Are you looking for a new home? If so, then at some point you will be making an offer, if not multiple offers. To get a good deal, a home buyer should identify more than one property that is suitable for purchase. The purpose of this is to leverage your negotiations with a home builder (read more); you do not want to be tied to one particular new home should the negotiations break down.

While shopping around, some onsite agents, also know as the builders’ sales agents, are very quick to reference other home buyers who have interest in the new home that you like, so be wary of this; it could be the truth in your situation, or it could be a tactic used to create urgency for making an offer. Notwithstanding, be alert and take it with a grain of salt.

Once you begin to focus on making an offer on a particular new home, you need to arm yourself with as much credible information as possible. If you have engaged an experienced buyer agent with an emphasis on new construction, then this person, if he/she is a member of the local Listing Service, has the ability to research exclusive sales data, if applicable, to see how, and if, the home builder is negotiating with other home buyers. If you don’t have such a professional, you will be at a disadvantage in this area; however, at the very minimum, you should consider hiring a buyer’s real estate attorney to assist with drafting your offer. Unless the attorney is a real estate broker too, then this person won’t have access to the same detailed data; but, he should have experience making offers on new homes.

As the negotiations commence, take your time. I cannot stress this enough. I have negotiated, as a buyer agent on behalf of a buyer-client, for as long a month or so. While this may be the extreme case, it still alludes to the importance of using time as your leverage. If the time limit for your offer expires, it isn’t the end of matters, unless you are in a bidding war. After an expiration, you may consider making an offer on the other new home that you have identified.

Whatever path your negotiations take, be patient during the process to get a feel for the home builder’s position; the first counter-offer may, or may not, be the best deal. Patience is indeed a virtue.

Stephen Graham - Realty Professionals, Inc (770) 491.1494 - Buyer Agent Testimonials

Disclaimer: This is informational new homes reading, not legal advice; it is intended to be the author's opinion only. This information may or may not apply to your situation; therefore, you may not print out, use, copy or redistribute this real estate content without prior expressed consent from the author. All content is for your personal viewing only. All Rights Reserved