1. Hire a real estate agent
Oftentimes, buyers don’t feel a real estate agent is necessary when building a new home. After all, there’s a sales agent on-site to assist you with your questions, right? Wrong.
“Many people figure that they do not need the help of a Realtor,” says Ali Johnson, a Florida-licensed real estate agent who specializes in new construction and gated communities in Venice, FL.
“They feel they can handle it themselves, and that they have a sales
representative working for them in the new community that takes care of
and explains everything, including the paperwork. That person works for
the seller, though. They represent the developer’s interests.”
A real estate agent will work on your behalf — and because the
builder pays their commission, it costs you nothing to have someone
represent you during the new-construction process.
2. Do your research
The same way you may research a new car is exactly how you should
look into a builder. “Make sure they have a good standing with your
state’s Construction Contractor’s Board, and that there are no pending
complaints or judgments against him or her,” advises Patty Brockman, a licensed real estate broker at Windermere Stellar Real Estate in Portland, OR.
“Ask questions about whether they use independent subcontractors, and
verify their licenses and bonds as well. Always know the amount and kind
of insurance they carry, as well as the amount of their bond.”
3. Read the fine print
Many builders use purchase contracts that are much different from
state-issued real estate agent documents. “Be sure to read these
contracts carefully and have an attorney and your Realtor review them
before signing anything,” says Brockman. “Builders’ contracts pretty
much only protect the building company, not the buyer, so make sure your
Realtor writes addendums that keep you protected during each phase of
the purchase.” Also, make sure you review all of the warranties so you
know what is covered, and what is not.
4. Ask what’s included
“A lot of buyers have a ‘what you see is what you get’ attitude when
it comes to building a new home and looking at the model home,” explains
Kristin Magnani, an associate broker with Rutenberg, a real estate
brokerage firm in New York City.
Model homes are decked out with all the bells and whistles, explains
Magnani, including high-end light fixtures, appliances, trim work,
architectural detailing, and more. Avoid assumption and ask questions
about every add-on or, better yet, ask the sales agent for a complete
list of the extras in the model unit such as extra can lights, heights
of doors, tinted windows (found mainly in high-rise apartments), and
more.
“Does the house come with appliances? Window coverings? AC? Landscaping in the front and
backyards? Automatic garage door openers? Sprinkler system?” says
Brockman. “Always list in detail anything that you expect, if it is not
expressly disclosed in the contract.”
5. Get inspected
Home inspections
aren’t just for previously built homes. In fact, the majority of real
estate agents will recommend that you have the home inspected not only
after it’s completed but also before drywall is installed.
“As the housing market has heated up, the pace of construction has
also increased,” explains Keith Thompson. “Overworked subcontractors and
city or county inspectors are human and can and do make mistakes when
they have too much on their plate.” Avoid things such as uneven walls or
electrical or cable outlets in unfortunate locations (e.g., 4 feet to
the left of where your TV is supposed to hang) by having pre-drywall inspections.
6. Do a walk-through
After an inspection, it’s critical to do a walk-through with the
builder. It’s during this time that you can point out major cosmetic
issues (such as nail pops or chips in cabinetry) or any other major
issues, such as missing landscaping that was included in your contract.
“Never close on a new-construction house without doing a final
walk-through to ensure that all of the punch-list items have been
completed to your satisfaction,” recommends Brockman. “The last thing
you want after you move in is a bunch of contractors doing touch-ups and
finish work while you are trying to enjoy your new house.” Plus, if you
don’t address it before closing, you may have a hard time getting the
builder to fix anything once the home is officially yours.To know more visit our site http://allindiayellowpage.com.