Why You Need Your Own Agent for New Construction

By John Salkowski

The JRS Realty Group, founded by high-producing Real Estate Broker & Author John Salkowski was built on the notion that the secret to achieving incredible goals and getting true results is to dominate real estate with a team approach.

I’ve got another episode of Ask John, and this question came in through a direct message on social media: “John, when buying new construction, do I need my own representation?” It’s a great question, and the answer matters more than most buyers realize.

New construction is a fantastic option when you’re buying a new home. But here’s the thing you have to understand before you ever walk through the door.

1. The agent at the sales center works for the builder. When you walk into a new construction sales center, that sales representative represents the builder. It’s the builder’s agent, and that agent is looking out for the builder’s best interest. So here’s my question for you: who represents you? Yourself? Think about that for a second.

You don’t do this every day, and you’ve just walked into a sales center about to make the largest financial and emotional transaction of your life. There is a lot that goes on behind the scenes.

2. There’s more to negotiate than you’d expect. This is exactly why I tell people who want to work with me to call me before they walk into new construction, so I can either go with them or call the sales center and register them as being represented by me. There’s a lot that goes into this: lot location, upgrades, financing, inspections, and resale value. A lot of buyers end up representing themselves while the agent across the table represents the builder. And if anything happens, that agent is going to protect the builder. Most of the time nothing goes wrong, but all it takes is one mishap and, if you’re unrepresented, now you’re hiring an attorney to sort it out.

3. Walk in alone, and you may lose the chance to be represented at all. This is the biggest mistake I see buyers making: going into new construction sales centers unrepresented. A lot of builders have rules that if you walk in without your agent, that agent can’t represent you afterward. In most cases, not all, but most, the builder requires your agent to be there with you from the start. So don’t make that mistake.

If you want to be safeguarded and protected, then yes, I recommend having your own representative handling the negotiations for you. And this isn’t about putting an agent’s name in and having them do nothing for their fee. When you work with me on new construction, I’m there with you at every phase of the building process. I’m your eyes and ears, looking out for your best interest.

It’s truly up to you, but I don’t recommend walking into new construction unrepresented, because that agent sitting at the desk in the builder’s office represents the builder. Remember: the most important decision you’ll make when buying or selling your largest financial and emotional transaction isn’t about location. It’s about the broker you hire.

If you’ve got a question you’d like featured on the next Ask John, send me a direct message, leave it in the comments, or send me an email. Call or text me at 610-709-5147, email me at john@jrsrealtygroup.com, or visit thejrsrealtygroup.com. I’d love to help.