Philadelphia, Bucks and Montgomery Counties Real Estate. Tips for home buyers, home sellers by Gita Bantwal,Realtor at Re/Max Centre Realtors.: Buyers agents ! It is not enough to just register your buyers at new construction if you want to help them.

Buyers agents ! It is not enough to just register your buyers at new construction if you want to help them.

Buyers should be told that the sales agent at new construction represents the builder.When prospective buyers tour the model homes the agent may be busy with other customers and may just hand over a brochure .

It is good to have your agent who will tour the home with you and point out the upgrades and lots available etc.

Builders in our area require the agent to accompany the buyer but after the initial appointment buyers can go on their own and sign the purchase  agreement .

I like to go with buyers when they decide they want to sign an agreement of sale because buyers often do not know what items in the model home are upgrades. I go over the entire home and ask them what items they want in the home and point out what would be upgrades so they can ask the agent what it will cost.

If they want to make changes to the floor plan I am there when they discuss it. I get to know my clients well and know their needs. I point out the best lots available and drawbacks of some lots from point of view of their enjoyment as well as resale.

I had buyers who were about to sign a contract on a home based on the sketch in the brochure as there was no model that was built as yet. I pointed out that it did not have a two story foyer like the other model that was built as this was a different style home. If I were not there, the buyers would have signes an agreement for a home they did not like.

It is not the builder' agent's fault. They give out the brochures and buyers are supposed to understand it from the floor plans .

If you are looking to buy new construction in Bucks or Montgomery county call Gita Bantwal at Re/Max Centre 2153438200x124

When you read about events please check the year for the event as some people find information a year later and think it is for that year. . The posts remain online even after the event.

Gita Bantwal is a Realtor with RE/MAX Centre Realtors in Bucks County, a Northern suburb of Philadelphia. You can view 1000s of listings on her web site www.GitaBantwal.com

 

She can be reached at 215-343-8200x124 or direct 215-275-8491 or via email gita01@aol.com

If you would like a FREE MARKET EVALUATION OF YOUR HOME IN PHILADELPHIA, BUCKS or MONTGOMERY COUNTY call me at 2152758491

 Gita specializes in Active adult communities and is a Seniors Real Estate Specialist. She holds the ABR designation (Accredited Buyers Representative) and specializes in selling to first time buyers as well as move up buyers.Gita also hold the CRS designation , Certified Residential Specialist and the CDPE designation as well. Information about real estate market is deemed to be correct but is subject to errors and omissions and should be verified independently.. Opinion expressed by me or others  in my post and comments is not to be construed to be  legal advice.I am licensed in Pa. Check real estate laws in your state as they may be different than in Pa.

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Comment balloon 53 commentsGita Bantwal • August 24 2012 04:54AM

Comments

Gita, It's such a good idea for buyers to be working with a Realtor who represents them and not the builder or the builder's sales reps. They need a good agent like you in the Bucks County PA area to help them with their purchase!

Posted by Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400, Long Island Condo & Home Sale Specialists (The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803) about 6 years ago

Larry and Sheila, Thank you for reading.

Posted by Gita Bantwal, REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel (RE/MAX Centre Realtors) about 6 years ago

Excellent post Gita on how buyers unknowlingly make mistakes without representation...always have a buyers agent & call Gita in Bucks County!

Posted by Ginny Gorman, Homes for Sale in North Kingstown RI and beyond (RI Real Estate Services ~ 401-529-7849~ RI Waterfront Real Estate) about 6 years ago

Gita, this show that you simply care about your clients in a good way. . this is how we build solid business 

Posted by Fernando Herboso - Broker for Maxus Realty Group, 301-246-0001 Serving Maryland, DC and Northern VA (Maxus Realty Group - Broker 301-246-0001) about 6 years ago

Congratulations on your featured post. I find that most agents are not familiar with new construction and can actually hurt theior buyer more than help when negotiating new construction incorrectly. I worked new construction for over 10 years and 7 days a week would sit in a model and see it first hand. The most common thing was a buyer agent calling to register their buyer but not even coming to see the new homes before writing an offer. They would hinder their buyr more than help. If you are going o be a buyer broker for new construction, go to the home with your buyer, learn the home, the neighborhood and the builder.

