Lisa and Jim's Northern Nevada Real Estate Blog: Myth or Fact? A better deal on New Construction without an agent.

Myth or Fact? A better deal on New Construction without an agent.

Great Post ... Soooo True!  People think they are smarter than the average agent!  The "Best" service they can give them selves is to enlist the representation of a good agent and stick with it!  This is an outstanding Blog!  Thank You!

Our experience over the years and still continues. Buyers are convinced that if they visit a community and register with the sales rep and purposely tell them, No I don't have an agent, that they will get a better deal.

MYTH, there are NO better deals because you do not have an agent!

I will tell you straight up, it makes NO DIFFERENCE. the base prices are set with commissions and they will not reduce their price. More people lose in this deal at the end. 

The question buyers should be asking the sales rep is, If I register, will you put in writing that I don't have an agent,  and offer a 3% reduction in price, or offer 3% more in upgrades at no cost. 

I actually would love to see that happen so we can once and for all prove this MYTH. 

I can't tell you how frustrating this is in our market. So many lost commissions to great agents because of a simple registration form. Builders are making out on this theory. 

Buyers please talk to an agent about representation before going in to a community. Remember that rep is there to make a sale for the builder and they are working for the builder. Who is working for you in your best interest? Yes, it appears on the outside it's not a big deal. But the reality is, are you properly being educated about the market resale. Have you weighed out your options between new construction and resale? 

What if an agent could get you relatively the same home for $50,000 less. What difference would that make on your decision? The builder rep is not going to educate on the market, they will do anything to get you into a contract with their community. 

Buyers, it is a MYTH that you receive a better deal on New Construction without an agent!

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Beverly Herdman Wine Trail Homes,LLC  Keller Williams Realty
Tel: 540-825-7441 | Mobile: 703-969-4280
beverly@winetrailhomes.com | www.winetrailhomes.com

Comment balloon 4 commentsLisa Wetzel • January 19 2013 06:37AM

Comments

Lisa:  Although most builders are not like this, there are one or two in my Fort Worth marketing area that have posted their policy about requiring their agent to accompany them on their first visit.  They ALSO have a policy that if their own on-site rep is caught putting an agent on the sale who did not come in with the buyers on their first visit... their policy is that they will FIRE that on-site agent on the spot.  I have seen them do it.

Posted by Karen Anne Stone, Fort Worth Real Estate (New Home Hunters of Fort Worth and Tarrant County) almost 7 years ago

I was wondering about this very subject.  I had family members that went right over the new construction and took the agent that they offered.  I believe that the new constructions look more to the buyer's benefit because they will tell them they are giving discounts, etc if they purchase from them and their agent.

Posted by Rosemary Brooks, The Mother & Daughter Realty Team (BMC Real Estate - 209-910-3706) almost 7 years ago
Most of our builders prefer the buyer to have an agent, and it's very true: you, the buyer, are not getting a discount. You *may* get an incentive the builder can give you if you use their in-house/preferred lender.
Posted by Carol Zingone, Global Realtor in Jax Beach, FL - ABR, CRS, CIPS (Berkshire Hathaway Home Services Florida Network Realty) almost 7 years ago

This brings up a very good point. I've known some companies that simply won't work with you with out an agent. A new buyer doesn't really know what they're doing, yet they still think they know best!

Posted by Bud & Beth McKinney, Cary/Raleigh/Apex NC - The Team That Cares, RE/MAX United (RE/MAX UNITED) almost 7 years ago

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