You decide you want to buy or build a new construction home, which is a very common scenario in Southwest Florida. The listed price on the home is a little higher than you’d like it to be, so you wonder if you can negotiate and get that price lowered.
The short answer? Everything is negotiable.
However, you may need someone to help you navigate this process in order to make it beneficial for you, the buyer.
How do we know this? We helped clients buy a new construction house for $80,000 LESS THAN THE LISTED ASKING PRICE. No lie.
When it comes to New Construction pricing, there are three common scenarios: a house that is starting from scratch, a house being built or built with no buyer (inventory), and a new construction resale home. At all three stages of this process, there are ways to negotiate the price. (And it definitely helps to have a good real estate agent who can help!)
2.Inventory or Move In Ready
If a house is being built and all design choices have already been made, but there is no buyer for the home, this is a second scenario where you can try to negotiate a better price for the home. The builder will determine a price based on the choices made for design and construction. However, that price is never set in stone because they want to sell the house and therefore might be willing to work out some incentives or discounts on that price to move the house, rather than let it be built and sit there for a long time. There is more motivation here, so you can negotiate more. If the home is built as an inventory home and just sitting there waiting for a buyer, that is a GREAT opportunity to negotiate. This is the scenario we helped our clients get a home for almost $80,000 less than what the home was listed as. The builders want to sell the house and that puts you in a great position, as a buyer.
3. New Construction Resale
This is a less common scenario, but with so many houses being built recently, there may be a situation where a new construction home built in the last year or so is already being sold. Maybe the owners got relocated or are moving for personal reasons – whatever the situation is, that home is practically untouched. Therefore, you have a great opportunity to get something NEW and DONE! You may not have much negotiating power on the price, but that all depends on how quickly those sellers need to sell. We just had clients purchase a brand new home, built last year, for far less than it would have cost to build the same home because the seller was relocated for work and needed to move, ASAP. So it was a win-win for both parties!
Overall, your chances of negotiating the price on any new construction home are pretty good, and using a real estate agent that knows the process and the market well can help you even more.
If you need someone in the Lakewood Ranch or Sarasota area, feel free to contact us! If you are looking elsewhere, we are happy to refer you to a great agent.