Posted by Scott Godzyk, One of Manchester NH's Leading Agents (Godzyk Real Estate Services) about 6 years ago

Gita  Very well written - there is no doubt buyers need an agent for new homes

Posted by Karen Kruschka, - "My Experience Isn't Expensive - It's PRICELESS" (RE/MAX Executives) about 6 years ago

Gita, a good example where buyers of new construction need agent representation. I like where you go over the contract with them. That is very important.

Posted by Michael Setunsky, Your Commercial Real Estate Link to Northern VA about 6 years ago

Good post ....great thoughts...expecting buyers to understand all the ins and outs of a building contract is dangerous for both the buyers and the builder !

Posted by Sally K. & David L. Hanson, WI Realtors - Luxury - Divorce (EXP Realty 414-525-0563) about 6 years ago

Gita, this is so important to help buyers through the new home process.   I have a new construction closing today where I even went to the design center with her!  

Posted by Joan Cox, Denver Real Estate - Selling One Home at a Time (Metro Brokers - House to Home, Inc. - Denver Real Estate - 720-231-6373) about 6 years ago

I've been out with two buyers this week looking at new construction and am headed out tomorrow with another.  They are always surprised at the questions I ask of the representative that they didn't think to ask.

Posted by Cindy Jones, Pentagon, Fort Belvoir & Quantico Real Estate News (Integrity Real Estate Group) about 6 years ago

Yes, this is great advice....I have some builders in the area that want to do everything and bump out the other agent...

Posted by Kristin Johnston - REALTOR®, Giving Back With Each Home Sold! (RE/MAX Realty Center ) about 6 years ago

I have known several agents that just signed the client in and got paid the commission once completed.

Posted by Harry F. D'Elia, Investor , Mentor, GRI, Radio, CIPS, REOs, ABR (Real Estate and Beyond, LLC) about 6 years ago

Some agents are just plain lazy. You owe them some service and help and are not there just to pick up a commission check.

In the days when properties were flying out the window and you had to pre-register clients I had some customers who wanted to buy in a development where they were not allowed onto the site. They returned home up north,  with a depost paid  to the developer.  I borrowed a friends SUV and managed to get into the site. It was not at all how the develpoer had presented and the area where they had the deposit on the condo was not a "preserve" as described by the developer but a swamp with a mobile park. Needless to say I called them and advised them to cancel, which they gratefully did.  Some agents would have just banked their commission check. 

Posted by Susan Shaw (Premiere Plus Realty Co.Marco Island, FL) about 6 years ago

So true but unfortunately there are many agents who think that just registering buyers on the first visit is enough.

Posted by Kathryn Maguire, Serving Chesapeake, Norfolk, VA Beach (GreatNorfolkHomes.com (757) 560-0881) about 6 years ago

I sat on tracts and have lotsa good experiences to share...When an agent accompanies their buyers, things work out for all concerned rather nicely....

Posted by Richie Alan Naggar, agent & author (people first...then business Ran Right Realty ) about 6 years ago

It's like buying any other piece of real estate - the buyer's agent should always be there.  If your agent lets you go alone, you should get a new agent.

Posted by Margaret Goss, Chicago's North Shore & Winnetka Real Estate (Baird & Warner Real Estate) about 6 years ago

As a former builder's agent, I had clients who wanted to deal direct to save the commission of their buyer agent.  Since our builder was generous and wanted good rapport with co-op agents, we said we never discount the agent fee when they come direct. So then they would bring in their agent, and we still paid them at that point!

