Six months ago I would have told you that there was no way you would be able to negotiate price on new construction. New construction is up thirteen percent from this time last year. Lots are selling faster than the builders can build and things like earnest money and price are set in stone. At least that’s what I would have told you six months ago. Today it’s looking like a different ballgame.
Just over three months ago I did new construction with a client and Century Community Homes. About three weeks prior to me meeting and taking these clients out to see homes they had made their way to Century Communities in the Wheat Lands in Aurora. They had talked to sales reps, viewed a few homes, and discussed price. They were told the price the home was listed at but they could offer less if they wanted.
Now you have to understand that this is out ordinary. Price is typically set in stone no exceptions. We put in a lower offer and even negotiated them adding a door to the master bath separating the bedroom and the bathroom. They took our offer for a substantial amount less; just over thirty thousand off asking price.
Just this month I had another client I was showing new construction too in Castle Rock. We swung over to Ryland Homes to see what they offered. We saw a couple of homes and discussed price. This is situation is very similar to my last buyers. They had visited Ryland before we started to look at resale. Once again they were quoted a price but told they could offer less and see what the sales manager said. Fast forward to us at the property and the price had gone up from when they were last out looking.
We put in our offer for thirty thousand off asking price and asked them to throw in landscaping and a rear fence. Twenty-four hours later and no counters they accepted. I did ask the Sales Rep how many homes they were selling a month and how many lots they had left and they were selling over five a month with over forty lots left to sell. The fact they took the price reduction on a new build baffled me; which is why I’m writing this today.
Never be afraid to ask. They may say that the price is X but you can offer Y. Know they will probably counter back at the original price but there’s always a chance. They may not be willing to do this for a buyer that is not represented by an agent. If you are considering new construction give The Colorado Dream House Team a call; we’re the experts in new construction and might just be able to negotiate the price for you.