7 TIPS FOR BUYING A NEW CONSTRUCTION HOME

7 TIPS FOR BUYING A NEW CONSTRUCTION HOME



In Highlands Ranch, a new construction home averages $550k-$750k for a home with 2,200 to 3,900 square feet – or roughly $250-$440 per square foot. While the average median sale price per square foot in Highlands Ranch is $211, a new construction home provides the buyers the luxury of having a brand new, move-in ready home.

There are many new housing developments throughout the Denver area, search for them here.

1. FIND A REALTOR NOT ASSOCIATED WITH THE BUILDER

Like buying any home, find a realtor who does not represent the other party. This ensures that you have a professional who has your best interest at heart. Most builders have realtors that they recommend – these realtors prioritize the builder’s interest and there is little chance that you will a good deal. Search for realtor with local neighborhood experience as well as new construction purchases.

2. GET EVERYTHING IN WRITING

Some builders will make a lot of promises – from promising to when the home will be complete or covering closing costs, to what fixtures or flooring is included in the home – to seal the deal on a new home. However, the builder is not liable for any verbal promises made during the home buying process. Be sure that all verbal promises are written into the contract, so builders are required to fulfill those promises.

3. KNOW EXACTLY WHAT IS INCLUDED IN YOUR NEW CONSTRUCTION HOME

When you tour a model home, it will often have the highest grade of finishes – granite countertops, hardwood floors, stainless steel appliances, roof material, even lofted ceilings. Know that most of these finishes will add additional costs to the baseline price. Some builders offer a few different levels of finishes packages, but some do not. Be sure to know exactly what is included in the home.

4. READ REVIEWS ON THE BUILDER

There are a wide variety of builders in the Denver area – many are national builders, some just build in the Denver area. Research every builder you are considering. If they are a national builder, look at their local reputation, it may vary greatly from their national reputation. Check independent rating site likes Houzz or HomeAdvisor to read reviews and help you find a reputable builder.

5. GET A WARRANTY AND A HOME INSPECTION

Just because you are buying a new construction home does not mean that you do not need an inspection. Hire an inspector to make sure the entire home is safe and everything was built to code. Some builders will also offer a warranty on a new home for a year or more. Be sure to read the fine print of the warranty offer and know exactly what s included and excluded.

6. FIND THE RIGHT LENDER

Builders will have relationships with local lenders to help buyers get financing. While it may be easier to get financing through these lenders, you may not be getting the best deal. Check with other independent lenders to see if you qualify for a lower rate.

7. ASK FOR LEFTOVER PAINT, TILES, GRANITE, CARPET, ETC.

Most builders give buyers leftover paint for touch ups. But also ask them for any extra tile, carpet, or granite scraps. This will help you match these materials when you decorate your home or decide to change or renovate your home.