Funny story: once we offered buyer agents 5% commission for a limited time. A buyer came direct, and then when we wouldn't reduce the price, she brought her agent to represent her. Suddenly the agent wanted to negotiate free appliances after being brought into the transaction at the very last second.  I told the buyer to excuse us for a minute.

I asked the agent how much commission she is making on this deal. She replied, "Um, 3%?" She didn't even know about the 5% promotion.  So I said, okay,  we will pay 5% and YOU pay for your buyer's appliances.  She loved the idea and agreed, since it made her look generous to her buyer.

It worked out very well :)

Ah those were to good ole days in 2005!

Posted by Athina Boukas, Certified Residential Specialist (CRS) (Virginia Capital Realty) about 6 years ago

I work with clients who are interested in new construction and, as with any type of real estate transaction, there are things I catch and pick up on, counsel, etc.  You did a get job of catching the missing foyer on the model they were thinking was the one they liked.  Good catch Gita.  I'd use your services in a heart beat!!

Posted by Carla Muss-Jacobs, RETIRED (RETIRED / State License is Inactive) about 6 years ago

Very good post, Gita,

Thanks for sharing.

Posted by Tatyana Makarov, Your Greater Hartford Area Realtor (Coldwell Banker Residential Brokerage) about 6 years ago

Hi Gita, great advice. Many buyers don't know what they don't know. Way to educate and help!     

Posted by Sandy Acevedo, RE/MAX Masters, Inland Empire Homes for Sale (951-290-8588) about 6 years ago

Great post.

Posted by Kevin Mackessy, Dedicated. Qualified. Local. (Blue Olive Properties, LLC) about 6 years ago

Great post, Gita!  I represent a builder and I ALWAYS suggest that they bring an agent they have been working with.  Of course I would love to write them, but I find it more important that they are represented.  This usually shoots me in the foot because the agent is not familiar with new construction and thinks they can ask for $30,000 off the price.

Posted by Kayla Schill, New Home Ninja (CBH Homes | CBH Sales & Marketing, Inc.) about 6 years ago

Gita:

You buyers are lucky to have you.  You are such an important factor in their purchase of new construction.  I hope everyone in your area reads this post and realizes they need you.

Posted by Evelyn Kennedy, Alameda, Real Estate, Alameda, CA (Alain Pinel Realtors) about 6 years ago

Hi Gita. Many buyers don't think they need a buyer's agent but for all the reasons you point out, they may need you after all!

 

Posted by Erica Ramus, MRE, Schuylkill County PA Real Estate (Erica Ramus - Ramus Realty Group - Pottsville, PA ) about 6 years ago

Hi Gita,

You make some great points!  It is so important for buyers with construction to have that second pair of eyes looking out for them and making sure that they are looking beyond the flashy marketing!

Posted by David Kerr -Sonoma Real Estate Agent (winecountrylistings.net - Terra Firma Global Partners) about 6 years ago

Gita, I remember quite a few occassions when I protected my buyers who were buying new constructions - in many different ways. The myth for many of these first time home buyers is that they do not need to do home inspection - just because it is NEW and no builder will accommodate anything from home inspection findings. Not true, of course.

So, appropriate title for a well-deserved gold star for this post.

Posted by Praful Thakkar, Andover, MA: Andover Luxury Homes For Sale (LAER Realty Partners) about 6 years ago

Good post, especially since there are many new construction homes popping up all over the place.  Another way to justify our commission.

Posted by Laura Murray, Search Montgomery Co., MD for homes www.MDRealEstateOnline.com (Weichert) about 6 years ago

Good morning, Gita.... you're doing as a buyer's agent should do with a client who wants to purchase new construction.....you need to assume that client knows nothing and you should be there along their side every step of the way..... I have to say that we never just hand a brochure to anyone and assume that's enough...we represent builders and we explain to both the buyer and the agent the design (most don't know how to read plans) and we answer all questions.....and that's before they have a builders meeting....

