When only new will do
A brand new home means you dont inherit stained carpets and patchy paint but there are pitfalls.
So says Berry Everitt, MD of the Chas Everitt International property group, who has the following tips to help you negotiate the purchase of a new home:
* If you have to sell an existing home in order to buy a new one, appoint your own selling agent. Resist any high-pressure-selling tactics on the part of agents employed by builders or developers, and remember they are often paid less than the going rate of commission so are looking for high turnover.
* Do not automatically deal with the bank or institution associated with the developer. The developer might prefer you to use the designated bank since it makes his life easier but you might be able to negotiate a better rate elsewhere.
* Take the offer to purchase document to your attorney before you sign it. Standard contracts may not properly protect your rights as a buyer.
* Make sure you understand what options and upgrades are available and what the additional cost would be. Many developers offer buyers a choice of finishes but stipulate that choices must be made before a certain date, failing which, the developer may make a choice on your behalf. Also bear in mind that the bulk of a developers profit may come from upgrades.
* If you do choose upgrades, make sure that the cost will be covered by your home loan or that you have cash in hand to pay for them.
* Find out exactly what guarantees the developer is offering and how any defects will be remedied.
* Make sure that the site will be cleaned and all rubble removed before the occupation date, and find out whether or not the sale includes landscaping.
Article by: www.chaseveritt.com