Things To Consider When Financing Your New Construction Home Build
Financing You New Construction Home In The Northwest Valley, Arizona
Hi guys, I’m Braiden. This is Shawna. We’re with the Desert Charm Living Real Estate team. And we are back today at the Union Park at Norterra community. So today we’re in front of the David Weekley models. We’re in front of the Anne model right now, which we really, really love. It’s super spacious. It’s almost 3,500 square feet. You can see the three-car tandem garage, and it has a beautiful downstairs layout. It’s very open.
It has an open floor plan, and it has an awesome kitchen, which we know is a bonus, especially if you love to entertain. And of course, this model gives you access to the Union Park in Norterra community, which we are just in love with.
Consulting A Lender
Last time we talked about why it’s important for you to have a realtor during the new construction home buying process. This time, we’d like to talk a little bit about financing, and your plan for financing, and why that’s important. So what are some things that people need to consider with respect to financing, when they’re looking at buying a new construction home?
Just as you would consult with a realtor before you step foot into the model, you need to do the same thing with a lender, and here’s why. You want to make sure, before you ever go visit any home, whether it’s a new-build home or not, that you know what your budget is, and you know what your goals are for your all-in cost, and pricing, essentially, for what you can reasonably afford. During the new construction home buying process, you want to know what you can afford before you step foot into those models and fall in love with something, and then find out it’s actually out of your budget because you haven’t consulted with a lender.
One of the reasons that that’s really important is, depending on which builder you actually go with, there’s a base price and then there’s an upgraded price. And when you take upgrades into consideration during the new construction home-buying, it can actually push you outside of your budget. Some builders actually include everything, so keep that in mind as well. And you know, if your budget doesn’t allow for upgrades, you may want to go and look and one of the builders that include upgrades instead.
Do Buyers Have To Use The Builder’s Lender
No, this is actually a huge misconception, especially when buying a new construction home. You don’t necessarily have to use the builder’s preferred lender. There are benefits sometimes to using the builder’s preferred lenders, like incentives that they offer. During the new construction home buying process, some of these lenders are going to offer incentives to pay for some of your upgrades, or maybe even contribute towards your closing costs. But some of them don’t offer any incentives at all, so you just want to make sure that you are consulting with a lender before you step foot into the models and figure out what they’re going to be offering you, what their rates are, and see what is going to be the best option for you, if it’s going to be the builder’s preferred lender or if it’s going to be a lender that you consulted with before you went and visited the models.
We want to thank you so much for watching our video about the new construction home buying process. Make sure to subscribe to our YouTube channel so you can go ahead and get the next video in the series, and we’ll see you next time.