Posted by Barbara Todaro, "Franklin MA Homes" (RE/MAX Executive Realty ) about 6 years ago

Hi Gita,

 

I work with a lot of out of state buyers and they are dependent on me to attend all inspections --pre-drywall, walk throughs, do videos of the home being built, negotiat repairs, and work with the builder on a regular basis on making sure they have a fabulous new home. 

 A lot of clients don't realize agents are a tremendous asset but the ones that do get representation for free a nd plenty of representation.

 

Posted by Tracy Santrock, Raleigh - Cary Realtor/Broker In Charge (Fonville Morisey/Santrock Realty Group, Inc. ) about 6 years ago

Buyers need representation when buying new construction more than any other type of residential real estate transaction.  This is particularly true in the case of new condo development.  Understanding the offering plan, the by laws of the condo, close dates, dates of recision, the materails to be used, the plans for the common areas, allocations of common interest, property taxes and potential tax abatements, the legal ownership structure, whose responsible for transfer tax, mortgage recording tax, and possibly mansion tax (for sales over $1mil in NY), and certificates of occupancy, etc. is complicated.  Very few buyers (and that many agents) truly have know what their doing when buying new construction.  This is where a great buyer's rep is truly invaluable.

Posted by Kate Akerly, Manhattan Beach Residential Sales (Kaminsky Group) about 6 years ago
New construction purchasing and selling is a totally different transaction than existing housing sales. I strongly suggest agents unfamiliar with this process team with experienced new construction brokers to learn this involved process.
Posted by MaryBeth Mills Muldowney, Massachusetts Broker Owner (TradeWinds Realty Group LLC) about 6 years ago

Gita, this is very true. Most buyers no absolutely nothing about buying new construction. It's great that you're not just signing them up and waiting to get paid.

Posted by Eric Michael, Metro Detroit Real Estate Professional 734.564.1519 (Remerica Integrity, Realtors®, Northville, MI) about 6 years ago

Hi GITA, you are so right.  The buyer specialist needs to represent the buyer!

Posted by Bob Miller, The Ocala Dream Team (Keller Williams Cornerstone Realty) about 6 years ago

One of the problems is that many buyers agents want the easy way out.  They figure that the builders agent can do the work, and the "buyers" agent gets the check.

I have had buyers agents ask me to show my listing to their client.  What sense does that make?

Posted by Roger Newton (Roger Newton Real Estate) about 6 years ago

Looks to me like you take good care of your buyers - and save them from making expensive mistakes. If only all buyers had agents like you...

Posted by Marte Cliff, your real estate writer (Marte Cliff Copywriting) about 6 years ago
This has been a very informative blog because I haven't done new construction sales/ buying here in Del Norte County CA. There is so little of it.
Posted by Hella Mitschke Rothwell, Hawaii & California Real Estate Broker ((831) 626-4000) about 6 years ago

I believe that buyers need that extra help when purchasing new construction. Good for you for helping buyers and making sure they understand what they are buying.

Posted by Joe LaVallie, 111363 (HomeStreet Bank) about 6 years ago

Gita, really hard to imagine buyers signing a builder contract without expert advice, but they do it all of the time. I used to be a builder rep and I can testify that it's a huge mistake to buy new construction without a new construction-experienced agent. Thanks for the reminder!

Posted by The Isaacs Team llc, realestateinthedistrict.com (RLAH 11 Dupont Circle, Washington DC) about 6 years ago

I always go with the buyers, I need to represent them if I feel worthy of getting paid.

Posted by Karen Fiddler, Broker/Owner, Orange County & Lake Arrowhead, CA (949)510-2395 (Karen Parsons-Fiddler, Broker 949-510-2395) about 6 years ago

Thanks for writing this, Gita.  I worked for new home builders for 15 years before I transitioned into general real estate.  When working with a builder I always valued the support of my Realtor friends. Now working as a Realtor for the last 13 years I always appreciate the builer's representative.  They understand our role and welcome us into the equation.  It can be a mutually beneficial relationship for the buyer, the builder and both of us.

