RELOCATING HOME BUYERS LEARN ABOUT NEW HOME OPTIONS

I've just finished a weekend touring with a lovely young couple from Massachusetts.  They plan to relocate to Ashburn Virginia to be close to family.  The job is set and as soon as their town home in Massachusetts is under contract, they select a new home to be built in Ashburn. 

I love to work with new home buyers.  However, they often have a lot to learn.  While they purchased their present home new, it is a town home and in a different geographical location.  Further, they purchased about 3-4 years ago at the peak of the real estate boom.  So, purchasing a new home in Ashburn, Virginia in this market is quite an experience.  While their goal before touring homes Saturday and Sunday was one price, they quickly discovered that the new home they could buy in their desired price range was not their vision of what they wanted.  Welcome to the world of new home construction.  Their goal of a home for $450,000 or less quickly changed to homes in the $500,000 range.  Fortunately, if interest rates hold out, they can qualify.  Still, that town home in Massachusetts must sell before we can lock in a home price.  Further, with a build out time of 5-8 months, depending on the builder, the risk of interest rates rising considerably is quite real.

STANDARD FEATURES VARY WITH BUILDERS.  What is not generally understood about new construction is the process by which builders market their product.  While some builders offer models with popular standard features such as a fireplace in the Family Room, Granite Counter Tops in the Kitchen, Hardwood in the Foyer, many builders offer a full complement of upgrades in their models within the base price.  However, some builders with low base prices, have a long list of upgrades that most buyers will want.  What happens then??

UP, UP and AWAY, goes the price for that new home model.  What's it going to take for your buyers to get the home they want???  What will they have to add to have a home that would offer good resale potential when they decide to sell? 

POPULAR UPGRADES IN NEW HOMES

• Kitchen: 
• Kitchen Island
• Granite Counter Tops
• Stainless Steel Appliances
• Double Door Refrigerator
• Double Wall Oven
• Built in Microwave
• 42 inch raised panel cabinetry
• Spot lights
• Hardwood or Ceramic Tile
• Downdraft Cook-top
• Double Oven

This is just the kitchen.  If the builder doesn't include these features in their kitchen, to upgrade to this "Gourmet Kitchen" would increase the cost of the home by about $15,000 to $30,000 and that's just the kitchen.  What about the Owner's Garden Bath?  What about the basement, finished or not?  The list goes on. 

Well, my buyers are back home now, waiting to sell their town home.  My fingers are crossed that they'll be able to take advantage of some of the incentives offered by builders at this time. 

BACK UP PLAN

I'll be visiting all of the builders that my buyers liked, considering the floor plans, lots available and, of course, price.   When the town home is under contract, we'll be looking at homes in inventory.  Like the one below that has been discounted about $30,000.  It's a start.  I'll be haunting the 5-6 builders my buyers liked for floor plans or specific features to stay on top of builder's inventory. 

                                    Ready for quick occupancy, this home has lovely upgrades.

Courtesy, Lenn Harley, Broker, Homefinders.com, 800-711-7988, E-Mail.