Most people are unaware that when they go into the sales office for a new condo development, the sales staff there to help you work for and represent the interests of the builder so it’s a good idea as a potential buyer to have your own representation with you.
Retaining your own real estate agent to represent you in your new construction condo purchase won’t cost you anything and could actually end up saving you plenty of time and money. A good real estate agent not only represents you in the transaction with the builder, but also ensures you understand the process of what you are buying and clarifies all the hidden costs of your purchase.
In buying a new construction condo prices are not negotiable however your real estate agent can negotiate that certain charges like builder administrative fees or community and education levies be taken out or capped.
In launching a new condo project, builders have VIP events in which they invite real estate agents to bring their clients prior to opening the project up to sell to the general public. This gives your realtor the opportunity to obtain the best floor plans and the best prices for you.
Even though your own real estate agent’s commission is paid by the builder, your agent is independent of any particular condo developer. Therefore your agent can educate you as to all the new developments that may be coming up without bias to a particular builder or condo development.
How do you know the price the builder is asking is fair? Price guidance and comparison may be the most important asset of retaining your own real estate agent when buying new. Not only can your real estate agent inform you of current market conditions in the new construction and resale markets, but your agent can also provide you with asking prices of units in similar developments and what comparable units in newly built buildings are selling for on MLS.
A good real estate agent will be able to give you insider knowledge of the neighbourhood as they are aware of new construction proposals for both new residential and commercial building projects that are coming down the pipeline and even paint a picture as to how the neighbourhood skyline will look two or three years down the road when your new condo building is finally finished.
Why limit yourself to just one project? The builder’s sales staff are only familiar with their own units in their own project. Not only does your own real estate agent have access to information on all the new condo developments in your neighbourhood but a good real estate agent is also aware of buying opportunities of new construction units for you in the resale and assignment markets as well.