The Biggest Trick in the New Home Business
By Andrew Hill @ www.austinhomelistings.com
So you’ve decided to a buy a home. Not only that, you want to buy a new home. Freshly constructed, never been lived in beautiful new home in a new subdivision. That’s fantastic. There are plenty of advantages that come with buying a new home. However, we all know that buying new can be a bit more expensive than resale. And while this may seem to be a major detriment, there are many positive aspects that go along with buying new. One of the most commonly forgotten benefits of this transaction is the prepaid service of your own Realtor. If you’ve never heard of this before, then you’re not alone. But the truth is, for nearly every new home purchase it is the builder’s responsibility to pay the commission of both his agent and the buyer’s agent.
This helpful information alone should motivate you to make sure you always work with your own agent when buying new. After all, you can’t beat a professional and having your own agent will make the entire process much smoother and more enjoyable. And don’t forget, this is most likely the biggest investment you will ever make. Don’t you think you should consult an expert?
That being said, there are a number of people that are actually aware that the builder is responsible for paying their agent’s commission. However, many of these people try to save themselves money by going the opposite route. These people enter the transaction without their own representation and expect sympathy or gratitude on the part of the builder. The assumption is this: the builder was planning on paying my agent a few thousand dollars commission, so why not lower the price of the home since there is no longer a second agent to pay? While this is a nice dream, it is sadly not a reality. Remember, the builder is concerned with his own well-being. He builds homes for a living and wants to get the best price for every home. It’s nothing personal, but he isn’t looking out for you.
Likewise, the listing agent is not your friend. He/she has been hired with the sole purpose of getting the best deal possible for the builder. And while this agent is still technically a professional, they are only there to make the deal happen, not to look out for you. In fact, in many areas, listing agents are forbidden by law to give buyers a better deal simply because they lack representation.
As you can see, there’s no real benefit to buying on your own. The builder is either going to use that commission money to pay for your help or to fatten his own paycheck. So when you’re ready to buy new construction, make the smart choice and contact the Holm Group for all of your real estate needs.