My wife and I are pretty serious about building a new home this year, and we've been into a model home two times now, and talked to the same builder agent each time. We don't really enjoy working with this person, and while walking through a different model home by the same builder, we met a really nice agent we would like to work with. Agent number one has never even asked us our names or contact information, and doesn't really seem to care what we do. Agent number 2 is much more personable. I feel like we're the customer, and we should be able to work with whoever we want, but I also don't want to burn bridges or cause problems for agent #2, especially if building a home in #1's development. Woiuld it be considered bad to switch who we are working with?

Nope, if you don't mesh with her now when things get difficult it's only going to make you wish you had done it in the first place. just talk to the agent you want to do business with and let her know. she will contact the builder and make it work. they want your money and that is a minor work around.

No, I wouldn't feel the least bit worried about switching agents. Especially if agent #1 didn't even bother to get your names and contact information.

Your money, time, future, investment.

If it is not a marriage or business contract, or family, move as you see fit for your best outcome.

An "agent", is someone who is to put forth the best effort for the "client". Anything less, is dishonest, immoral or slimy.

Life is too short to suffer such abuse.

I have done it it a couple times. If that first person doesn't fill your needs,it is time to move on. Years ago when my wife and I were looking to get a piece of property to build a home, we sat down with an agent to talk about where we wanted to build. Instead of listening to us, she decided to show us property that was in a place we didn't want to be and at a price that was very high. We asked her why did she not show us lots in the area we wanted and she actually told us because she wouldn't make that much money selling us the ones we wanted. From then on, I do what is right for me and mine and the heck with feelings. You are the buyer and they should be the one wondering what they can do for you.

You are the client, it is your money.
Don't think twice about switching. Go with the person you feel comfortable with.
My sister is an agent. My sister-in-law is also an agent. Even my wife agrees if we needed an agent we would use my sister before my sister-in-law. But to be honest, we might use a third party, because my sister is too busy (she's highly sought in our market).

I've dumped real estate agents twice, and it was the best decision I have ever made. However, that was when searching for existing homes, not new construction. Regardless I don't think it should matter.

The buyer's agent is supposed to represent your needs/wants/interests. Using the agent who is already "in bed" with the developer/builder, means there is a conflict of interest if they are also representing you. Add to that you're not comfortable with that person, along with the obvious conflict of interest, and it seems like a clear choice to go with another agent.

Another thing I will recommend is hiring your own home inspector, who will periodically check on the building progress. While I haven't had a home built, I have explored that option a few times now, and helped friends and family when they have done it. Often "mistakes" (sometimes very serious/costly mistakes) were made during construction, that were not caught, and/or forced to be corrected, by the local code enforcement authority. Further, in the homes I've purchased, and in homes I've considered buying, there were often things that clearly were not built to code, as it existed at the time of construction, and again the local code enforcement authority signed off the project, despite those problems.

Those "mistakes" were often the result of the builder, and/or sub-contractors, intentionally "cutting corners," to increase their profit. Some "mistakes" were "covered up," and only discovered later, when problems occurred.

Therefore, I would never buy new construction, unless I hired my own inspector to periodically check on the progress of the project, and help force the builder to correct problems before the builder has a chance to cover them up.

A relative recently did just that, and it cost $1000 to hire the inspector. The inspector checked on the progress several times during construction, and caught many things being done that either that were not in compliance to the applicable building codes, or were not done in compliance with "upgrades" in the construction contract. Being caught early, and by an expert in the field, resulted in having those things corrected.

If you're paying for it, it should be done right, whether right is based on building codes, or based on things agreed upon in the construction contract. Don't depend on some local code enforcement bureaucrat to ensure it's all done correctly.

Nope. Switch out as they are there for the $ and not to make friends...

+1 to all the above.

We're looking at houses for our grandson. So far, every house has been listed by a different realtor.

We have ONE Buyer's Agent we're working with, and she's a peach. Takes care of ALL the interface with realtors and owners, all we have to do is meet her at the arranged place and time and look at the house as minutely or as superficially as we wish.

As DMF said , you should have a buyers agent. You don’t want to work with the builders agent as that person does not represent you. They would love if you work with them as they get both sides of the commission.

Be careful switching once you have a buyers agent. There are rules You may sign a contract with them so if you aren’t sure don’t sign. Also if your agent shows you a home and you switch agents after but end up buying the home there is likely a commission due the agent that introduced you to the property.

As a builder I have to agree with the hive.

I tell perspective clients in addition to checking out the quality of the builder make sure you get along with the people you’ll be involved with during the build.

It’s going to be a marriage and the agents job is to make sure the “honeymoon” lasts throughout the process.

Oh and if you haven’t seen it, I have a thread with my home build. The hive has provided lots of good advice.

https://sigforum.com/eve/forums...935/m/4610018154/p/1

Definitely hire the person you want (notice I didn't say anything about switching, because you haven't entered into a relationship with anyone yet.)

