I have worked with and spoke with several new home builders, and the overwhelming majority say that they do not have AS much room on the asking price, but that they can and will often include allowances for window coverings, landscaping and other upgrades at the design center that add up quickly, so it is worth pushing them on it because they certainly aren't going to suggest it to you....so make sure your agent is willing to represent you well in a new home build. Several big pluses with purchasing a new home other than the obvious warranty and such is that the advances in building technology and materials cam add up to thousands of dollars in utility savings...which is a HUGE plus here in Phoenix. Good luck with your decision and hopefully you got some sound advice here in the Trulia forum!
Real Estate Agent
It is worth a shot....you have nothing to loose just by asking the question, or having your agent present the offer to them. I have worked for a few New Home builders in the Inland Empire (Riverside County, California) and Yes, sometimes it does happen as you will get it pushed thru...especially at the end of a community when they are at build out or if they have standing inventory. The builder will want to get rid of the product for sure.......Good Luck to you and I hope you get the perfect house to call home!
Picking a custom home builder is a lot like picking a realtorÂ®; you should interview several builders before making a decision. Do not solely rely on a referral from an agent! Do the work yourself and interview several. Hereâ€™s a short check list of questions to ask:
1) Ask for current client referrals, 3 should be no problem & follow up with each regarding quality of the home and how well the builder did in regard to warranty work after the sale.
2) Ask if the builder is willing to do a cost plus contract this will save you money if the builder is ethical and doesnâ€™t try to steal.
3) If you are obtaining financing ask about construction perm loans, these are one time closing loans and usually save the customer about 2,000 and may also have a tax benefit for you. It also allows you to see all the bills and control all the money.
4) Talk with the builders bank make sure the builder has the resources to complete the project
5) Do a basic background check on the builder look for items such as liens, bankruptcies, lawsuits different company names they are an officer in that are now insolvent and in the same industry.
6) Check with the local home builders association for a list of builders in the area
7) Energy cost are going up and the trend will continue pick an Energy Star home builder and have the home certified as an energy star home this will save you money over the long term, add quality to your home and help the resale down the road. For an energy star home expect to add 2-3% to the price of the home.
8) Ask to see a written copy of the home builders warranty program.
9) CONTRACTS- usually not a big deal and all 3 types work well the question is getting the best deal for you. The 3 types are: RealtorÂ® provided (these protect the interest of the agents & brokers), builder provided (these protect the interest of the builder and usually provide more detail in regard to dispute resolution) home owner provided (these are drawn up by your attorney and favor you in the event a dispute arises) many times a builder will want to use their contracts, itâ€™s usually fine just make sure your real estate attorney reviews the document before you sign.
10) Have fun!
Thatâ€™s your top ten list! Good Luck!
I would love to help you out in the North Valley.
can you negotiate??? yes. but depending on what others buyers are paying or if there is a lack of buyers will determine how receptive the builder will be. You might get some give and take or just a "NO."
you have to balance your attempt to get more for your money vs losing out to another buyer that will just agree to the asking price or offer more/settle for less than you.
Realty One Group
Just keep in mind that you will be wanting upgrades (granite, extra tile, electric outlets, etc.) these are all upgrades and will cost you more than the price of the home.
Trust your agent, you can try but most of these homes don't turn a profit until the upgrades with mark-up.
Good luck to you,
Donald, I am quite surprised that the stats state that there is more demand than supply in 85383. We live within the 85383 zip code and although we love it, I feel like there is definitely a good supply of resales especially in Vistancia and Westwing Mountain. Unfortunately, because of the distance to my husband's work, we need to live closer to the freeway. However it does seem like the size of the home we want (4000+) and the lot we want is limited unless we want to go the custom route, which we don't really have time for.
You can find out more about the current market conditions in Peoria 85383 here:
(see link below)
I use to work for a new home builder and know how they operate. Each year I help 3 or 4 clients per year purchase new homes and have always negotiated something extra for them. Keep in mind three things:
1) If the builder is willing to sell for below the base price of the home this is a "red flag" that the builder maybe in trouble (bankruptcy, closing their doors, moving out of state or abandoning the neighborhood).
2) New home builders usually do not have the best financing and ask them to match your lender's fees and rates.
3) Read your new home registration form (you should have received a copy if you signed it and your agent signed it). You maybe able to have another agent represent you and negotiate on your behalf (read the form and find out if you can change agents), but be cautious. If you have signed an exclusive buyer broker agreement with your agent, then you are in a relationship and other agents / REALTORS will not want to interfere with that relationship. (This is not a solicitation).
Donald Keys has been selling NEW and RESALE homes since 1997.
I just put a house under contract for a buyer at $210,000. The house was originally listed for $287,000 and the asking price had just been reduced to $249,000 when we made our iniial offer of $190,000. Every time the seller countered our offer, we went over the comparables and the punch list. They finally decided to say 'yes' at $210,000.
For new homes, yes, you can negotiate for upgrades and you used to be able to also negotiate for a buy down on the mortgage, which would get you a lower interest rate for the first so many years but let the builder still technically claim a higher selling price so as not to dissuade future buyers.
Go for it! And good luck!