REALTOR for New Construction?
Do you need a REALTOR when buying new construction? Builders will probably tell you no. Agents will, of course, tell you yes.
What are the pros and cons?
Pro: Your REALTOR works for you and only you – not for the builder. The person sitting in the builder’s sales office works for, you guessed it, the builder. Oftentimes, they are not licensed real estate agents, so they aren’t held to the same code of ethics that REALTORS are – meaning they don’t have a fiduciary duty to protect you.
Pro: Your REALTOR is skilled in negotiating those little extras.
Con: Some builders won’t budge on price, no matter what, so those skills may not come into play.
Pro: Your REALTOR will encourage you to have a final home inspection when construction is complete and will walk you through the process of asking for any necessary changes or repairs prior to closing. The builder’s rep will encourage you to create a punch list of items to be done at a later date – possibly after you’ve moved in.
In the end, the choice is totally up to you. If you choose to have your own representation, be sure to have your agent go with you the first time you view model homes. Builders often won’t work with REALTORS unless they have registered their client in advance.