Negotiating the price of a spec condo in Charlotte nc

Asked by Heather Armstrong, Ballantyne West, Charlotte, NC Mon Dec 5, 2011

I am looking to buy my first home in Charlotte nc. I was wondering there is any negotiating on spec homes. The townhouse is asking 165000 and is being built by Shea homes in ballantyne. My parents last year bought a model home in a Shea homes community and referred me. How much can I negotiate on that price.

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14
Abby Nelson, Agent, Charlotte, NC
Tue Jul 3, 2012
Depends what is in the home. Most of my clients that I represent do present an offer a little lower than list price. Would love to talk to you more about it
1 vote
Daniel Fisher, Agent, Charlotte, NC
Mon Dec 5, 2011
Based on the comparable sales, I would definitely NOT be offering list price for either 14719 Inter Milan Way. or 15194 Jade St. I'd be happy to discuss this further.
1 vote
Stephan Sail…, Agent, Charlotte, NC
Wed Dec 7, 2011
Hi Heather,

You will have better luck at negotiating down the price if you have a buyers agent representing you. Why? Because we have access to market data that will show accurate sales numbers for similar properties that have sold within a short radius from the property you'd like to buy and also because we have insider market information on how to negotiate with builders.

It is also difficult to negotiate when emotions are involved and a purchase is ultimately always an emotional decision. That's why you should have a buyers agent represent you. Moreover, builder's representative protect the interests of the builder, not yours. To have your interests protected by an agent won't cost anything since the brokerage fees will be paid by the builder. I hope this helps. If you need my help, give me a call at (704) 322-3710.
0 votes
Jacqueline R…, , Charlotte, NC
Tue Dec 6, 2011
Hello Heather:

I started my Real Estate career working for Shea Homes,and I have sold many of their homes. I am a Buyers Agent with Keller Williams Realty Ballantyne. I represent the Buyer and negotiate on the Buyers behalf I am familier with the Town Homes you refer to infact Shea e-mailed me the listing last week. Please call me at 704 540-0254, and visit my website. http://www.realestatesearch-charlottenc.com.

With kind regards

Jacqueline Rolls-Berardi. Buyers Agent. Keller Williams Realty.

TEl: 704 540-0254
0 votes
Joan Congilo…, Agent, Freehold, NJ
Tue Dec 6, 2011
Hi Heather, It sounds like you have already visited the homes and are familiar with the inventory in the new community you are looking in. Most major builders do offer incentives when a buyer is referred by friends & family. I know my community builder does. In addition, it doesn't hurt to make an offer on a spec house if you are ready to buy. Most builders are willing to negotiate on " quick delivery" homes . They don't always lower the price but you may be able to get some free upgrades or special financing through their lender. Good luck.
Web Reference:  http://www.joancongilose.com
0 votes
dave, Agent, Charlotte, NC
Tue Dec 6, 2011
Heather,

You have a lot of responses here... My advice as I have written about this before is to get a buyer's agent to represent you. There is always some negotaiting power with a builder. The problem is the sales representative that helps you out at the model home represents the builder; NOT YOU. There job is to get as much money as possible for you and offer you the least amount possible in return.

Having a buyer's agent does not cost you any money as you are represented by an agent and the builder pays the commission to the agent......
Web Reference:  http://www.davedicecco.com
0 votes
Debra M. Buck, , Charlotte, NC
Mon Dec 5, 2011
Good evening, Heather! You have so many great responses and hope you find them helpful.

Congratulations on your decision to purchase a new home. Like everyone said, having a Buyer's Agent to represent your best interest in the transaction is key and the cost is zero to you. I have worked for a Builder and some Buyer's did not fully understand that the Builder Onsite Sales Representative works for the Seller's best interest. I have a great checklist I'd love to share that clearly shows the difference in what an Onsite Agent does versus a Buyer's Agent. Whether you purchase an inventory home or you decide to build, there's a lot involved in the process. I know you didn't mention it, but if you haven't spoken to a Lender to get pre-approved, then that would be the first step.

