Kristin Johnson

  • About Me
  • Meet Our Team
  • Blog
  • Mortgage Info
    • Buying or Selling a Manufactured Home
    • Docs Required for Prequalification
    • Your Home Loan Process
    • Buyer Info
    • Seller Info
    • Closing Costs
    • Home Appraisal
    • Home Inspection
    • Loan Checklist
    • Loan Process
    • Loan Programs
    • Mortgage Glossary
    • Mortgage FAQ
  • Apply Now
  • Contact

Archives for November 1, 2018

How To Cut A Great Deal On A New Home Construction

November 1, 2018 by Kristin Johnson

How To Cut A Great Deal On A New Home ConstructionSavvy home buyers often get great deals on new home constructions by asking for deals and discounts and doing some up-front research. 

Home builders often dislike offering steep discounts in sales prices because they want everyone in the community to feel like they bought their property at a fair price. Maintaining sales prices also helps with future home appraisal values. It helps all of the buyers in a neighborhood to keep sales prices consistent and growing. 

Fortunately, you can still get great discounts that can reduce the cost of your new home.

Ask the builder if they can do the following:

Settle Closing Costs 

Closing costs vary depending on your state. On average, the costs can be as high as $10,000. In Colorado, for example, a standard closing is about 3 percent of the selling price.

It’s important to note that closing costs vary widely and can be structured in many ways. Make sure to consult a trusted mortgage finance professional to get the best information on your situation. But if the builder pays the bill, that money remains in your pocket. Isn’t it a great discount? 

Buy Down Your Interest Rate 

Although interest rates are low, if a builder is willing to buy down your rate further as part of the closing, it would reduce the amount you pay monthly in interest on your mortgage payment. That makes it manageable in the long run. Once again, your mortgage professional can give you the best details on this idea.

Offer Free Upgrades 

Most homes have standard built in appliances. To get high-end appliances, home buyers normally have to pay for upgrades. Ask your builder if you can get the upgraded home appliances or other upgrades without paying extra. It’s a great strategy to move into an improved new home. 

Additional Discounts 

To sweeten the deal, home builders can throw in additional discounts such as automated garage doors, landscaping, finished basements and window coverings. These discounts are worth asking about.

Although these strategies are great, there are some situations that make it more difficult to get sales concessions. Therefore, as you negotiate, keep the following in mind: 

  • If business is going great, deals become more unlikely as builders have little motivation to give discounts. 
  • You may not end up with the perfect home you want since you may be buying a home that’s near completion or already built. 
  • The best home locations may be taken because properties in prime lots are usually the first to sell. 

Knowledgeable buyers are most capable to cut great deals. Therefore, research new construction homes in your preferred neighborhood, visit some homes and compare what deals you can get. Above all, don’t hesitate to ask questions of your trusted real estate and mortgage professionals.

 

Real Estate Tagged: Home Construction, New Home, Real Estate

Kristin Johnson

Contact Kristin


OFFICE 970.460.9607
CELL 303.875.5686
FAX 303.864.7555
kristin.johnson@csbt.com
NMLS #501966

APPLY NOW  
GET A RATE QUOTE

Let’s Keep In Touch!

  • This field is for validation purposes and should be left unchanged.
November 2018
M T W T F S S
« Oct   Dec »
 1234
567891011
12131415161718
19202122232425
2627282930  

Categories

Previous Posts

Looking For Something?

Equal Housing Lender
NMLS Consumer Access

Where We're Located

map to office
Directions from I-25
• Take Exit 392 for Windsor and head East.
• Go 3.5 miles and take a left onto 12th Street.
• Take first right at West Ash Street.
• Turn right into the first parking lot/office building complex. The building has green awnings.
Please call if you need assistance.

Copyright © 2019 Kristin Johnson  ·  All rights reserved   ·   Log In