Home Buying in Umstead>Question Details

Pamelawornex, Renter in Glen Burnie, MD

we are retiring soon and would love to purchase a townhome. what kind of deals are there from buying a new townhome from a builder if paying cash.?

Asked by Pamelawornex, Glen Burnie, MD Fri Jul 26, 2013

Help the community by answering this question:


I would recommend you speak with a local lender first, see what you qualify for and current interest rates. Next, please talk to your financial planner, not a Realtor about what is the best investment ofr your cash. Many buyers will choose to put down 20% and invest the rest current interest rates, opinions vary.

Next, find a local Realtor (maybe one that took the time to answer your question on Trulia.com) and start looking at existing townhomes and new builds.

Best of luck.

0 votes Thank Flag Link Sat Jul 27, 2013
Builders typically do not like to discount their prices as they feel it will affect pricing on future sales. When sales are slow, you might be able to work a deal on standing inventory, but the market is pretty strong in this area now, so that is not likely. A lot of builders include financing incentives (paying loan closing costs) into their price. You might be able to get them to include some upgrades if you pay cash, but they will probably not want to drop their price. I offer hourly buyer agency programs that can provide buyers with rebates of the buyer agent commission offered by the builder (typically 2.5 - 3% of the purchase price) and would be glad to explain that to you in greater detail if you are interested.
0 votes Thank Flag Link Sat Jul 27, 2013

Congratulations on your upcoming retirement! As a REALTOR with the #1 selling Real Estate Company in the Triangle and a New Home Builders Service Team, I am confident I can help you find the perfect home for you to enjoy your retirement in.

Please call or email me and we can discuss your needs and your time frame. When you are ready to plan a trip to the area, I would love the opportunity to show you around!

Thank you

Trish Oliva
Coldwell Banker Howard Perry and Walston
919.390.4885 - Mobile
0 votes Thank Flag Link Fri Jul 26, 2013
I can tell you from experience having lived just north of DC for several years, you will be getting a lot more home for your money here. Where you live and what you pay will depend upon what type of retirement lifestyle you want. Is golf in your future? access to lakes?? a downtown area for the arts or museums? I sold new townhomes and homes for a local builder for several years. What I found with cash deals is that the builders will usually deal a little better once they discover you are not contingent on getting a loan and they don't have to wait for that process to happen. Some loan types are now taking up to six weeks to get approval on. Therefore, you would be highly sought after for something that is already built or close to finish. If you wait for something to be built or is a month or more out, not so much.
I've been licensed since 1994 and would love the opportunity to assist you. I ask that you visit my website at http://www.RaleighHomeSite.com to learn a little more about me plus you can also search the local MLS via an IDX link set up on the site.

Best wishes for a successful move and congratulations on your retirement . Also, if you are also considering a move closer to the coast, I have several great contacts that I can get you up with their. My parents after retirement were looking at Florida and made a stop in Ocean Isle Beach... they never left and have been there 24 some years now.
0 votes Thank Flag Link Fri Jul 26, 2013
To a builder or even a resale seller, cash is what they are getting at the closing table no matter what. The money can be wired from a bank/lender or a cashier check from a private buyer. It doesn't make any difference.

Cash would only help to shorten the closing cycle if you are buying an inventory home, a spec home, or a resale. Seller doesn't have to wait for a 30 to 45 days loan period. If you purchase a lot to build, builders usually are not willing to lower their sales price because you are a cash buyer. There is a plenty of time for them to find a right buyer. With this low inventory market, getting a DEAL is not there anymore. Getting a right lot, right floor plan, right combination of upgrades at a reasonable price is more realistic in nowadays.

If you really want to a good deal, I would suggest to work with a very experience agent who has ABR Accredited Buyer's Representative and has a good relationship with the onsite agents. These agents on average are selling more homes and have a deeper knowledge about the local market and each community. Due to their personal relationship with the onsite agent and the builder, you might get a little more than others who just walk into the sales center and sign a purchase agreement.

Please do contact me if you would like to get a market overview in this area. I'm also a Seniors Real Estate Specialist and have an extensive knowledge on 55+ communities.


Re/Max One Realty
0 votes Thank Flag Link Fri Jul 26, 2013
I would recommend looking in the Triangle area to include Durham as well as Raleigh and Chapel Hill. I moved here from the DC area in 2001 and would love to help you. There are some fantastic deals here in comparison to the ared you are moving from. This is a great place to live.
0 votes Thank Flag Link Fri Jul 26, 2013
Good Morning,

My wife and I are both Realtors and we would love to help you in any way that we can. We work very hard at providing our clients with very straightforward information to their questions and concerns. While paying cash may decrease the time period after an offer is accepted, it will usually only decrease the period until a closing by a couple of weeks. After all, when a lender agrees to lend folks money, the mortgage amount is paid essentially in cash by the lender to the builder.

Having said that, we have an extremely broad assortment of townhomes from which to choose. What we normally do is arrange for a scheduling of a tour to see these homes when it's convenient for our clients.

What do we need to be able to provide you with some idea as to what may be available? Just let us know your price range and how many bedrooms, etc. And, do you need a first floor master? If you have some idea as to location in relationship to Raleigh, that would be good. If you don't, we can provide you with some maps and some ideas.

So, just give us a call at (919) 624-6726 or email us at edanderin@edanderin.com. You may also take a peek at our website: http://www.HomesInRaleigh.org.

We look forward to hearing from you.


Ed Williams
0 votes Thank Flag Link Fri Jul 26, 2013
Hi Pamela,

For new construction, Builders often offer incentives by paying for some of your closing costs, provided you use their preferred lender and closing attorney. Getting your closing costs paid for on a resale in a sellers market is tough to do unless you pay full price or more. This also depends on the sellers motivation to sell.

The Raleigh area is becoming a popular place for retirees. If you need assistance is finding your retirement home, I'd be happy to help. You can contact me at 919-624-5073.
0 votes Thank Flag Link Fri Jul 26, 2013
Builders offer incentives that re-sale (homeowners) cannot generally compete with. But, the flip side is builders will generally not negotiate the sales price, even with cash.

A buyer's agent can help you negotiate what is most important to you.
0 votes Thank Flag Link Fri Jul 26, 2013
Actually, cash doesn't get you much of a discount. For new construction you will probably pay full price except for their normal incentives that they offer sometimes. Now, if they have a unit that has been sitting there for a while, they will negotiate a bit on the price, but otherwise you will pay sticker price.

I recommend you shop for a real estate agent first, and have that agent get you good investment. And, if I was the hat-wearing kind of person, I would throw mine in the ring right now and offer my services to you. but since I'm not wearing a hat, I'll just offer my services to you :-) You can email me jose@TriangleResidential.com or call me at 919-809-9734.

Good luck and I hope you enjoy your retirement!
0 votes Thank Flag Link Fri Jul 26, 2013
Here in Raleigh North Carolina there are quite a few options. Many Builders often offer incentives when using their lender or attorney. I can provide some locatoions if North Carolina is where your considering and with a little more information. Please feel free to contact me 919-452-9379. Have a great day!
0 votes Thank Flag Link Fri Jul 26, 2013
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