New Construction

Commitment is what transforms a promise into reality.

It’s important to keep in mind that the builder’s agent is working on behalf of the builder and does not have your best interests at heart. When you hire us, it doesn’t cost you anything because the builder pays our commission and you get the benefits of having a Realtor represent you.

When visiting new construction homes, always be sure to tell the on-site agent that you are working with an agent.

What to Expect During Negotiations

In a seller’s market, keep in mind that most builders are not going to negotiate aggressively on the price, especially when there is a shortage of inventory.
Lender incentives are sometimes provided by the builder if you use their preferred lender.
In a seller’s market, upgrades are often non-negotiable.
In a buyer’s market, we have more room to negotiate .
Refrigerator, washer, & dryer are not typically included in the cost of the home.
When buying an existing home, we can often negotiate for sellers to pay your title insurance policy. In new construction, builders almost always pass on the title policy cost to the buyers.

Overview of Builders Contracts

Most new construction contracts are drawn up by the builders attorneys and are not the standard Tennessee Association of Realtors (TAR) contract.
Builders will often provide a builder warranty that lists everything that they will cover the first year you are in your home. (We will review this prior to submitting an offer.)

Builder Upgrades

We suggest factoring in anywhere between 5K-20K in upgrades when looking at new construction properties.
We will try to obtain a list of upgrades prior to signing a contract.
You typically have a certain timeframe after signing a contract to select these upgrades.
Change orders are additional charges if you decide to make changes after you have made your final selections .This can get costly so make sure you are okay with the finishes you selected before signing a contract.
Change order monies as well as upgrade costs are typicalIy charged to you at the time and they cannot be rolled into the loan.

What to Know Before Buying New Construction Home

Buying a new construction home is a different process from purchasing a previously owned home. Here are a few things you should consider whether new construction is right for you.

New Construction Build Time

Depending on square footage and the time of year, build time can be anywhere from 6 months to a year. If you are looking at a spec home, the home will most likely be completed in less time depending on how far along in the process the builder is.

It is important to remember that builders are just providing a general time range and these dates are often pushed back several weeks or can be moved up if the builder is moving quickly. We would not suggest scheduling any movers until the certificate of occupancy is provided and we have a finished product.

There are a lot of details that go on behind the scenes with new construction. It may look like a builder is not moving quickly, but it is important to remember that they have to have building code inspections and certain approvals before they can move forward with the building process.

Home Inspections

You have the right to schedule an inspection. We suggest doing an inspection prior to your blue tape builder walk through so that you have a list of all items that need repair, improvement or need to be completed. You can then have the home re-inspected for an additional charge after the builder completes the necessary repairs that they agreed to complete.

Please note builders often only complete repairs that are in compliance with building codes. If the item is not a code issue they will more than likely not complete the repair.

Blue Tape/Final Walkthrough

Builders will schedule a blue tape walkthrough and one final walkthrough with you and your agent prior to closing on your home. This walkthrough typically takes place 5-7 days before closing.The builder will go over the inspection report with you, walk you through the home to show you how specific items in the home work and you will have the opportunity to tape off areas that are in need of improvement.

This includes taping off areas that need paint. Please make sure you are diligent during the walkthrough as most builders will not repair additional items that are not covered in the builder warranty after the final walkthrough.

Home Appraisal

An appraisal will not be ordered by the lender until the home is complete. Some loan officers will order an appraisal prior to completion but you will be charged an additional fee for the appraiser to come out and do a second appraisal. Final underwriting can not be completed until there is a final appraisal. It can take 7-10 days after the appraisal has been completed to receive a clear to close.

Post Closing

New construction is a great option. However, please note that no one has ever lived in the home prior to you. We can blue tape problem areas during the walkthrough and inspection but there will always be additional items that may need repair. Refer to the builders warranty as well as the builder to find out if they will repair these items after you move in and after your first year of occupying the home.

Our Mission for Buyers and Sellers

We are committed to providing an unparalleled home buying and selling experience through attention to detail and sincerely caring for everyone we work with. We come from a place of peace and abundance, so our only objective is to minister and truly serve people by getting them into the right home for them and their family to create community. Buying and selling homes just happens to be part of how we do it.

"Josiah was great throughout the process. He had so much knowledge and was so helpful. He was always available to answer all my questions and gave such great advice."

Lindsay M.

"Mr Rasmussen is honest and very professional. He was very responsive and replied back to questions within a timely manner. I would definitely recommend Mr Rasmussen."

Beatty J

"I have worked with Christian on several properties! There’s a reason I keep calling him to help me either sell or purchase a home. He is reliable, knowledgable, negotiation skills are top notch!"

J. Smith