New Condominium Home Construction Buyer Representation
You’re a full time business or project developer, finance or human resource director, publisher or writer, an executive assistant by week; and this weekend you have plans to become a doctor to diagnose yourself with a cure for some sort of unknown ailment! Maybe, that’s probably a little far out! Yet, as a seasoned REALTOR® professional, discovering that 66% of brand new condominium home buyers represent themselves individually in the purchases of a brand new condominium construction home is shocking! In other words, 66% of buyers walk into a new condominium community and choose to rely upon the friendly sales representative for information, data and answers to determine if the new condominium construction home is a good deal. Yet, very few new condominium home buyer’s realize nor are they made aware (until it’s to late) that the very same representative you’re confiding in, is solely compensated to protect the long term interests in representing the builder.Their fiduciary responsibility is due to the builder. Brand new condominium home buyers deserve the very same fiduciary responsibility and representation by a trusted licensed REALTOR® professional! What if a few thousand dollars were left on the table that you could of had towards your purchase? Instead, those funds went back into the builders pocket. We want to help prepare new home buyers!
Purchasing new construction condominium town homes vary from buying a resale condominium home. Our team understands the influential dynamics in builder pricing: location, real estate market conditions, land acquisition costs, size of condominium home, building materials, labor expenses, and builder impact fees. However, developments in older cities typically pay no or lower impact fees as equity of being associated in reviving residential living in primarily more dense urban core areas.
WHY DO I NEED QUALIFIED REALTOR® REPRESENTATION
It’s important to note, model home communities are staffed by agents representing the builder/developer. These agents are their to represent the seller (aka developers) best interest as oppose to the new home buyers. Unless a new condominium home buyer establishes a dedicated qualified REALTOR® professional to represent their best interest at no additional charge, buyer beware.
Home buyer’s opting for proper real estate representation by a qualified REALTOR® (WITH NEW HOME EXPERIENCE), could potentially help them avoid loosing thousands of dollars. This service is free and does not cost home buyers. Builders/new home developments allocate funding for REALTORS® to help navigate clients throughout the new condominium home building process.
Some home buyers believe that by choosing to opt out of utilizing a qualified REALTOR® to represent them in the purchase of a new home, that a negotiable credit shall be applied toward the purchase price of the home. This is unfortunately a huge misconception. What happens to that money? When a new condominium home buyer decides to represent themselves, the developer profits those funds as they’ve already budgeted the financing into the community’s marketing category.
Typically builders seldom and usually refrain from reducing purchase prices on homes. Lowering the price on one property initiates a domino effect of price reductions causing the next few homes closing complications in final appraisal results.
Although challenging, but not always impossible, an attempt to negotiate with a builder in entertaining a lower purchase prices are sometimes an option. However, a new home buyer is going to have much higher odds using a qualified competent REALTOR® professional familiar with new home developments in preparing a reasonable offer assembled with substantial data to help present your negotiations professionally. So why not have a licensed qualified REALTOR® professional on your side!
Phoenix Urban Spaces, has a team in place of experienced REALTORS® with extensive new home construction backgrounds. We know the right questions to ask to help maximize a positive new home build buying experience.
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