Utilize your rights: having full buyer’s representation when buying a new home.
New Homes in Austin Texas – Common Questions and Answers
Q: Why should I use an agent when buying a new home, the builder has people on staff to help me?
A: By Texas law you have a right to buyer’s representation, that includes the purchase of a new home. Yes the builder has staff members that can help you but they work for the builder, not you. At this point the builder has full representation and you don’t.
Q: Is the cost of buyer’s representation absorbed in the cost of my home?
A: Builders normally have a fund that they pay buyer’s agents out of. It’s part of their annual profit and loss statement. If they do not use monies from this fund to pay your agent then those monies are being used for other things, possibly marketing etc. You should never be penalized for having full representation.
Q: The builder says I will receive a discount if I opt out of buyer’s representation, should I do this?
A: NO, in fact you should RUN out of there with your wallet in tact! This has shady written all over it. What are they hiding that they don’t want you to have full agency representation?
Q: The new homes are often not in the MLS – so how is an agent going to find homes that are being built?
A: Builders market heavily to REALTORS. On top of having a full book guide to the new homes AND builder incentives we are invited to lunches and parties showcasing these new areas, homes and incentives. With a combination of networking and literature that is specifically targeted to REALTORS we have a full array of options and information available to our clients. The truth of the matter is most builders are very REALTOR friendly.
Q: What if we decide to build on a lot, should we still get a REALTOR?
A: Even if you build on a lot, there are still contracts involved, lenders and due dates. Foregoing full representation means you may be foregoing having someone in your corner to make sure all t’s are crossed and your needs are being met.
If there are other questions that you have that I have not provided an answer to here, please contact me so we can discuss your rights when buying a new home.