Buying a brand-new home has obvious appeal—everything is fresh, modern, and move-in ready. But if you’re working directly with a builder, you might wonder: Do I really need a real estate agent for new construction?
The short answer is yes. While builders have their own sales teams (often called builder’s agents), those professionals are hired to represent the builder’s best interests—not yours. That means you could be going into one of the biggest financial decisions of your life without someone truly in your corner.
From negotiating upgrades to reviewing contracts and spotting hidden costs, a real estate agent can be an invaluable ally when buying a new build. Here’s why bringing your own agent to the table can save you money, reduce surprises, and help protect your long-term investment.
What is a builder’s agent in new construction?
When you buy a new construction, the home’s builder is considered the seller, and the agent representing the builder is called the builder’s agent.
“The builder’s agent will always have the builder’s best interest in mind,” says real estate agent Jason Walgrave, with Re/Max Advantage Plus, in Lakeville, MN.
After all, the job of the builder’s agent is to get the highest price for the homes the builder is selling so the agent is not going to be as eager to negotiate down.
Why you still need a real estate agent when buying a new build
It’s a smart move to bring your real estate agent with you on your first visit to a new construction site—or at the very least, make sure they’re properly registered with the builder beforehand.
The builder is usually the one paying the buyer’s agent’s commission, and many builders require that agent to be present or registered at the initial visit in order to qualify for payment.
If you show up without your agent and start working directly with the builder’s sales rep, some builders may refuse to pay your agent’s commission later. That can leave you without representation—or footing the bill yourself if you still want their help. To avoid that, always notify the builder in advance (or at check-in) that you’re working with a licensed agent.
Taking this step from the start ensures your agent can advocate for you through every stage of the build.
“Your real estate agent’s job is to help you get the most value for your money, with the least hassle and frustration,” says Patrick Welsh, a real estate agent with Keller Williams, in Houston.
When buying new construction, here’s what your real estate agent will help you with that you might miss out on if you stick with the builder’s agent:
Your agent can negotiate upgrades
Want upgraded counters or appliances in that new home? Your agent can help you with all those extra perks, amenities, and upgrades. “We can often negotiate with the builder on things like paint color or even the style of garage door, especially if the housing development is in the beginning stages,” Walgrave says.
Your agent can connect you with the best lender (for you)
A builder typically will have a “preferred” lender that it will try to steer you to, but your real estate agent can help make sure that you’re getting the mortgage that works best for your situation. Shopping around is always wise, and you don’t want the builder’s agent pressuring you into using their suggested professional unless it’s right for you.
Your agent will push for a proper inspection
Tempted to forgo a home inspection in new construction? Don’t do it, advises Welsh. “The number and severity of new-home defects often rival resale home problems,” he says.The builder’s agent is unlikely to push for or offer up an inspection, so it’s up to you and your real estate agent to make it happen.
How the builder’s agent can help you
All that said, the builder’s agent can be a valuable resource for learning about your potential new home.
“They are knowledgeable about the construction and available amenities, as well as the housing development and general community vibe,” says Walgrave. You can rely on the builder’s agent for background information—just don’t make this individual your sole point of contact on the buying and selling process.
Everyone wants to walk away from buying a home—whether it be a new construction or not—with peace of mind. Having a real estate agent in your corner will help facilitate that.
This post was originally published on www.realtor.com
