Putting In Offers For New Homes

Most people don’t realize that price new homes have negotiable prices. While there are base prices for certain models, there is still room for potential buyers to put in an offer. Going in with a real estate agent is one option, which allows someone else to handle all offers and negotiating on your behalf. On the other hand, if you go in without a realtor, you already have something that you can bring up with the builder.

Base Price

While the least successful method of negotiating, you can offer to pay less than the base price offered for new homes. You can get the total for the home, before adding any of your upgrades, and offer less. Most of the time, the builder is not going to consider this type of offer. There is a certain amount of money that needs to be made on each home and it is not easy to cut into the profit margin in this way. It costs the builder more to compromise on this part of the cost as opposed to some of the others.

Lot Premium

Lot premiums tend to be more flexible and people have the ability to change this portion of the offer on new homes. The builder is not losing as much money because it involves the land. A person can offer to get rid of the lot premium all together or split the difference with the builder. If the cost of the house is just within reach and the potential buyers are already approved, a builder may be more inclined to make this type of compromise, especially when the community just has a few new houses to go until it is complete.

Upgrades and Extras

Another option for negotiation with new homes is requesting extra money for different upgrades. A buyer can ask for something specific like upgraded countertops and cabinets or he or she can ask for a set amount of money to spend on the property. Both inside and outside of the house are open to negotiation. It just depends on what the builder decides. There are times when the owner is more likely to negotiate and in buyers can attempt to take advantage of the moment.

When communities are brand new and when the need to finish up, the builder often offers incentives. If you are looking for something different, don’t be afraid to put in an offer. Remember that the worst that can happen is the builder will say no. With any new homes, there is room to talk with one of the builder’s representative to see if there is any chance that a certain offer will be accepted. Don’t give up if the first offer is not accepted. Go back and think about what you might want to offer the next time or consider the counter offer that was provided by the builder.