Search NOW for New Construction Homes

New Construction

Should I use a Realtor if I'm Buying from a Home Builder?

“If I’m buying a new house directly from the builder, why do I need a Realtor?” Well, according to Houston Realtor® Patrick Welsh, an unrepresented buyer can be at a real disadvantage by deciding not to use an experienced real estate professional.

“As a Realtor, many people think I’m just trying to salvage a commission by recommending that a buyer retain my services for a purchase from a builder. All too often buyers think that they don’t need a Realtor to represent them since they can find the builder all by themselves, drive right up, negotiate the deal and move in!

My job is to represent the buyer’s best interest and help them through the transaction with the least degree of hassle and frustration. And our goal is to get the buyer the most value for the least money. I’ve heard many a buyer say they don’t need an agent before a transaction, but I’ve never had a represented buyer say to me at the conclusion that they were sorry they had me at their side representing them. The least important part of our job is driving the buyers around to look at houses (although it is important); our real value comes later in negotiating and working through the process on behalf of our client.

Representation. The builder representative at the model home may look and sound like a real estate agent there to help you. However, the builder rep is a salesperson for the builder, and as such represents the builder’s best interest. I love the analogy I heard recently that when a buyer deals directly with that rep (saving the builder the buyer’s agent commission) it’s like the buyer paying for the builder to not represent them. Real estate agents and Realtors are licensed professionals bound by law and professional ethics while builder reps are not constrained by those requirements.

Negotiation. Sure the buyer can negotiate effectively. Buyer negotiations can be effective, as long as the buyer knows what incentives are typical and customary, how to compare alternative financing, who pays for what (title costs, appraisals, inspections, additional warranties, surveys, closing costs, etc.), what upgrades cost and how to apply builder concessions, and many other issues. Realtors make it look so easy by asking questions that the buyer doesn’t know to ask.

Inspections. This is a big one. As a buyer’s Realtor, I insist that my client always get a home inspection. The number and severity of new home defects often rival resale home problems. The builder rep is not likely to make any such demands of the buyer. This issue alone justifies our involvement in the transaction. Buyers will often think that the new home warranty will take care of all their problems. That is simply not the case. Here is a real world example. On new, high end property, my inspector flagged a number of items including the incorrect installation of the air conditioner systems located in the attic. The builder argued that everything was in order. After our insistence of a problem the HVAC contractor admitted the error and repaired the problem. Turns out the mounting brackets used to dampen the vibration were installed upside down, thereby focusing the vibration to the structure rather than reducing the vibration. That family might have lived in the home a lifetime with unnecessary noise and vibration were it not for the inspector.

Buyer Agent Cost. That typical 3 percent commission comes from somewhere right? Nobody charges the buyer the commission; the seller pays it. Reputable and honest builders absorb this cost as part of their expense base. There are occasional builders that skew prices to compensate, but this is considered to be both unfair and unethical. In fact today, many builders are paying bonuses and incentives to agents above the standard commission structure. As Realtors we are very often sought after components of the real estate transaction.

The Sequence. This can become a bit tricky. Builders can become resistant to buyers who show up at the builder site and let them think they are unrepresented by a Realtor. The best process is to either shop with your Realtor or at least immediately inform the buyer’s rep that you are working with an agent and that you are represented. Maybe offer the agent’s card or at least name and company as you ‘register’ with the builder. This insures that the agent is ‘in the loop’. It is strongly recommended that you do not do the paperwork or contract without your agent being present to review and advise.

My comments here are not meant to encompass all of the benefits of having a Realtor represent a buyer, nor all the buyer issues that could arise. This is just a brief overview, and there is much more to it. However, I hope this serves as a short course for buyers to give them cause to consider what is in their best interest.”

Source: realtor.com

Phone(972) 333-0301

Email[email protected]

Address Lisa Biddle
Lisa Biddle Realty Group - KW86
218 West 4th Street
Anna, TX 75409

New Construction May 23, 2019
3662
Listed
103
Avg. DOM
$176.69
Avg. $ / Sq.Ft.
$419,993
Med. List Price
3662 Properties Found. Showing 1-12
Sort By:
4706 Virginia Avenue #E
Dallas, TX 75204
Open House
4706 Virginia Avenue #E Dallas, TX 75204
1 of 36
$375,000
Subdivision: Scruggs
BEDS
2
BATHS
2
SQ.FT.
1,596
BUILT
2018
ON SITE
2Days
MLS
14095901
Ten new construction condo homes in a gated community around the block from Jimmy's Food Store and the brand new Pickletopia and Khao Noodle Shop. Each feature 2 bedrooms, 2 and half bath, hardwoods...
1817 Campground
Aubrey, TX 76227
1817 Campground Aubrey, TX 76227
1 of 26
$413,303
Subdivision: ArrowBrooke 60s
BEDS
5
BATHS
4
SQ.FT.
3,186
BUILT
2019
ON SITE
2Days
MLS
14096418
MLS# 14096418 - Built by Highland Homes - June completion! ~ Wood floors through entry's, first floor halls, formal dining, family and kitchen! Kitchen has white cabinets, granite countertops with...
1711 Sayle
Greenville, TX 75401
1711 Sayle Greenville, TX 75401
 
