Caveats of New Construction.
In today’s market and especially in the Nashville area, many buyers are choosing to purchase new construction homes. There are great incentives, ample inventory, and perks of having a brand new home with little to no maintenance. There are unique caveats of new construction, so here are a few…
You might not always get the customization options you expect. Many times, especially when the builders have broken ground on your property, all selections are already made to avoid supply chain issues. Depending on the builder, community, etc., you might still have the option to swap a few things out, such as paint, hardware, and interior fixtures. Your agent will be able to help determine what opportunities for customization still exist on a home, which can always be negotiated into an offer as well.
Depending on the length of contract to close (aka how long until the house is ready for move-in), you might need to get pre-approved by a lender an additional time or lock in an interest rate, so make sure you’re communicating with your lender and agent that you’re interested in new construction.
Your closing date can change (a lot) with new construction. I am a victim of this one. While many things are predictable in the build process, some things are out of the builder’s control, such as waiting on permits, bad weather preventing construction, supply issues, etc. This might alter the close date, so make sure you have a scheduled walk-through with your agent bi-weekly, monthly, or whatever makes sense for the timeline of your build so that you are aware of any delays occurring. If there is any way to cushion your closing date with some overlap of your current rental or home, that is always a good idea with new construction
Lastly, purchase price typically isn’t something a builder will budge on (mostly applicable in communities, custom builds might be different); however, there’s many other incentives that can be negotiated to benefit the buyer. Think flex cash towards closing costs or rate buy-downs from the builder or lender, upgrades at no extra charge, and additional appliances to be included.