If challenged by the first agent, you can just say "neither my wife nor I felt it was a good fit." Easy peasy.

Good luck!

Actually I have a question. Did the first agent ask if you were working with anyone? If not then when you get an agent you will be all set and not need to do anything but say you've had a realtor.

quote:

Originally posted by patw:
Years ago when my wife and I were looking to get a piece of property to build a home, we sat down with an agent to talk about where we wanted to build. Instead of listening to us, she decided to show us property that was in a place we didn't want to be and at a price that was very high. We asked her why did she not show us lots in the area we wanted and she actually told us because she wouldn't make that much money selling us the ones we wanted.

That is so short sighted of her.

While she would've made less on your purchase, the subsequent referrals you would've sent her would've more than made up for that.

Some people let a dime hold up a dollar. Amazing.

When we moved to TX, Wes were given a realtors name from some other coworkers, they said she (realtor) was a bulldog.

When we met she explained what being a buyers agent was to us in regular terms. She was the best decision we could have made.

You need a buyers agent.

These people may or may not be a licensed Realtor. If this is a builders showroom they are likely just sales people. They may or may not be on commission.
Once you sign up officially you will mostly be dealing with someone on the production side anyway. Most of these type operations restrict customers from going on the site as the house is being built.
I would second the advise to get an outside Realtor that may know the local market to act as your agent. Read any and all fine print BEFORE you do a deal.

Read your listing contract. It used to be that the fired agent might still be entitled to some compensation should another agent (or you) sell the property. That may depend on the region and/or realty company though.

I'm no lawyer but I can read well. There was no such clause. When we sold our home in metro Phoenix, the first realtors put their sign up and did nothing else. Not one showing in months. We fired them. The second realtor/broker put his sign up and didn't do much more. He'd send buyers out, tell them to just knock on the door and we'd show them the house ourselves with no appointment necessary. We fired him!

Then we got creative. We made fliers with digital images and posted them at the major employers (INTEL, GM, Motorola, etc) in the area. We ended up selling the house ourselves and saving the 7% commission.

Since that time, we interview potential realtors in advance of listing. We interview 3-5 and they must be experienced in the business. We stress appointments only and we negotiate the commission.

My read of the OP is that there is no written agreement between the poster and the first agent. He walked into the model unit and talked to her. In this case, the poster has no commitment to the first broker.

An issue, but not for the poster so much, is what the relationship is with the developer and the 1st broker. If the developer sells the house to the poster, depending on what agreement the 1st broker has with the developer, she may be due some commission. Then again, developers tend to have a lot of leverage with brokers.

quote:

Originally posted by az4783054:
Read your listing contract. It used to be that the fired agent might still be entitled to some compensation should another agent (or you) sell the property. That may depend on the region and/or realty company though.

I'm no lawyer but I can read well. There was no such clause. When we sold our home in metro Phoenix, the first realtors put their sign up and did nothing else. Not one showing in months. We fired them. The second realtor/broker put his sign up and didn't do much more. He'd send buyers out, tell them to just knock on the door and we'd show them the house ourselves with no appointment necessary. We fired him!

Then we got creative. We made fliers with digital images and posted them at the major employers (INTEL, GM, Motorola, etc) in the area. We ended up selling the house ourselves and saving the 7% commission.

Since that time, we interview potential realtors in advance of listing. We interview 3-5 and they must be experienced in the business. We stress appointments only and we negotiate the commission.

quote:

Originally posted by BBMW:
My read of the OP is that there is no written agreement between the poster and the first agent. He walked into the model unit and talked to her. In this case, the poster has no commitment to the first broker.

An issue, but not for the poster so much, is what the relationship is with the developer and the 1st broker. If the developer sells the house to the poster, depending on what agreement the 1st broker has with the developer, she may be due some commission. Then again, developers tend to have a lot of leverage with brokers.

It is likely the person at the open house/model is the broker that is working for the developer (unless the developer has a real estate license). Either way doesn't change anything. The developer has to pay the full commission that will be in MLS. MLS will tell the realtors the commission and what the co-broke is (buyer's broker share). The developer is paying the same commission regardless.

It's possible that the developer is the realtor. He will just pocket the extra commission.

No matter what the situation regarding the commissions I'd recommend the OP negotiate the base price of the house as much as possible. They will act like the price is the price, but that isn't true. They will negotiate a bit less on upgrades after the fact. If the OP knows what upgrades he wants up front, negotiate on those too. Once the P&S is signed you have to basically pay out of pocket for upgrades and I've found they aren't cheap, and they don't negotiate. But you find that it's cheaper than doing it on your own after the fact. That's why they builder won't negotiate as much. He's basically got you by the balls because you've already contracted to buy the house. Get everything you can agreed before the purchase and sale agreement.