Buying And Selling New Construction Homes

Dated: 07/28/2014

Views: 721

  The best thing you can do is educate yourself on all the available new construction communities within your buyers price range and preferred location. First of course, you want to educate your buyer about different builders in the buyers target area make sure buyers know their budget, average options/upgrades usually run about 20 to 25 percent of base price, knowing your buyers criteria is very important to know how much they will need or want to spend on upgrades or options. 

  Next, working with the onsite salesperson, (and you), the buyer will proceed to pick a floor plan, also pick structural options, if it is a dirt start home, prior to writing the contract. You will also want to discuss any builder incentive programs pertaining to the home sale including the builders preferred lender. Upon execution of the contract the buyer will proceed to apply for their loan and visit the design center to start picking out there are options.

  You should have a good understanding of the plot plan, soils reports, construction work orders, construction changes or cut-off dates, and pre drywall review checklists including foundation inspections, framing stages, mechanical rough stage, plumbing rough stage, hardwood floors, interior trim and cabinets, countertops, carpet install and your final inspection including your certificate of occupancy, just to name a few. The onsite sales associate will then schedule a customer orientation walkthrough usually one to two weeks prior to closing. You will want to allow at least 2 to 3 hours for your walkthrough. The home buyers on the contract must be present or have a representative there for them. This is also the time if the homebuyer would like an outside inspection done other than with the builder it must be done prior to the builders walk through. A final walk through will be scheduled within 24 hours prior to the closing.  

  You will commonly hear the words "spec homes" when selling new home construction. These are homes built for another buyer who has defaulted and the builder has already begun building. The benefits to the new home buyer when purchasing a spec home might include a quick move in, special incentives on financing rates, reduced price, and closing cost assistance. Oftentimes the buyer can still personalize the home with interior finishes as well. Some of the downsides of purchasing a spec home for the home buyer might include paying for options they did not want, settling for a less desirable floor plan, or not being able to pick out a lot they might prefer. 
  When selling new home construction you should also have a good idea about how close out communities work, a good grasp on the property taxes, how to integrate outside inspectors, utilities, the amenities and or what is included in the HOA.  
Karen Zaczkowski sells Real Estate in the South Denver Metro Colorado area.   You can contact Karen at Karen@exitrealtycherrycreek.com or you can visit her website at denvermetrohomesnow.com or call 303-961-5246.
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Sheryll White

As a Full Time real estate agent for the past 23 years, Sheryll has helped hundreds of home owners in Colorado buy and sell their homes. Sheryll's easy going, no pressure style and her in depth knowl....

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