How to Avoid Regrets When Buying New Construction in St. Louis
The 5 words you don’t want to hear yourself saying … “I Wish I Would Have”.
All of us have a file in our life called the “Regret File”. No one is immune from having regrets, but the question is how can we minimize our regrets and maximize our good decisions.
We’ve all probably made some mistake purchases in our life (I have) but making a mistake on a $50 item isn’t quite the same as making a mistake on something as huge as a home.
A Very Typical New Construction Buying Scenario
Let’s say Bob and Sally are our couple who have decided that new construction is the only way they are going to get exactly what they want in a new home purchase. They are drawn into the market by historic low interest rates and media reporting that builders are desperate and willing to make a deal. Next they find themselves driving around the development finding the floor plan in a display home that is exactly what they want. The builder’s salesperson sees their reaction and listens to their comments about how much they love the place, how it’s such a good location, how the colors match up, etc. and then moves in to assist them. At this point the builder’s salesperson first question is usually, “Are you working with a particular agent?” (We’ll come back to this question later)
Before they know it, Bob and Sally are now pricing out a floor plan, options, and putting a deposit on an available lot.
They get in their car still coming down from the excitement of the hunt … and like a morning fog, nagging thoughts start to creep into their mind after the adrenalin wears off.
Did we pick the best lot for future resale value?
Is the new home overpriced for the area and/or compared to other new construction sites?
Did we choose the right options for now, or what could have been done later at a more economical price?
What if there is a problem down the road (there almost always is) will the salesperson fight for us?
Perhaps the biggest question that could come back to haunt them:
Were We Talking to the Right Person?
The fundamental truth in this matter is: The Salesperson at the new construction site works for the builder.
The most critical question to you, the potential home buyer is: Who Is Working for You?
The reason the salesperson asks if you are working with an agent is they want to know if someone is representing you. If you do not have someone representing you (your own Exclusive Buyer Agent) you are about to become the salesperson’s client, and by default, you will have no one representing your interests only. Is that what you want? Probably not!
New Construction Tips
Don’t delve into the labyrinth of new construction without representation.
Find out more about the markets you are interested in from your Exclusive Buyer Agent.
Explore with your Exclusive Buyer Agent options where you can negotiate with the builder.
Remember: It does not cost you anything to use an Exclusive Buyers Agent. You will not save money by not using an Exclusive Buyers Agent … you will probably end up spending more.
Call Finding Homes for You at 636-532-4200 to find out how you can be represented
BTW, someone recently called our office who found themselves in this buying scenario and wanted to know if we could help them. Unfortunately, the answer was no … it was too late! Like it or not, they had already become the builder’s client with no exclusive representation!
Don’t let “I Wish I Would Have” enter into your home buying vocabulary! Protect your interests and buy smart!
- How A Real Estate Agent Decided to Stop Working for the Seller and Only Work for the Buyer
- St Louis First-Time Buyer Expectations Vs Real Estate Reality (media.findinghomesforyou.com)