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Residential Construction on the Rise
Many folks who work in Real Estate see new construction as "the enemy." They worry that builders will take all the buyers away.
However, savvy Realtors, Mortgage Pros, & Insurance Agents will educate buyers on how they can help, while they both partner with & compete with builders.
Realtors: Be prepared to educate buyers. Many have misconceptions about new construction. Below are just a few:
1) New construction is way more expensive
2) Realtors don't work with new construction
3) Dealing directly with the builder is cheaper
4) Builders don't negotiate price
Mortgage Professionals: First, does the builder have an affiliate lender, and do they offer any incentives to use them? Then the next big question is whether or not the builder will fund construction or if the buyer will need a construction loan. If the former, there's usually a shorter "Stip Sheet." New construction usually means much less to worry about when it comes to Stipulations that need to be met before closing. Builders usually already have surveys and elevation certificates; there shouldn't be any need for insurance inspections; etc.
Insurance Agents: Does your client need insurance during the construction process? Once it's time for an Insurance binder, there shouldn't be any need for insurance inspections of the property. 4 Point Inspections are usually only required for homes that are 20 years old or more. The latest Florida Building Code (FBC) change for Wind Mitigation was 2002. Obviously a new home meets the 2002 FBC.