Why You Need a Realtor When Buying a New Construction Home

Buying a new construction home in the Greater Houston area can be an AWESOME option for 2024 home buyers with many builders great buyer incentives that can reduce/eliminate closing costs AND buy down your interest rate. The prospect of moving into a brand-new house, customized to your preferences and untouched by previous owners, is indeed appealing. However, navigating the complexities of such a significant purchase requires expertise and advocacy that only a licensed realtor can provide. Here’s why enlisting a realtor is a crucial step in protecting your interests as a buyer.

The Model Home Consultant: Whose Side Are They On?

When you visit a model home, you’ll be greeted by a New Home Consultant. It’s important to understand that this consultant is employed by the builder. Their primary objective? To secure the best possible deal for their employer, not for you. While they may be friendly and informative, they have no legal obligation to protect your interests during the transaction. In contrast, a realtor is legally bound by an agreement to represent your best interests, ensuring that you are not only protected but also getting the fairest deal possible.

Backing From A Large Brokerage

Of course, no buyer enters into a contract with the plans of encountering conflicts with their home builder. However, conflict is impossible to avoid 100% of the time, and because of this it is crucial to consider your position for when these problems arise.  Without representation, you might find yourself at a disadvantage, with the builder having little incentive to resolve the issue in your favor. However, builders place an emphasis on their relationships with agents and brokers because they are a vital source of ongoing home buyer referrals. While conflict with an individual buyer may result in the loss of one future home buyer; conflict with a represented buyer may result in exponential business losses due to a damaged reputation amongst the professionals who bring homebuyers to a builder. I have personally seen countless situations arise where builders will resolve issues solely in order to avoid any negative press within the brokerages. Having a realtor means you have the backing of their entire brokerage, which can be a powerful ally in ensuring any disputes are resolved swiftly and fairly.

Negotiating Buyer Incentives: More Than Meets the Eye

Although many buyers will successfully negotiate with builders on their own resulting in enticing buyer incentives, without the insight of past recent transactions and the terms accepted in these transactions, individual buyers often leave money on the table in this stage of the purchase process. Imagine negotiating with your builder and successfully landing an accepted offer at 5% under asking price on your new home-- That is a great accomplishment and worth celebrating! However, upon meeting your new neighbors after closing, you come to find out all other homes were sold for 10-15% under their original price and you actually paid a premium compared to most. While this scenario is not always the case, I would always recommend protecting yourself from this by hiring your own agent before ever stepping into the builder model home. As a realtor with access to comprehensive data and personal history with builder past sales and incentives, my buyers can be confident they are getting the maximum incentives offered. This knowledge can translate into thousands of dollars in savings or additional features for your new home. 

Beyond the negotiating aspect of buyer representation, it is simply a wise decision to transact with a real estate professional that can provide expert guidance throughout the process to ensure your new construction home is up to standards and the builders are honest and with transparent throughout the transaction.

In conclusion, while the allure of a new construction home is undeniable, so is the need for buyer protection and guidance. A realtor is not just a facilitator of the transaction; they are your advocate, negotiator, and protector. In the dynamic landscape of Houston’s real estate market, having a realtor by your side is not just an advantage — it’s a necessity.

If you are looking to purchase a new construction home in the Greater Houston area, Hi! I am Kamryn Van Osdell- A Compass Realtor dedicated to helping my clients buy new construction homes. I am committed to adding value for at each and every step of the process AND long after clients close on their home. I am happy to help any buyers with their purchase, reach out at kamryn.vanosdell@compass.com or text/call (817) 901-3781 to start the process! For more tips and resources for all things home buying and selling, visit my blog and follow my Real Estate Instagram @sellinghoustonsuburbs for more.

A Few More Topics on My Blog: 

- 5 THINGS I'D NEVER DO WHEN BUYING A NEW CONSTRUCTION HOMES

- A COMPILED LIST OF CURRENT BUYER INCENTIVES FROM BUILDERS- Organized by Builder OR By City!

- TOP 5 NEIGHBORHOODS FOR MANY OF HOUSTON SUBURBS

- RELOCATING TO THE HOUSTON AREA - "WHICH CITY IS BEST FOR ME?" QUIZ