When it comes to homeownership, there are few things as exciting as the opportunity to own a brand-new home that you have had the opportunity to help design. However, with all good things, it should come as no surprise that there is a process that comes along with new construction homes. Whether you plan to search for an inventory new construction home, or you want to build one from the ground up, learn what you can do to prepare.
1. Set Aside Extra Money
Set aside funds for your down payment, your closing costs, and your upgrade deposit. With new construction, you generally have the option to add custom features to the floor plan, such as an additional room, upgraded flooring, or a smart home system.
Builders generally require you to put down a deposit for these upgrades at the time of the contract. The deposit can range from 1% to 100% of the total upgrade cost. So, if you are planning to add massive upgrades, be prepared to hand over a check for the amount.
2. Find a Well-Versed Realtor
Partner with a realtor who is well-versed in the area of new construction. A great realtor can help you choose which builders will best be able to meet your requests for a new construction home.
An experienced realtor can even help lighten the load with the previously mentioned upgrade deposit. For example, a skilled realtor might be able to negotiate a lower deposit amount, such as 25% instead of 50%. A realtor may also be able to get the builder to offer you a design credit, such as offering you $10,000 worth of upgrades at no additional cost to you.
3. Prepare for a Home Inspection
A brand-new home is wonderful, but do not assume that it is perfect. In the world of home construction, perfection does not exist. In a new build, there could be issues as minor as poorly installed carpeting or major plumbing or sewage problems. It is essential to schedule a home inspection even for a new construction home to ensure that everything has been completed up to standard.
Home inspections are generally a cost incurred by the buyer, so keep in mind that for a thorough inspection, you probably need to be ready to spend at least a few hundred dollars.
Once you finally move into your new home, all your efforts will have been well worth it. However, to make sure you get to the finish line, keep these tips in mind. For more information about new construction homes for sale, contact a local real estate office.Share