Buyers-A REALTOR® can help you with new construction

Many buyers mistakenly believe that either they can not use an agent when looking at new construction or that using an agent somehow costs them money. Neither of these beliefs is accurate. I met with a developer's sales representative last week and, to quote her: "you are our outside sales force". There is no cost to a buyer because developers pay commission to the agent who brings a buyer. In real estate language, that agent is the "procuring cause" of the sale. The commission paid to buyers agents is a cost of doing business for the developer. As a buyer, you will not pay less for a house just because you didn't use an agent.

The advantages to using a buyer's agent are many. Here are a few.

• The representatives at the sales center, although very personable, work for the developer, not the buyer.
• A buyer's agent owes loyalty to the buyer.
• Area agents are familiar with the development in which you are interested, as well as others that may fit your requirements.
• Agents can show you existing homes as well as new ones. In other words, we can be an "outside sales force" for a developer, but we are not restricted to any one seller.
• A buyer's agent will ask the questions you don't think about.
• A buyer's agent is used to negotiation.
• A buyer's agent can make you aware of comparable sales and other available homes.
• Professional real estate agents have other professionals in their network. A buyer's agent can recommend good real estate attorneys and inspectors, for example.
• A good agent will follow through during every phase of the transaction.

As far as timing, it is important that, as a buyer, you contact an agent to represent you before you make the first trip to the sales center. That way the agent can register you in advance and accompany you on your first visit. Often, if the agent is not there on the first visit, the developer will not allow him to represent you (not procuring cause). At that point, the developer saves the cost of paying the agent, but the savings is not passed on to you. There is and advantage to the agent in that the commission is protected whether you purchase from that developer or elsewhere, so he can represent you in any case.

In choosing an agent, look for someone who is experienced in representing buyers. The Accredited Buyer Representative (ABR) demonstrates both specialized education and experience with buyer clients. You may be asked to sign an exclusive buyer agency agreement. This agreement spells out the responsibilities of both the agent and the buyer. It protects both parties. If you are hesitant to sign, ask if there is a provision to cancel if there is incompatibility between you and the agent. The agency relationship should be built on mutual trust.