Triangle housing market (sales, real estate, mortgage)

[MA_II_NC]

Is NC housing market manipulated by the builders?
Here is couple of things that I had noticed:
1.You have to always work with builder’s loan provider in order to get any deal from the builder.
2.Most of the times real estate agents do not look for previous sales in the area.
3.Looks like even the property appraiser work with builder and ignore the previous sales

[ClassicKL]

Originally Posted by MA_II_NC

Is NC housing market manipulated by the builders?
Here is couple of things that I had noticed:
1.You have to always work with builder’s loan provider in order to get any deal from the builder.
2.Most of the times real estate agents do not look for previous sales in the area.
3.Looks like even the property appraiser work with builder and ignore the previous sales

I am not sure who you were working with but you should be able to get the Lender you want, As well as the appraiser and if you feel like something is not right then just move on. That's my best advice. I recommend using people I have worked with before if they are good at what they do and that is simply the only reason.

[House Lady]

as to 1) what happened to you 2) did you have your own agent or are you
referring to a listing/builder's agent?

[DanielChang]

I'm not sure I follow. Would you mind elaborating what you mean?

Do sellers manipulate buyers into buying houses that the buyers don't want and features that the buyers don't need? Is that what you mean by manipulating the market?

[sneezecake]

Only if you are ignorant will the three things you named affect your personal buying decision.

As for builders, they "manipulate" the market in every area where they are building...they're going to do what's best for them to sell homes and sell at a good price - everyone should know they have a right to a) use whatever lender they wish, b) find a RE agent who will show them homes based on their want-list, and c) find an unbiased inspector.

Anyone who gets a lousy deal because they didn't do any of these last three things (and got the lousy deal BECAUSE of that) isn't a victim of the builder, they're a victim of their own ignorance.

[Funky Chicken]

Either you don't have a buyer's agent or you need to replace the one you are talking to.

Educate yourself and get someone to represent YOU.

[rcarrillo]

It seems like a buyer is referring to builders that REQUIRE you to use inhouse lenders to get any of those "super-duper specials". They offer $10,000 in "closing cost or incentives" but you MUST use their lender, appraiser and attorney.

The buyer has two options:
1) Pass on the incentives
2) Find another home to buy


I do find it very unfair and prone to manipulation and fraud. That is why a very well known builder is under investigation by the NC attorney general for their mortgage practices and incentives. A few builders have also closed their lenders (including the one I am referring to) becuase of bad press or bad business practices.

In these cases a buyer needs to be aware that you are NOT THE CUSTOMER. The lender is an affiliate or a part of the builders company, just as their sales agents are NOT there to protect their interest. They are SALESPEOPLE and are there to represent the builder and sell a product and generate maximum revenue for the builder. The lender is there to facilitate that sale and wants to make the builder happy, which may or may not result in the buyer receiving the best terms.

Some in-house lenders are fair and honest and offer great savings to a buyer.... but you must be an educated and cautious consumer at all times.