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Updated almost 8 years ago on . Most recent reply

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Sreenidhi S.
  • Sunnyvale, CA
0
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12
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How do i pick a realtor for new construction townhome?

Sreenidhi S.
  • Sunnyvale, CA
Posted

Im about to put 3% down to book a townhome is milpitas. i haven't visited the physical site yet but got on their priority list through their web site.  I want to get back as much money as possible so im thinking of going with redfin or some other realtor who can give 1-2 % back. I'm assuming this strategy should work fine because any realtor wont be able to negotiate price down with the builder (who will go with the next person on the list if im not happy with the price) 

Since I'm already on their priority list, can the builder refuse to pay buyers agent commission? 

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120
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108
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Marcy Moyer
  • Realtor
  • Mountain View, CA
108
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120
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Marcy Moyer
  • Realtor
  • Mountain View, CA
Replied

The builder will only pay a commission to an agent who introduces you to the complex. Since you are already on the priority list is unlikely that they would pay a realtor at this point. Plus, many builders are only giving realtors a flat fee, generally 10K and in the contract state that the agent is not allowed to rebate any money to the buyer.  It is not likely you will get money back by trying to bring in a realtor. Most builders will not negotiate on price. You can try to get them to give you a break on upgrades or closing costs if you use their preferred lender. I would push hard on the upgrades rather than closing costs as it will bring down the basis for property taxes. Also you may get a better break on taxes if you pay the closing costs. You need to ask an accountant about that. It can't hurt to ask for some credits. The worst they can say is no. 

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