$139,888
Subdivision: Orig Town of Greenville
BEDS
3
BATHS
2
SQ.FT.
1,323
BUILT
2019
ON SITE
2Days
MLS
14096431
Brand New Construction. Granite counter tops, custom built cabinets, tile and carpet flooring. MUST SEE!!-Plans are subject to change throughout construction.
1722 Sayle
Greenville, TX 75401
1722 Sayle Greenville, TX 75401
 
$139,888
Subdivision: SAYLE DR ADDITION
BEDS
3
BATHS
2
SQ.FT.
1,323
BUILT
2019
ON SITE
2Days
MLS
14096434
Brand New Construction. Granite counter tops, custom built cabinets, tile and carpet flooring. MUST SEE!!-Plans are subject to change throughout construction.
211 Spruce Valley Drive
Justin, TX 76247
211 Spruce Valley Drive Justin, TX 76247
1 of 3
$385,900
Subdivision: Timberbrook
BEDS
4
BATHS
3
SQ.FT.
3,242
BUILT
2019
ON SITE
2Days
MLS
14095092
READY EARLY JUNE - Sandlin's Chessel plan with 4beds, 3.5 baths, 2 Dining, Game Room, Media Room, and rear covered patio is an impressive and spacious plan. You're greeted by a rotunda entry that...
1944 Transcendence Drive
St. Paul, TX 75098
1944 Transcendence Drive St. Paul, TX 75098
1 of 26
$422,745
Subdivision: Inspiration
BEDS
4
BATHS
3
SQ.FT.
3,754
BUILT
2019
ON SITE
2Days
MLS
14095446
NEW Beautiful Bloomfield Home Ready FALL 2019! This 4 bed, 3.5 bath home features a gourmet Kitchen with ss appliances, painted cabinets, glass doors above refrigerator, granite counters, island and...
1516 Summit View Lane
Aubrey, TX 76227
1516 Summit View Lane Aubrey, TX 76227
 
$304,750
Subdivision: Union Park
BEDS
4
BATHS
3
SQ.FT.
2,433
BUILT
2019
ON SITE
2Days
MLS
14096487
Wonderful two story home with four bedrooms 3 full baths large game room and family area open kitchen PLEASE SEE SHOWING INSTRUCTIONS... Plan 2956
2713 Maverick Way
Celina, TX 75009
2713 Maverick Way Celina, TX 75009
1 of 7
$527,990
Subdivision: Mustang Lakes
BEDS
5
BATHS
4
SQ.FT.
3,895
BUILT
2019
ON SITE
2Days
MLS
14096489
MLS# 14096489 - Built by MHI Coventry Homes - CONST. COMPLETED Aug 31 ~ Hurry to grab this one at a great discounted price! Beautiful Stone & Brick elevation. Large 74 ft home site, 3895 sq ft., 5...
2045 Miramar Drive
Little Elm, TX 75068
2045 Miramar Drive Little Elm, TX 75068
1 of 11
$331,512
Subdivision: Valencia on the Lake
BEDS
4
BATHS
3
SQ.FT.
2,321
BUILT
2019
ON SITE
2Days
MLS
14096515
Beazer Homes Fairfield floor plan in the master planned community of Valencia on the Lake. This beautiful two-story home features 4 beds, 3 baths, breakfast nook, fireplace, covered porch & patio and...
7132 Casa Loma Avenue
Dallas, TX 75214
Open House
7132 Casa Loma Avenue Dallas, TX 75214
1 of 36
$1,149,000
Subdivision: Coronado Hills
BEDS
4
BATHS
3
SQ.FT.
4,150
BUILT
2018
ON SITE
2Days
MLS
14096527
New, modern farmhouse in Lakewood elementary, with a phenomenal layout, that invites your guests to relax and enjoy all the amenities this home has to offer. Sellers spared no expense retaining...
909 Boardwalk Way
Argyle, TX 76226
909 Boardwalk Way Argyle, TX 76226
1 of 25
$311,324
Subdivision: Harvest Townside
BEDS
3
BATHS
3
SQ.FT.
2,272
BUILT
2019
ON SITE
2Days
MLS
14096539
Highest level of finish-out! White cabinets, grey wood-look Tile throughout open living, granite, 8’ ft. front door, 10 ft. ceilings, stainless built-in oven & gas cook top, 42 in uppers cabinets,...
812 Parkside
Argyle, TX 76226
812 Parkside Argyle, TX 76226
1 of 36
$295,083
Subdivision: Harvest Townside
BEDS
3
BATHS
2
SQ.FT.
1,894
BUILT
2019
ON SITE
2Days
MLS
14096552
Highest level of finish out for D R Horton, Tile throughout open living, granite, 8’ ft. front door, tall ceilings, stainless built-in oven & gas cook top, 42 in uppers cabinets, covered patio,...
Information is deemed reliable, but is not guaranteed accurate by the MLS or NTREIS. The information being provided is for the consumer's personal, non-commercial use, and may not be reproduced, redistributed or used for any purpose other than to identify prospective properties consumers may be interested in purchasing. Real estate listings held by brokerage firms other than Lisa Biddle Realty Group - KW86 are marked with the NTREIS IDX logo and information about them includes the name of the listing brokerage.

NTREIS data last updated 5/22/2019.