We have all done it, driving around Northern Va. on a weekend afternoon and spotted the flags waiving in the air distracting us from our destination. The loved one in the seat directly next to you points and says, "Let's go take a look inside." There it is just around the corner a spanking brand new home that is so nice it is obvious no one actually lives there. As you walk into the front door the fresh scent of cookies or the aroma therapy candle puts all your other senses at ease. The sales representative is on the phone and appears very busy but kindly acknowledges your presence. They point towards the stairs and tell you to go ahead and take a look inside.
The home is the most beautifully decorated home you have seen with all the upgrades and more. Every single light is on and the shades and curtains pulled back. The soft music in the background you barely notice but it puts some energy in your step. You admire the perfect décor as you take mental notes and begin to place your own furniture in each room. The bathrooms, kitchen, and closets are perfectly organized exactly they way you imagined your own. You stroll down to the basement and find candy for the eyes and soul, the most cozy entertainment room you have ever experienced. The wet bar, pool table, exercise room, and that big screen plasma or projection TV you always wanted in your own home.
With a bit of excitement in your voice you walk back to the main level as the Sales Rep greets you with the biggest smile. They begin to tell you how busy and crazy things have been lately. The sales rep explains the special prices and incentives they are currently having that weekend and begins to ask you non threatening questions. You politely answer all the questions they ask since they have been so nice to you. This is when most buyers give away important confidential information.
You have been had, bamboozled, just plain hoodwinked.
But at least you feel good about it.
I want to start by saying the sales representative is not on your team, their salary, commission and bonuses get paid by the builder. This is the number one reason why you should always visit a model home with a knowledgeable REALTOR by your side and who you have signed a buyer's agreement with. (Plug for my expert services) The new builder will not lower the price of the home because a buyer does not have an agent. If they say they will lower the price it is an amount they will lower whether a buyer has an agent or not.
If you do or have gone into a builders model and you have registered without an agent not all is lost. Contact an agent and give them the scoop and have that agent call the sales rep to see if you can now get representation.
Negotiating with New Home Builders in Northern Va. Part 2
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Joey Remondino is a full time Realtor specializing in residential homes in Northern Virginia including Prince William, Fairfax, and Fauquier Counties. Trained and experienced in Relocation, Short Sales, REO's, investments, and any other residential real estate Joey can guide you through the home buying or selling process.
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I work as a buyer's agent with mostly new homes here in Atlanta, Georgia. You are correct to say that the onsite sales staff represent the builder. The buyer can be represented by a buyer's agent if they take the appropriate steps. Otherwise, the buyer will not have an advocate promoting their interests throughout this complicated process, though the price they pay is usually the same. A buyer can research the home buying process to a great extent, but they still would be missing out on insightful information from an experienced buyer's agent. I have witnessed this multiple times when working with very educated home buyers.
Stephen-- Yes, the sales rep do try to make people feel comfortable with them, for a reason.
I've always wondered why non-represented buyers think they will get a better deal from the builder with out a Realtor. In the end the builder makes more money, and the buyer pays the same or more than if they had representation.
Chelle--I do agree that it does not make much sense.
Sometimes I wonder when they say we've been so busy...is a total lie!
Jim, it took me a while to respond.
I think many times it is.