How to Save Big When Buying New

By Andrew Hill @

How can I save myself time, money and stress when buying a new home?  It seems like a dead end question.  After all, buying real estate demands your time, money and energy doesn’t it?  Yes, of course anything worth having takes time and energy, but that doesn’t mean you have to exhaust yourself when buying your home.  All it takes is answering this one simple question and the entire process of buying new construction can be much more enjoyable.

Have you ever thought about who pays an agent’s commission?  Chances are you might not have ever considered it. After all,  it seems like common sense that you can either pay for your agent or opt to go it alone and save yourself a small commission fee,  right?  Wrong.  In fact, when buying a new home, in nearly every transaction the builder is responsible for paying your agent’s commission!  What does this mean to you?  For starters, it should encourage you to hire your own Realtor!  No matter how much of an expert you may be on real estate, nothing beats having professional service on your side, especially when it’s already paid for.  Having your own Realtor will aid you in finding the right home, working through negotiations,  signing those final papers, and even ensuring that your home has had a quality home inspection completed.

While many people can easily recognize the benefits of hiring a Realtor when buying new, there’s a second train of thought that also derails buyers’ attempts to get the best deal possible.  This thought stems from the belief that if one enters into a transaction without hiring their own agent, then the builder will lower the price of the home, because he has one less commission to pay.  It only seems fair doesn’t it?  Perhaps, but this logic neglects one thing.  Real estate is a business and the builder is trying to earn his fair share. Your builder can be an upstanding citizen and a great person off the worksite, but when you’re talking real estate, you’re on opposite ends of the transaction, and there’s nothing you can do about that.  Furthermore, the builder’s agent will not, and oftentimes by law cannot, give you a better price simply because you lack representation.  This agent is working for the builder alone.  That means if you meet with the builder’s agent as your go between,  you’ll have no professional representation to defend your interests.

All this is to say nothing bad about the reputations of builders and listing agents.  It’s simply business.  But that doesn’t mean you have to suffer, either. Because your agent’s commission has already been paid for, there’s nothing stopping you from going out and hiring the best Realtor for you. Just be sure to bring your agent with you to meet with the builder from day one; otherwise the builder can force you to complete the transaction without your own representation.  Don’t waste another minute searching for the perfect home without your own Realtor!  Before you step foot on a lot or search the internet for new homes, be sure to contact Liz Papenbrock for all of your real estate needs!


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