Are there any general rules of thumb on how much new home construction prices can be negotiated?

Commnetad
Home Buyer
Westfield, IN

Base price of around $145K to $160K with options of $15K to $20K. If a builder is willing to pay a 3% fee to a realtor, shouldn't they be automatically willing to lower the price by 3% without one?

Answers (2)
First to answer: Dp2
Laura Musall
Agent
46038

Sorry, but it doesn't work that way. Most builders don't negotiate a lot of price, but instead, will negotiate on upgrades. Maybe they will include a basement, for example, or a deck or granite instead of solid surface countertops. A real estate agent can help buyers negotiate the final agreement with a builder, and often, agents can get better packages for buyers, and can help them made decisions about the home to increase the resalability of it. Builders pay real estate agents commissions, because they rely on realtors to help show buyers their neighborhoods, and most builders welcome agents to help buyers through the process. Not using rarely saves buyers money, but working with a realtor almost always can help with negotiations and the entire process.

Good luck.

Laura

Wed Aug 19 2009, 11:07
Dp2
Other/Just Looking
Virginia
FIRST ANSWER

Forget all of that. Base your offer price on the recent sold comps, and make sure your agent includes an appraisal contingency, so that your offer is contingent upon the appraisal value being greater than or equal to the offer price, and that you have to approve the results of the appraisal.

Wed Aug 19 2009, 10:33

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