There are many ways to negoiate with a Builder and it depends on so many factors. Expect the Builder to maintain the values when they are still selling in the Community.

I would really love to have the opportunity to
Web Reference:  http://www.hmproperties.com
0 votes
Beau Ferguson, Agent, Charlotte, NC
Mon Dec 5, 2011
Hi Heather
Like previous answers, some you may be able to negotiate, some you can't. Just like many resellers out there..........some will negotiate with you and some won't.
This is why it's always best to have a Realtor in your court. In fact, when it comes to new construction, you may have an even greater advantage because many Realtors have worked with lots or all of the builders and have knowledge of which builders they can or cannot push further in terms of negotiating. A buyers agent will always be watching your back and the best part is.............it doesn't cost you anything more. If I can help further, let me know.
0 votes
Daniel Fisher, Agent, Charlotte, NC
Mon Dec 5, 2011
Good evening, Heather.
I just drove by Riviera this evening! We've successfully negotiated on spec homes for many clients. The builder has an incentive to keep prices stable/high so that they support strong future sales, but that they may give on extras. But they also may want to get inventory off their books before the end of the year - it's all about us asking the right questions and approaching the negotiations prepared with data on other properties that are selling in that community and area of South Charlotte. The pricing will also depend on assumptions we know appraiser will typically make about upgrades, total square footage, numbers of bathrooms and bedrooms, garage bays and unit location within the community. There are ways to Cut Excess Builder Profit when Buying a New Home (see Trulia blog in link below).

Everyone in the builder's model home works for the builder, not for you. Since the Builder pays your agent's commission, you really ought to take advantage of it and hire an Agent Advocate to represent you. If you have a full time agent with a Masters degree in Planning with Finance and over two decades of experience working for you, you will likely do better in negotiations. I'd be pleased to provide that service.

If you appreciate an answer, please give "thumbs up". For the most helpful answer, please say thanks with a "best answer" click.
0 votes
Joe Stanfield, Agent, Charlotte, NC
Mon Dec 5, 2011
Hi Heather,

i can only echo the responses of Amy and the others , get an agent. you pay nothing and get full representation. i'm pretty sure I know the neighborhood you are interested in, and have facilitated a purchase there recently. Feel free to call me with any questions you have. No pressure or obligation.

Joe Stanfield
Coldwell Banker United, Realtors
704-996-2651
Jstanfield@cbunited.com
http://Www.JoeStanfield.com
Web Reference:  http://joeStanfield.com
0 votes
Craig White, , Charlotte, NC
Mon Dec 5, 2011
Hi Heather,

I agree with everyone else, you need representation to assure you get the best price and your interest are protected. I am with My Townhome Realty and we specialize in townhomes and condos in the greater Charlotte area. I would be glad to help you with your purchase don't hesitate to call or email me.

Craig White
Realtor
My Townhome Realty
cwhite@mytownhome.com
704.906.7899
0 votes
Amy Baker, Agent, Charlotte, NC
Mon Dec 5, 2011
Heather,

Every builder is different. Some builders will negotiate on price but other will only negotiate on terms/upgrades.

How much the builder is willing to negotiate depends on what building phase they are in, what sales have been like in the previous weeks, and what promotions they are currently running.

I would defanitely suggest hiring a buyer's agent to help you negotiate with the builder. In almost all cases, the builder will pay your agent's commission so it's essentially you getting advice to help your negotiating position for free.

I wish I could help more but without knowing exactly what floor plan/community you are looking at, that is the best I can offer. Please let me know if I can help you further.

Amy Baker
Allen Tate Realtors
704-258-1459
Amy.Baker@allentate.com
0 votes
John Siddons…, Agent, Charlotte, NC
Mon Dec 5, 2011
Contact me directly and I will help. My services for you as a buyer agent wouldn't cost you anything.
0 votes
Tammy Manning, , Indian Land, SC
Mon Dec 5, 2011
It helps to have a Realtor help you with the negotiating process. I worked for a builder in the area for several years so I have the experience and knowledge to help you with this. Feel free to contact me if you would like my assistance.
0 votes
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