Should You Have a Realtor Help You Buy New Construction?

Kevan Lewis - HomeLife Benchmark Realty

OF COURSE YOU SHOULD! You get an industry professional to be on your side, not to mention that it does not cost you anything to have a realtor on your side as the Seller will paying the commission. Read further for several other reasons you want to have a Realtor represent you in a new build.

1. Your Realtor can get you access to VIP Events, giving you early access to choose the best units before the rest of the buyers who opted not to work with a realtor even have a chance to purchase. Quite often, developers will offer a small discount or free extras when a purchase is made at a VIP Event.

2.Your Realtor can help negotiate the agreement in your best interest. Often times this can mean restructering the timing of deposits and in some cases even the amount of deposit. Other things like upgraded appliances, or even having subjects on the contract, which new construction typically would not have.

3.Your Realtor has MLS access to get you comparable sold prices in the area and make sure that you don't become victim to overpaying for a home, just because the developer wants more money. Most of the time the price is non-negotiable, there are of course some exceptions to this, but at the very least the comparable sales may save you money by convincing you to simply walk away.

4. Your Realtor know how to ask the right questions most of which you may not even think about asking

5. Your Realtor can help guide you through the 7 day recission period. Ignoring the necessary steps, which I have never heard of a developers agent helping anyone with, can cause some pretty big complications down the road.

6. Your realtor understands how to read the building plans. It is important to know where the garbage chute, elevators and stairwells are, as well as your underground parking space, storage locker and additional amenities such as the pool, party room and gym.

7. Your realtor has a good general understanding of the neighbourhood and any potential new developments that could restrict your views later on and cause traffic issues.

8. Your Realtor can explain and help explore your "Right to Assign."  Depending on what stage you purchased the property in, there may be a very long time, as much as several years, between the time of purchase and the time that the proeprty will be ready to move into.  Much can change in this time, and you may want to "sell" the rights to your contract to a new buyer.  This could be done for several reasons, but the main reasons would be that your financial situation has changed and you will not be able to afford the new home, or the market may have increased in price, and you could sell your rights for a profit. Not all developers will allow you to assign, although most will for a small fee.

9. Your Realtor can help to explain any potential grants that you may be eligible for ranging from new home grants to first time buyers grants.

10. Your Realtor can help you coordinate the closing with your lawyer or notary.

The expert advice of a knowledgeable realtor can save you tens of thousands of dollars on a pre-construction condominium. They can help you negotiate everything from upgrades to a cap on your development closing costs, which can be significantly more than a resale condo. The builder has also built in the fees to the buyer’s agent – in fact, they do not reduce the purchase price if you don’t use one. This transaction has so many nuances and subtleties that it is definitely worthwhile to get the help of an experienced professional.