New Construction Homes

new construction home

My buyers are aware of what’s included in the builder’s base price, what’s an extra cost or upgrade and what’s in the fine print of the builder’s agreement.

Can I help you make a better purchase on a new construction home or condo? Absolutely!

Purchasing new construction home from a builder can be intimidating and more complicated than buying a resale property because you are dealing with longer time frames, different financing, lengthy agreements, appraisals, permits and more.

The Ottawa region is home to many reputable and award-winning builders. Not all builders are the same and each has their own way of doing business and own set of standard items that come with a house or condo. A standard item for one builder might be an upgrade for another. Also, Builders are not like regular sellers because they are not emotionally attached to the property and make decisions based on what is best for their bottom line. In general, builders staff their sales centres or model homes with their agents, who represent the builder’s interests. This person is the key communicator between you and the builder. As a buyer, you need to have your own real estate agent under contract who will represent you and ensure you make informed decisions. My buyers are aware of what’s included in the builder’s base price, what’s an extra cost or upgrade and what’s in the fine print of the builder’s agreement. A builder’s model home might not be a good representation of what comes standard with the home. Often the model home is a high-end version of the standard home to showcase the many beautiful upgrades the builder can offer. I ask important questions on your behalf so you know exactly what to expect.

Who pays the realtor when buying a new construction home?

Similar to the resale home buying process, the buyer does not pay the real estate agent’s fees, the builder does.  Most builders today anticipate buyers to be working with their own realtor and have planned their budget for the community development accordingly.   However, most builders require that the agent accompany and register the buyer on their first visit to the builder’s model home or community. It’s essential that you inform the builder that you are working with your own agent and document your agent’s name on the visitor card when you visit the sales center for the first time. If you “just “stop by” without your realtor on your first visit, you could lose the opportunity to be represented by your own agent.

Always think about the resale value when choosing upgrades and location

Remember, you are making an investment now with decisions that will impact the resale value of your home later. Beyond upgrades, consider the location of the lot (what it’s fronting or backing into) plus the home’s proximity to schools, greenspace and amenities. Key features that the next buyer may value.

Can you negotiate with a Builder?

Builders don’t like to reduce their prices as it sets a precedent for future home sales. They are more likely to negotiate closing costs or offer incentives than drop their prices. You may be able to convince them to include extras that are not part of their standard package such as AC, central vac, extra pot lights, eavestrough, upgraded flooring and countertops, landscaping, decks, fences, paved driveways, etc.  The amount of negotiating possible will vary from builder to builder and likely be affected by market conditions at the time.

Key questions I ask the Builder on your behalf:

My job is to make sure you have all the information you need to make an informed decision – and just as importantly, avoid potential problems. As your representative, I know the key questions to ask and how and when to communicate with the builder:

  • When will the house be completed?
  • What happens if there is a delay in construction?
  • What is their track record of being finished on time?
  • What features are standard features, and what are upgrades?
  • Can you make modifications to the standard floorplan?
  • What are your choices in paint colours, flooring, plumbing fixtures etc.?
  • Will you get help making decor selections?
  • Why is the builder charging a “lot premium”
  • When will the neighbourhood be completed?
  • When will the landscaping and driveway be completed?
  • Will there be parks and greenspace in the area?  When will it be completed?
  • Who owns the land next to the community development?
  • Will you own the furnace & AC or are they rentals?
  • Can you opt-out of any rental contract the builder has negotiated with their supplier?
  • What will the condo fees be?
  • Is parking owned or exclusive use with the condo?
  • Will you have use of a storage locker in the condo?
  • Will home be registered with the Tarion Home Warranty program?
  • What is their complaints record with the Tarion Home Warranty program?

You can put your mind at ease, I also help you complete the paperwork

There is a wide, and often overwhelming, variety of paperwork when you purchase a new construction home or condo. As your representative, I will help you through the process,  explain the “legalese and fine print”,  and things the builder might not be telling you.  I’ll also ensure you are familiar with the Tarion Home Warranty program and the different inspections and warranty periods – an absolute must if you are purchasing a new build.

Here is a general list of what’s typically included in a builder’s agreement.  Each Builder does things differently and has their own business standards processes tor deposit amounts and submissions.

  • Agreement of purchase and sale (usually provided by the builder)
  • Restrictive covenants
  • Builder specifications & standard inclusions
  • Floorplans
  • Lot / building location survey
  • Tarion Warranty registration documents

Let’s get to work in finding your new home!


More Buyer Resources: