D
dingo69
Guest
My wife and I are considering buying a new construction home. The home we are looking at is not a custom home and is not a canned floorplan; it is a spec home. It hasn't been started as of yet; the lot has been cleared.
We are the only owners of a seven year old home that has seen a 50% increase in value. The new home is a little over double the value of our existing home.
We did not use an agent when we bought our first and existing home so we know very little about using an agent and financing options. We have several questions and wouuld appreciate any help:
1. Is there any reason why we would not want to use the same real estate agent as we use to sell our home to also represent us on the new home purchase? Are there particulars about new home construction that would lead us to want a more 'specialized' agent for the purchase?
2. What does an agent actually do for you on a new construction purchase to earn their commission? Do they meet with the builder to keep everything on track, communicate time lines to us, make sure the new home is being built as per plan and so on?
3. What is the commission rate the agent would earn on new construction?
4. How common is it to get a discounted commission rate if the same agent represents us for the sale of our existing home and the purchase of a new construction home?
5. In general, is the price of a new construction spec home negotiable?
6. For what I have described, what types of loans are involved? I've heard of bridge loans, new construction and regular mortgages.
Lots of questions; any help is greatly appreciated. Thanks folks.
We are the only owners of a seven year old home that has seen a 50% increase in value. The new home is a little over double the value of our existing home.
We did not use an agent when we bought our first and existing home so we know very little about using an agent and financing options. We have several questions and wouuld appreciate any help:
1. Is there any reason why we would not want to use the same real estate agent as we use to sell our home to also represent us on the new home purchase? Are there particulars about new home construction that would lead us to want a more 'specialized' agent for the purchase?
2. What does an agent actually do for you on a new construction purchase to earn their commission? Do they meet with the builder to keep everything on track, communicate time lines to us, make sure the new home is being built as per plan and so on?
3. What is the commission rate the agent would earn on new construction?
4. How common is it to get a discounted commission rate if the same agent represents us for the sale of our existing home and the purchase of a new construction home?
5. In general, is the price of a new construction spec home negotiable?
6. For what I have described, what types of loans are involved? I've heard of bridge loans, new construction and regular mortgages.
Lots of questions; any help is greatly appreciated. Thanks folks.