Tucson New Construction Buyer Be Aware
October 19, 2006
Post Tags: tucson-new-home-buyers , tucson-new-home-construction
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Tucson New Home builders are offering some great incentives right now.
With the slowdown in the Tucson real estate market we are seeing unpresidented incentives to buyers of new contruction homes all around the Tucson area.
I won’t go into all the various builders and their incentives, but I can assure you there are a lot of them going on right now and you can save upward of $75,000 or more on some homes, including many upgrades being thrown in as well for good measure.
The Important Question?
All of these incentives can be very inticing to buy, that’s why they are called incentives. But if you aren’t going to be staying there until the community is built out it could cost you a lot of money. I know many people ask, “When will my new home be completed?” A more important question might be, “When do you expect ‘build out’ to occur?”
We currently have a client that bought a beautiful new home in a desireable new community with great mountain views. They moved into their new home in May of 2006 and loved it.
The unexpected happend, he got transferred to California. When we listed the property it was like new, but better, because it already had some of the bugs worked out. What’s not to like, it looks great, it has wonderful views, it was priced according to the comps for the area. Now the community he bought in is proceeding to “Final Build Out” that means they will be selling the last of the lots and homes to be built by them in the community. Once the community is built out they will close the sales office and sell the models. This is nothing new and to be expected.
Right now Tucson is a Buyer’s Market, and new construction is looking for buyers as much or more than others that are selling homes in Tucson. They are the builders and can offer great incentives as they close out the community and their site sales office.
Meaning, if you are competing with the builder to sell your home, you either have to price it at or below what you paid for it. OUCH! that hurts, or you hold onto it until the builder finishes selling all their new homes which are now price below what you paid for your home.
Neither are good options. If you know there is no reason or chance that you will be moving before the community is built out, then this could be a great opportunity for you to get a great new home at a price that is way below what you would have paid for the same home just a few months ago.
But, if there is any chance that you might have to move before the community is built out, then you should seriously take this into consideration.
As a potential buyer of new construction, one of my first questions would be. “When do you expect to be built out?”