Posted by The Keith Kropp and Wayne Rogers Team, Keeping The Focus On You! (Atchley Properties) about 6 years ago

The rep in the sales model office only represents the builder/seller -- buyers often do not understand this.

Posted by Bob & Carolin Benjamin, East Phoenix Arizona Homes (Benjamin Realty LLC) about 6 years ago

Gita,  This is an important message for buyers.  Thank you for this post!

Posted by Sharon Parisi, Dallas Homes (United Real Estate Dallas ) about 6 years ago

Gita well said, thank you for sharing!!

Posted by EMILIA B COOPER, REALTOR® SFR.NCHSE.AHWD, Short Sales, Foreclosure & Bank Owned Real Estate (LAROSA REALTY) about 6 years ago

Very important points, Gita, and rarely addressed. Thank you.

Posted by Lottie Kendall, Serving San Francisco and the Silicon Valley (Pacific Union International) about 6 years ago

I always struggle with this.  i hate it that the builders take over my client.  I warn them and stick with them as much as possible.

Posted by Gene Riemenschneider, Turning Houses into Homes (Home Point Real Estate) about 6 years ago

Gene:  It all depends on your relationship with that individual builder's on-site rep.  Also... I try whenever possible to match both my way of doing things, and my buyer's way... with that of the on-site rep... so there will be as little personality conflict as possible.  It is important that the buyer feel at ease.

Posted by Karen Anne Stone, Fort Worth Real Estate (New Home Hunters of Fort Worth and Tarrant County) about 6 years ago

There are many aspects of working with buyers purchasing new construction. Your point about the builder's agent representing the builder is the most important point! A good reminder also is that when they are steering the buyer to the builder's owned lender and builder's owned title company extra due diligence is required. I am a firm believer that the builder is NOT usually giving the buyer the best loan.

Posted by Dora Griffin, NMLS 6380 (D A Griffin Financial.LLC) about 6 years ago

I was a site agent for many years. Not all agents are created equally so if you know your customers and want to really protect them, I suggest you be there the whole time.

Posted by Nan Jester, Realtor, Exit Real Estate Gallery (Exit Real Estate Gallery Jacksonville Beach, FL ) about 6 years ago

Excellent post! I always go with my clients to explain the process but also make sure they hire an outside inspector before closing to come up with a punch list as it has been my experience that most new builds have more things that need fixed or tweaked than re-sales so it's invaluable to get an inspection done by someone not affliated with the builder. Another thing is to reveiw all the paperwork and keep on the builder to make sure they are meeting the timeline. Good luck!!

Posted by Arizona Home Group RE/MAX Excalibur (The Arizona Home Group) about 6 years ago

HI Gita,

Buyers Agents! HA. Too many "real estate license holders" think they are buyers agents when they do nothing to protect their buyers!

Posted by Tina Maraj, #1 Selling Agent in Fullerton 2016 714-403-7901 (RE/MAX North Orange County) about 6 years ago

This is good advice. I hear from a lot of people they did not get what they expected with their new construction.

Posted by Wayne B. Pruner, Tigard Oregon Homes for Sale, Realtor, GRI (Oregon First) almost 6 years ago

Michael, I agree. First time buyers may not know anything about the buying process.

Bob, I agree.

Roger, I do not mind showing my listings if the agent cannot show it. 

Marte, thank you.

Hella, I hope there will be more new construction in your area.

Posted by Gita Bantwal, REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel (RE/MAX Centre Realtors) almost 6 years ago

Joe, Builders use their own forms and buyers may not be aware of some of their rules.

Susa, I hope buyers will read your comments.

karen, You are a good buyer agent.

Posted by Gita Bantwal, REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel (RE/MAX Centre Realtors) almost 6 years ago

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