1) Thinking the Builder’s Agent has your Best Interests

An agent’s role is to look out for the best interests for whomever they represent. If you use the builders agent , no matter how friendly they may seem, their legal interest is for the benefit of the builder, not you. Also, there is the misconception that by using the site/builder agent that the builder will provide an incentive for the same pricing as the buyers agent commission.This simply isn’t true. Builders build into their budgets paying buyers commissions. By using the site agent you simply lose out on having a dedicated buyer’s agent dedicated to your best interests: legally & financially.

2) Not Understanding the Contract

For such a massive financial investment as a new home, contracts are not to be taken lightly. New construction contracts are riddled with fine print, & difficult to truly understand unless you have industry experience with such contracts. The builders can appear completely reasonable & friendly, but its not necessarily they who are behind the contract. Builders often have specialized attorneys that draft up their complex legal buyers agreements. Unless you have professional experience, it can be hard to know if you are being taken advantage of. 

For example, do not visit a new construction home without your buyers agent or you could “accidently” sign a binding buyers agreement with the site agent just by “signing into the open house”. This sounds ridiculous, but it happens all the time.  And then their original buyers agent cannot help them gain access to grants, competitive financing, contract negotiations, or represent their best interests in anyway.

This is why it is vital to run the contract through with your representative buyers agent. Whose sole job is to ensure you are not taken advantage of.

3) Not Asking the Builder for Non Price Incentives During Negotiations

Often builders won’t negotiate on selling price, but they will be open to negotiate on upgrades & other non price incentives during contract negotiations. This is because they need their sales prices to reflect high numbers. But, they are more likely to give a “free upgrade” or appliance to win over your satisfaction & close the sale.

Please contact us at the HomeStarGrant team to get your New Construction expert home buying representation.  Let’s schedule a consult call to address all your needs & concerns. Toll Free: 877.535.6826

We are lead by our expert Director Jeff Dickinson, Broker, ABR, ASR, CDPE, SRS, CCMS & Seattle Magazine – Best in Client Satisfaction 2005-2019.