Using a realtor for new home build? - Dallas - Texas (TX) - Page 4 - City-Data Forum

socketz · 05-26-2007, 05:50 AM

Quote:

Originally Posted by socketz

Momof3fromCali,

Can you share with us where you purchased a home ? Also, was there anything about the home that may be considered undesirable and would force a discounted sale ? Is a Walmart behind you or maybe a busy road ? Even then, 21% seems like alot. I know some people in places like Kings Ridge that discounted heavily because the train ran so close to their home. Also, I heard that homes with the Master BDR upstairs can be discounted as much as 20%.

Silence ? I think we'd all like to know how you beat the system. I want to buy me one of these 20% off homes (if I approve of the area) then resell it once the area builds out.

KBilly · 12-27-2007, 07:52 PM

Quote:

Originally Posted by momof2dfw

If you are building a true custom home then no you do not need a realtor. ..............

True... that is it, in a nutshell. Emphasis on the underlined part. Double emphasis on the bolded part.

If you are doing that, you already are smart enough to know what the land is worth, or you already own the land. A realtor is complete and utter waste of time in a situatoin like that. How do I know? We did it 2 years ago. It was painless. Get a lawyer to review your contract and forget about a realtor with your true custom build.

However, if you cannot meet the underlined part, then travel carefully. A home where you get to choose from a cornucopia of styles and designs, and finish-outs and rooms, and bonus rooms and landscaping, and fixtures and wall coverings, is NOT a custom-built home. A custom built is home is designed from scratch. And once you have paid for that scratch, then and only then do you start a contract to build and decide the rest.

KBilly · 12-27-2007, 07:57 PM

Quote:

Originally Posted by constancek

............ I would no sooner throw $200,000 into the stock market without the advice of a financial planner than I would buy, sell or build a home without advice. Realtors are highly trained individuals who know the best builders and, how to get you, the client, the best savings, and what will resale and what will not. So when you are considering buying or building a new home, do yourself the biggest favor and find a Realtor to take along with you. Your equity in your new home will start right there!

I bet your SIGO is a finacial planner!

Equity in a home is not defined via the expense paid to a realtor for advice not needed in a custom build. But, hey, nice marketing try!

helpRhome · 12-28-2007, 04:59 PM

RELATOR Comment: May I suggest one point that many will forget as they choose to build or buy new homes? Yes you can choose the home and you can negotiate the home and you can hire an inspector for the home whose job it is to make sure you aren't getting into the wrong deal.When you need the REALTOR is really when something goes wrong. My daughter (grown) is now appreciating mom a bit more these days as she is in the middle of a trade on her home.Mom's (my) idea and it's working but, she is realizing how much work and timing is involved in making sure that everything happens in the timeframe that you are hoping for. A builder dosen't have much motivation to make certain that you close on time and even if your current home is sold and you are in a truck-the house may not get done on time. so one of the tiny things a REALTOR knows to do is to make sure there is a penalty clause in the contract. IF you just stop by and sign the builders version that will never appear-Why would they shoot themselves in the foot? So you see there are reasons to consider hiring someone who has been there and survived and wrenched with others so that they know what to do today! To make the best move you are still better off in professional hands!

KBilly · 01-02-2008, 03:58 PM

Quote:

Originally Posted by helpRhome

RELATOR Comment: May I suggest one point that many will forget as they choose to build or buy new homes? Yes you can choose the home and you can negotiate the home and you can hire an inspector for the home whose job it is to make sure you aren't getting into the wrong deal.When you need the REALTOR is really when something goes wrong. My daughter (grown) is now appreciating mom a bit more these days as she is in the middle of a trade on her home.Mom's (my) idea and it's working but, she is realizing how much work and timing is involved in making sure that everything happens in the timeframe that you are hoping for. A builder dosen't have much motivation to make certain that you close on time and even if your current home is sold and you are in a truck-the house may not get done on time. so one of the tiny things a REALTOR knows to do is to make sure there is a penalty clause in the contract. IF you just stop by and sign the builders version that will never appear-Why would they shoot themselves in the foot? So you see there are reasons to consider hiring someone who has been there and survived and wrenched with others so that they know what to do today! To make the best move you are still better off in professional hands!

None of that has anything to do whatsoever with building a custom home. You don't need a realtor to vet a contract for a custom home. Anybody doing such a build: 1) has enough money to do it, and, 2) is smart enough to have a legal review of the contract, and, 3) is smart enough to leave a realtor out of it.

Why would anyone pay a realtor 3% of a final cost not determined till you move in? Why would anyone pay a realtor 3% to sit around for 9-24 months, waiting to advise if something goes wrong? Does the realtor get involved when the builder's subs are a week late to finish-out the bathroom? I think not.

Any and all of that stuff is best done between the custom builder and the custom owner and (any lawyer or arbitrator they may have if it heads south). To involve a realtor, whose job it is to list and sell/buy existing houses, is a complete and utter waste of money (and time) in the building of a true custom home.

jcl_cls01 · 01-04-2008, 09:09 AM

Builders usually give 3% commision to realtors representing a new contruction client. We negotiated with our Realtor/Real Estate Broker to split her 3% commision in half (paid from the builder to her) and apply our 1.5% towards our upgrades. Even though we did all the work ourselves (due diligence, research, model tours, negotiaitions, meetings, etc...) she ended up with 1.5% commision for having her name on the contract. I believe only Real Estate Brokers can work with you in splitting the commision, not agents. Send me a message if you need a real estate broker who can work with you in splitting the 3% commision and apply towards your new build. She was very helpful in the finance part of the paperwork since I am a first time buyer. I shopped around with a few brokers and most were only willing to give up 1% which I refused since I am the one buying the house and doing all the work.

rosadelic · 01-04-2008, 10:01 AM

We are in our second new home, and both times we purchased without a realtor. I know for a fact that it helped us get a better price. I really see no need for a realtor on new construction. I'm sure that will irk some of you, but there it is. There is no way anyone will ever convince me we should have done otherwise. A good inspection, a good attorney, yes. Realtor? For what? I think if you are clueless regarding real estate and/or don't want to take the time to do your homework, great, get a realtor. But you will definitely pay the 3% for it. It doesn't come from nowhere, so it's going to come from the sales price. In both instances our home was purchased well below the average sf price. Sold the first by owner for a nice profit, and the second is on the market now and looks to be doing fine.

cmking · 01-08-2012, 02:53 PM

<P>The only realtors that I know that would split a 3% commision are desparate for a sale (you get what you pay for) or they are a relative.  I believe that it is wrong to ask even relative for a split commision. Do you want to be paid half of what your supposed to make for doing the same work?  We meet with buyers and sellers briefly but there are lots of behind the scenes things that we do to work hard for our commisions.  </P>

loves2read · 01-09-2012, 07:29 AM

why are u responding to posts from 3-4 yrs ago???

VMoscher · 07-04-2013, 04:34 AM

I see realtors giving a lot of false and bad advise on this forum. I bought my current home without an agent and reduced my home purchase price by over $ 6,000 in lieu of a buying agent's commission. The title company does all the work anyway. The agent just does a show and tell service. Sorry agents, those are the facts.