subject: All Incentives And Mortgage Savings [print this page] Most new home builders orlando fl, advertise incentives. But be assured, they dont all advertise all of the available incentives. If youre being represented by a re-sale agent, someone whos really not totally qualified, or going it alone, be sure to talk to several new home neighbors. Theyre usually more than glad to discuss their experience and all the incentives they received. Its never nice to be at a new neighbors party to discover that they paid much less than you did or received an extra $3,000 in closing costs.
This is a big one, and one of my favorites. Every 1/8% lower interest rate equals about $5,000 in savings over a 30 year term. Most homebuilders have their own mortgage company and want you to use them for obvious reasons. They like to maintain a capture rate above 90%. In many cases, they even offer incentives, such as a substantial closing cost contribution, maybe $5,000 or more. However, be very cautious. Be sure that their mortgage fees and interest rate arent marked up to offset your perceived incentives. Always compare their rate to at least 3 reputable outside mortgage companies. Also, be very careful about outside mortgage companies, watch out for gimmicks such as we pay you $1,000 if we cant get you the lowest rate, or come talk to us and well pay you $100 just for stopping by. Very sketchy to say the least. Look for honest hometown lenders who offer competitive rates and good service.
Builders will attempt to make the incentives contingent upon you using their mortgage company. If available, have a new home expert representing you to negotiate an incentive non-contingency clause, allowing you to receive their incentives, even if you use an outside lender. If youre alone, try to do it youself. It can be successful in many cases. Builders dont want to lose the sale, especially in the current buyers market where you have so many choices.
Real Estate Agent Selection
This is perhaps the most important section. The first challenge will be in finding a new construction home expert. The second will be finding one who puts the buyers best-interests first. There really arent many out there. Most real estate agents specialize in re-sales, and only average about 3 brand new home transactions in their career. Many re-sale agents are even afraid to take buyers to a new home community, because theyre embarrassed about their lack of new home knowledge.
Most of the experienced and qualified new home agents still work for homebuilders. But, a few left the industry when it became too harsh to stomach on the buyers side. And some of them are now buyers agents. Look for them at any cost. Ask around, search the internet, do whatever you must to find those few. After finding one, make sure that they care about you, and not just commission.
I truly hope that some of these inside tips on how to buy a brand new home will serve both you and your family in some way. Remember, knowledge is power. You can remove conflict and confusion. You can have the new home of your dreams, receive all the savings and the wonderful new home experience that you deserve.
