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Buyers: Beware!

After spending over 10 years as a New Home Sales Manager for custom new home and tract new home builders, I can assure you that purchasing a builder’s new home does not usually turn out to be a walk in the park for most buyers.  Although there are cases where things do go smoothly, my experience has been that when a knowledgeable Buyer's Broker is not involved, there is a high probably that a buyer will close at least somewhat dissatisfied.

The primary reasons for this are:

• the buyer’s expectation levels for the new home are set incorrectly,

• builders, like resale sellers, are more interested in maximizing their profit than protecting the buyer’s interest,

• buyer and seller negotiate directly  — and the buyer is nearly always at a disadvantage (these people are pros),

• the buyer is unaware of  how the new home buying process really works,

• the buyer is unaware of the common pitfalls and traps  that are routine in the home builder business,

• the buyer does not have  the background in real estate contract law to always interpret new home builder contracts correctly.

When added together, all of the above issues can weigh in heavily against a new home buyer experiencing a hassle-free process.

Since nearly all new home builders build in a “co-op” real estate marketing fee into their property prices, there’s no need to risk a nightmare experience—or worse,  buying a lemon.  Bottom line: get a Buyer’s Broker,  save $$ and rest easy. It's Free.

Still think you can do better on your own without some expert watching out for you? So did these trusting people. You may want to check out what they have to say at this complaint website.

Benefits of Using a Buyer Broker & Certified New Home Specialist™ (CNHS)

• There are no additional costs involved for you to have an Exclusive  Buyer's Broker & Certified New Home Specialist represent you when working with a builder. !--- google_ad_section_start(weight=ignore) ---> Since the builder cannot give you any cash back (because you are not licensed as a real estate agent) the marketing fees that the builder puts into his budget for buyer brokers will be lost if you do not take advantage of it. Almost every builder builds this fee into his marketing budget to pay for real estate agents to help protect the buyer's interest when dealing with the builder. Why go it alone when you can have an advocate watching out for you?

• Knowledge and history of various home developments help match the buyer with the right community. 

• Knowledge of builders' latest pricing strategies helps buyers determine the best negotiating strategy. 

• Knowledge of other builders of equal and greater quality help buyers get the best builder property for the money. 

• Knowledge of builders' reputations regarding quality, follow- up, warranty, and financial stability, help prevent problems after the sale is closed. 

• In many cases, lower prices or other concessions are offered to buyers with buyer agents, as builders consider these agents as "multiple sources of buyers." Individual buyers buy only one home; buyer agents bring in many buyers. 

• Be sure, however, to use only Exclusive Buyer Broker's who can help buyers with both new construction and existing homes. So-called new home specialists often do not have access to or knowledge of existing homes and may have monetary relationships with new construction and/or custom builders, which can cost you thousands. 

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Typical Nightmare

AUSTIN, Tex. (Austin American-Statesman) --

Unhappy buyers of new homes testified to a Texas House subcommittee Wednesday about how they unknowingly signed sales contracts that prevent them from suing a builder for faulty construction.

Dawn Richardson of Austin says her new home must be torn down and rebuilt. "We did not know that signing a construction contract  . . . meant that we forever gave up our constitutional right to a trial by jury for any and all future disputes with our builder," she said.

New home construction contracts often have a clause saying that any disputes would be settled through binding arbitration. Public Citizen, a consumer advocacy group, published a report claiming its research shows that the costs of arbitration, which are usually shared by both parties, are often so high that it's not worth it for consumers to pursue a claim. Another problem with arbitration is that it is not open to the public, making it difficult for consumers to find out a builder's track record.

Note: Don’t risk this happening to you!  Call me before even looking. I have 10+ years of new home builder experience.   

We Have Worked For Many New Home Builders

 --- We Know the Ropes! ---

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