Home Buying in 95758>Question Details

Aznen4cer, Home Buyer in 95758

I want to buy a KB Home in Sacto - Sandalwood but want to know if I can negotiate prices/upgrades and if any agents can successfully help me.

Asked by Aznen4cer, 95758 Mon Mar 28, 2011

I'm looking to buy a new house in Sacramento, and I've been eye-ing the KB homes in Sandalwood, specifically the $222,000 base model with 2,300 sq ft. I know the price is already low but my I want to live comfortably with a mediocre monthly payment. I was wondering how much I could really negotiate here, either by price or upgrades. Keep in mind that price is just the base model and to make upgrades to have it up to par with "standard homes" its gonna be at least $255k.

Are there any agents that have been successful with negotiating with KB homes that want to represent me? I think I can comfortably afford $225-230K.



Help the community by answering this question:


Greetings everyone,

Thank you for all your advice and input. This community is truly helpful and I really appreciate it. I will be staying with my current agent (as I have no choice) but I will make sure they are well prepared for all possible scenarios. Negotiations will take place and failure to bargain at least upgrades will not be accepted. Wish me luck, I'm going in tomorrow and if all goes well, I'll sign a contract and own my first home!!

Thanks again everyone.

Best Regards,
1 vote Thank Flag Link Tue Mar 29, 2011
On a new home, the first visit is crucial to be represented by an agent. But here's a couple of other ideas you want to consider as well. Calculate in the cost for andscaping, etc into the cost of your new home. new homes come with upgrades (carpet, paint, counters,cabinets, etc) but they only finish off the front of the house. Any landscaping or features out back would be your cost after you own the home. In addition check for transfer fees that are added in the language of the deed. These fees are passed on, like Mello Roos, to future transactions and affect your sale to a new buyer. Sometimes called community assessments or other such nonsense, it was part of a 'deal' made by lobbying powers to hold developers hostage when they wanted to get this plans passed. These hidden fees need to be understood so that you're fully informed.

buying a new house is exciting...everything's new! But just like with resale homes, you need to make sure you're fully informed so it's best to be represented by a buyer's agent.
Web Reference: http://www.suearcher.com
1 vote Thank Flag Link Tue Mar 29, 2011
Hi Aznen4cer:

From your response below you may already be tied to the Agent that registered you with KB. In any case, if you are going to be buying from a Builder there are a few issues and topics you need to be aware of, which are covered here: http://docs.Steven-Anthony.com/BuilderRealtorAgent.pdf

Best, Steve
1 vote Thank Flag Link Tue Mar 29, 2011
Thanks Laura!

They seem pretty strict on the price. I checked the Mello Roos and it wasn't bad, just $60/month. I basically just want a home with enough upgrades to have it considered "standard", so I'll negotiate for the upgrades. I did go in with an agent but he seemed a bit inexperienced and I'm not sure if he was capable of getting me a good deal. I guess I'm stuck then if I went in with that agent.
1 vote Thank Flag Link Mon Mar 28, 2011
Hi Aznen4cer,

Not all agents are familiar with negotiating on new homes. The builder wants to keep the list price as stated (when at all possible) because of past and future sales and appraisals for current homes in the pipeline. They will negotiate on upgrades, lot premium, and credits towards loan buy down and closing cost, If you use their preferred lender.

You registered with an agent and that agent will be entitled to a commission unless the time line has expired from your first visit, this could be 3 to 6 months. Check with their registration.

You are going to be reviewing a builders contract so make sure you have someone on your side who understands those contracts and addendum.

Go in with an offer you are most comfortable with. If low payments are your goal, you may be able to get the builder to credit you enough to lower your payments. Your agent should be able to communicate and ideally negotiate this for you.

Congratulations. You are going to be a homeowner very soon.
Web Reference: http://terrivellios.com
0 votes Thank Flag Link Tue Mar 29, 2011

In real estate, everything is negotiable. When buying a new home, its very important that you work with a knowledgable realtor to guide you correctly.
0 votes Thank Flag Link Tue Mar 29, 2011
Here is how you deal with your agents inexperience. Write down all your questions and preferences that you can think of. Give him your list. Explain that you understand that he may have to research the answers and get back to you, that you are eagerly awaiting his answers. If he is a good agent, he will do the research and become informed, so that he can give the advice you need.
0 votes Thank Flag Link Tue Mar 29, 2011
Jim Walker, Real Estate Pro in Carmichael, CA
Hello future KB home owner, yes, the sales prices should be negotiable. New construction sales are sluggish so they are willing to add incentives/upgrades etc to make the deal happen. I was able to negotiate $40K in upgrades plus a lower sales price for my last new construction home buyer. Please note, this was a $650K purchase...I don't want to mislead you into thinking you could get $40K incentives on a $222K purchase. I do think you have room to get a great deal.

Please let me know if I can help or answer any further questions.

All the best!
Web Reference: http://www.ajsocal.com/
0 votes Thank Flag Link Mon Mar 28, 2011
I have a relationship with the Sales Rep for KB homes in Elk Grove. Our office provided them with comps in the area when they were first releasing their homes as they were a bit overpriced. They typically do not reduce the base price but can be flexible on upgrades and closing costs as well as financing incentives. You can reach me at 916-548-8629 or LStirewalt@golyon.com and we can explore your options. I recommend that you have an agent represent you in this transaction so you have someone in your corner negotiating for you and getting you the best deal. I welcome the opportunity to assist you in your new home purchase. Happy House Hunting!
0 votes Thank Flag Link Mon Mar 28, 2011
I am on the list as a KB Homes Special Agent, and I am a good negotiator, but I have not yet worked with a KB buyer yet. I feel I can get you the best possible deal. I suggest we meet and see if we want to work together. Call me at 916-662-5663
0 votes Thank Flag Link Mon Mar 28, 2011
The only way a Realtor can help you is if they were with you on your first visit. If you have not gone yet a Realtor can help you. Usually they will give more upgrades or closing costs versus price reduction because they don't want the values to go down. Where I live KB is famous for passing on a CFD or mello roos tax so make sure you find out about that.
0 votes Thank Flag Link Mon Mar 28, 2011
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