, it’s still a great time to buy a new construction home in 2022! Interest rates are still low. Yes, they’re higher than a year ago, but that simply means we’re getting back to normal.
Real estate agents work hard to help you make the right decision. Whether you decide to bring a Realtor to meet with the builder or rely on the onsite Realtor to fill that role, New Home Inc. wants to be your builder of choice for new homes in Raleigh and the Raleigh suburbs. We’ve built our company and “Future-Proof” homes based on the needs of the homebuyer today. We welcome the chance to show you the many innovations we’ve made. You’ll discover how much more you can afford to have in a brand new home!New Home Inc. is growing and building communities of new construction homes for sale in Raleigh and the surrounding areas. While you’re thinking about taking the all-important step of choosing a builder, let’s talk!