Buying New, Not Used - Part 1

What to know and do before buying a new construction home.

Vet the Builder

Let's say you've seen an online ad, or a new development going up that catches your eye. What next?

Check a builder's references to gauge reliability and quality of work. It helps to see their history. Has the builder been in business for a decade or more, or for only a year. Ask the builder for names (and contact info.) of past customers, and ask those buyers to rate the overall construction quality, if there were significant delays or unexpected costs during the building process. Did they have any major issues after moving in? If so, how did the builder handle them?

If the new build is under construction, make an appointment to visit it or recently built homes in the community, so you can see the quality of the builder's work in person. Can the builder explain how long the construction process will take and what factors could delay it. Find out how long it typically takes from the time you sign the contract to move-in ready, which is when your lender will agree to a closing. Build time for a typical family home is 4 1/2 to 6 months. The timeline fo condos varies depending on the size of the development.

In Part 2, we'll look at nailing down the price for the new-build home.

(credit Liza A. Burby in AARP Bulletin June 2024)