House Choices: Resale-Existing Homes vs. New Construction

House listings are filled with all sorts of homes and a high majority of the listings do consist of resales. Existing homes are completed, have been lived in, and are often ready to move-in. A new build could still be under construction or nearly completed when it’s listed which can impact the move-in date. But what if your heart is set on a new construction home? Where do you even begin when it comes to new construction?

Builder Incentives

Each builder may offer varying incentives to entice a buyer to say “yes!” and choose a new construction home. The incentives can range from price cuts, free or reduced home warranties, rebates, or structural/materials upgrades. This could mean the difference in quartz countertops or upgrading to granite countertops. It could mean having various smart technology features added that would be considered upgrades for other homes. Other builders may offer to make the buyer’s initial mortgage payments, covering their closing costs or paying for their property taxes, insurance or HOA dues for a certain period.

How To Choose a Builder

Before you begin your home builder search do these three things:

1. Determine your financing. This allows you to get your financing in order and determine your budget. Go ahead and secure a lender’s preapproval letter. As you interview builders, each will want to know your budget.

2. Decide which type of home you want and what your needs are. It’s easy to get caught up in design ideas and lose sight of what you need. When you make a list of all of the essential things you’ll need plus some of the extras that would be nice, you’ll be farther ahead than most. Knowing what you like and don’t like helps the builder guide you towards home designs in your budget and home plans which will accommodate all you need in your home. You may be smitten with a particular design only to realize after it’s too late that is won’t work well for your family’s size and lifestyle.

3. Determine what you’re unwilling to compromise on. This could be no carpet in any of the rooms and you preferring only hardwood floors. It may be a two-story with a first-floor main bedroom is exactly what’s on your wish list. It could be the time to finally have your own art studio to accommodate your favorite hobbies. Make a list and have this list ready to share with your builder.

Now, that you know what you want and need it’s time to choose a builder. Look for these qualities:

Experience: How long have they been in business? Do they have experience building the style home you want?

Reviews: Take the time to read the reviews and comments from others who have used this builder. Any red flags? Overall, pay attention to the experience’s others have shared.

Licenses and Insurance: Choose a builder who is properly licensed and maintains current insurance. In the event of loss or accident you want to be assured there is coverage.

Warranties: Inquiry about the types of warranties the new build comes with and what is included in this coverage.

Ask to see examples of homes built by this builder: Not only do you what to see photos of the homes but, if possible, walk through some homes to observe the quality of the materials used and see things for yourself.

Reasons Why a Realtor Should Represent You on a New Build

When you partner with a realtor to represent you on a new build you get someone who is experienced and has an eagle’s eye to help you spot a great deal. The new build process and contracts are different than for existing homes. Your agent will help you ask the right questions. Your agent can help you determine which builder incentives will cover everything you want and need in your home. Your agent will guide you through getting a home inspection, even on a new construction home this is important and shouldn’t be overlooked. Flaws can still happen and a home inspection will limit any surprises later on.

Remember, your realtor is a skilled negotiator with experience in helping their clients get the best deals plus as many of their wants and needs within their budget. Don’t hesitate to reach out and we’ll get the conversation started around finding the right home for you. Choosing a new construction home can be filled with excitement as you plan the home of your dreams.

Since 2004 Sara Lyn Nguyen continues to bring a wealth of knowledge and expertise about buying and selling real estate around the Houston area to those she serves. Sara is a multi-year award winning REALTOR® and relocation specialist where her clients trust her to have up-to-date information on the real estate market. She has been one of Gary Greene’s Multi-Million Dollar Top Producers, and citywide was the #2 Top Producing agent in 2020, #3 in 2021, and #2 in 2022. When it’s time to buy, sell, invest, or relocate speak with a trusted professional knowledgeable in the homes and neighborhoods of Fort Bend/Sugar Land and the surrounding region.