In my experience, anytime someone wants to do something themselves to save money, they are in a bad place ( I won't name that place.)
What is your profession, Mechanic, Accountant, Doctor, Attorney, Pizza maker, Service Station Owner?
What would you think of someone that wanted to preform your job just to not pay for something that was not coming out of his picket anyway. Salesperson and the preferred buyers agent fees are built in with grass, fences, toilets and so on.

First of all the prices vary because the price of the DIRT - that is location, locaion and location - varies.

You have better bargining power on homes not built or started if you know what you are doing, but trying to outsmart the professional will not help.

Marg

Fri May 16 2008, 18:21

Generally speaking, home builders protect realtor commissions for the sake of encouraging cooperation with Realtors; these professionals are a key part of providing exposure to theses builders’ new homes. Hence, a buyer would not save in this area.

However, if a builder agreed to give a special discount because a home buyer opted not to be represented, one must ask an important question: Is the builder trying to save the buyer money or himself? Would a good buyer’s agent expose something adverse that an unsuspecting buyer would simply be unaware of?

One can research the home buying process to a great extent and still miss many beneficial opportunities to save; only experience can extrapolate these opportunities on behalf of the buyer.

Fri May 16 2008, 15:44

Brenda,

The sales counselor's job is to get the BEST price they can for the home. Often times, there is a bonus in it for them if they can sell the home and they have left over "discretionary" money that they could've given to the client. The SC represent the seller. You need someone who'll represent YOUR best interests. It doesn't cost you a thing. They can't give you a better deal because you do/don't have a Realtor. Also, Realtors bring them volume business - you are a one shot deal. Who's going to get the better deal?

There is probably more on the table to be had.

Best wishes,
Terri Hayley

Sun May 11 2008, 22:02

The home builder may tell you that you will get a better deal (as one here did) not working with a Realtor but I have worked with builders and been in Real Estate for near 40 years.
They want you to think that,but they will pocket that fee. You are not getting that discount. You would get a discount anyway when it got to the point of saying - We want it or We Walk. The selling fee is built in, those people do not work there for nothing, they are paid less than a Realtor but the builder is setting off more of his cost pencil wise when it is an inhouse sale. The person at the Builders office does not have to have a Real Estate Lic. or be controlled by any commission - he answers only to the builder so he does not have to live up to the standards as a Realtor.
You do need a Realtor that is experienced in new home sales. That does not mean done some because they already had a buyers agency agreement, that means experienced in dealing with the builders. There is a certain amount built in the price for several different uses and an extimate of time on the market. These concessions can be moved from one use to another - someone just needs to know what they are.
And again the concessions will vary from builder to builder depending on the volumn and experience of the builder.
Now I will agree that prices will vary from one subdivision to another. The cost of the land, the streets, the utilities, the amenities and so forth will vary. The Builder either paid for these in his developement or purchase of the property. But some of this variance can be credited to the neighboring subdivsions. Just trying to get what the market will bear.

Now that I have totally confused you , good luck

Margaret

Sun May 11 2008, 08:36

Fact is... I am a homebuilder and a broker. On large production homes, commission is built into the development of the neighborhood and not specific for each home. As guidelines, builders are not to tell the customers that they can reduce the commission on the home if they are not working with a Realtor. Moreover, you can negotiate the price of the home. The sales counselor does not have that authority, but the sales manager or vp of sales will. In a very competitive market, I have had many clients get more off the top than expected. If you don't ask, you won't receive.

Wed Feb 20 2008, 11:09

Always always always work with a realtor. You'll have a much easier time with negotiations this way then working directly with the salesperson. Checkout my website as to why you should use a realtor when negotiating with a builder under the section on new homes. Also prices will vary from community to community even for the same house as land prices will vary. Your price on existing construction will likely be better than on "to build" homes. One reason is commodity prices have and are increasing significantly. The other is holding costs. Sometimes the builders don't even own the lots until they sell you the house or build on it, so often you can make the better deal on an existing home. When you are ready for assistance let me know and we'll connect you with just the right realtor in your neighborhood.

Thu Feb 7 2008, 12:54

Brenda, the fact that you are asking for help says that you really need the assistance. Realtors fees are built into the price of the house or come from a separate marketing fund from the builder. Thinking that you will get that discount is a myth. How do you know that the house is not already overpriced and if the builder comes down whatever amount 10K or more that it's still worth that amount? It could be 50K overpriced to begin with. How good of a job does this builder do? what is its reputation? are they still going to be in business when your house is finished and when warranty issues come up later? I admit that we don't have a crystal ball but a good Realtor will tell you the likelihood based on their expertise.

Get yourself a buyer's agent that can give you comps, advice on the lot location. The builder has someone working for him, why shouldn't you? especially that it doesn't cost you anything.

Thu Feb 7 2008, 08:17

Brenda,
It really seems that you need some help there. Usually Builders' don't negotiate a whole lot better prices with clients without a realtor, and depending on the price of a home the commission for a buyers agent is somewhere around 2 to 3 %. Does that really make the difference? Your Realtor could also give you more information on different mortgages available for you and all the buying and closing procedures. All your questions could be answered if you would choose to work with somebody who is representing YOUR best interest. A Realtor can provide the most detailed information for you and you don't even have to pay for their services!!! Since you are already in negotiation with the builder you would have to check with them if they would still allow you to choose a realtor sometimes it gets tricky there. Have you already signed any contracts with the builder? Please check the TAR webpage http://www.texasrealtors.com/ and the NAR webpage http://www.realtor.org/ for further information on how Real Estate is supposed to work.
If you have any questions please don’t hesitate to contact me or any other Realtor to help you.
Good luck
Martina

Visit my Web Pages @
http://www.ml-real-estate.com/
http://www.har.com/martinalothert
http://martinalothert.yourkwagent.com/
http://martinalothert.point2agent.com/
email: mlothert@kw.com
Phone: 936 525 0144

Thu Feb 7 2008, 08:03