Q: Do I need to hire a real estate agent to represent me when I buy a new home from a builder?
A: Legally, no. However, if you don’t, you might be missing out on some tangible benefits that impact your wallet and how much you get for your money.
There are many reasons why a Sales Professional (agent) is a sound investment during the purchase process with a builder. While some of them can be quite complex, here are a few highlights:
Market Value Compared to Purchase Price
How much money needs to come out-of-pocket for your down payment? If you don’t want a nasty surprise when it comes to disparities between your agreed upon purchase price and the actual market value of the home, you’ll want an agent with access to information to help you accurately assess the true value of that brand new home.
Sales Professionals are seasoned negotiators, and often an agent can get more from a builder than you would on your own. While some of these benefits are related to purchase price, other perks may include property or home upgrades.
Your builder will likely have preferred financing partners they work with. Many of those partners pay good money for the opportunity to handle your loan. However, is it the best loan at the best rate? A Sales Professional can be both a sounding board for financing terms and a source for trusted alternatives.
While your Sales Professional isn’t an attorney, they know a great deal about the ins-and-outs of property contracts. This includes builder’s contracts, which may have provisions that put you in dicey territory should something unforeseen happen. Protect yourself by using a Sales Professional's knowledge when going over the contract.
These four reasons are a good place to start when considering working with a Sales Professional, but there are plenty more! The bottom line is: The builder will have their own system in place to maximize their profit and minimize their costs - Shouldn’t you?