What You Should Know About New Home Communities
All new homeowners eagerly await the day that they are to take possession, but no one seems to be as enthusiastic as new home construction owners. Perhaps it is the process of watching their dream homes being built from scratch, or maybe it is because they have control over nearly every part of the design process. New constructions are nearly guaranteed to grow in value so long as they are properly maintained.
New home builders have bought huge tracts of land all over the country and now they are kind of stuck. Some of this undeveloped land hasn't been subdivided yet, and there are even new home communities that are beautiful hubs of activity on one side with hills of dirt on the other. It is easy to walk into a model home, see a low listing price and become completely sold. What you should not do is put down a deposit or sign any type of agreement you have time to think over your decision, preferably with the assistance of a real estate agent or a financial advisor. Contracts are always written to benefit the builder so don't enter into a purchase agreement without going over the terms, reviewing your finances and comparing other local builders first.
Picking a home site will probably be the least difficult part of the new home construction process. You may opt for a corner lot or you may want to live towards the front of the community. What you should do is take a look at the site before you make a decision. A lot may look a lot bigger or small in person than it does on paper. Be sure to bring a measuring tape so that you can estimate how much space you will have left over after your new home is built.
Since you will be picking out your own floor plans, designing your home and selecting a home site you will want to know what the other homeowners in your community prefer. Ask about the building materials used, down to the carpeting, drywall and fixtures. A warranty from the builder may cover anything concerning the structure of your home but you will need to ensure that you get separate warranties for your appliances.
There are new home construction companies that have been around for decades are there are some that are fairly new in the game. The number of years that a builder has been in business is not always an indicator of quality, but it does show that they know how to build homes that buyers love. Check with the Better Business Bureau, and the National Association of Home Builders for more information on the reputation of builders located near you.
The single most important thing that you should do is talk to the existing homeowners that live in the community you are interested in. Try to speak with residents that have lived in their new home constructions for at least a year. Most new homes have issues here and there, but you will need to find out how your builder handles these problems. Also, make sure that you take note of any major problems such as leaking roofs or faulty plumbing systems. This can be an indicator that the builder takes too many shortcuts.
During the construction process you will have several opportunities to come and see the process. After the foundation of your home is poured it is imperative that you check for cracks and fractures. A home that is build on an unstable foundation is bound to have problems for years to come. The construction supervisor on hand will be able to answer all of your questions, but having a home inspector come out will give you better piece of mind.
Many home builder have in-house financing, but you should not feel obligated to work with any particular lender. These companies will offer you incentives, perks and even discounts, but you need to pay careful attention to both the interest rate as well as the clauses included in your contract. Sales agents stand to make large commissions for every house that they sell, and if you are not working with a real estate agent then they will get twice as much money. For this reason most housing experts agree that it is not a good idea to work with an agent that represents both parties.
Keep in mind that you will likely be living in this house for decades so make sure that your builder is an ally rather than a friend. You will be spending hundreds of thousands of dollars, and when everything is said and done your builder will move on to service other customers. Don't be afraid to say no, and ask to speak to a supervisor if you are not getting the answers that you need.
When it comes time to settle on your home choose a closing date that is convenient for you. Conduct your walkthrough, sign off on the mortgage documents and get ready to move into your new house. Go over your copy of the homeowners association rules and get ready to enjoy your home that was built to spec.