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Any Tips, Tricks or Hints While Negotiatin g A New House?
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02-03-2012 08:14 AM
Since its a buyers market, I want to have as much ammo as possible against the builder/seller when its time to negotiate. We are looking for the usual.
- window coverings
- landscaping
- appliances
- K in closing cost
- 2 yr membership to the country club (calm down people IM j/k)
- 2011 BMW (calm down people I'm j/k)
Yes, we are working with an agent already, so she is on top of it already, we are just looking to see what else might be out there.
Re: Any Tips, Tricks or Hints While Negotiatin g A New House?
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02-03-2012 08:50 PM
A year or two ago, when selling new houses was almost unbearable, there were some builders who threw in something like a nice 2002 BMW Z3 or a golf club membership (not country club though). That probably isn't going to happen anymore but hey, you could always ask for a vacation pass like the ones you see at Costco....
Re: Any Tips, Tricks or Hints While Negotiatin g A New House?
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02-04-2012 08:40 AM
Stupidjerkface wrote:Since its a buyers market, I want to have as much ammo as possible against the builder/seller when its time to negotiate. We are looking for the usual.
- window coverings
- landscaping
- appliances
- K in closing cost
- 2 yr membership to the country club (calm down people IM j/k)
- 2011 BMW (calm down people I'm j/k)
Yes, we are working with an agent already, so she is on top of it already, we are just looking to see what else might be out there.
Depends on what your goal is. If you want builder's grade carpeting, a landscaping "package", and builders grade appliances go for it. The last time I bought a new home, I took credits for them and purchased my own. For a few grand I got much better quality and didn't waste the $ I paid the builder for marginal products. (Hint: If the tub of the dishwasher is plastic, it's junk. That's nothing more than a dirty dish storage compartment - a handy place to stick dirty dishes to clear the countertop before you get around to washing them by hand.) Some of the subs hired to do landscaping have had all the margin beat out of them, so service after the sale is bupkus. Made that mistake once. Ended up tearing most of it out and paying someone else to do it right. With no margin to work with, they don't properly grade/swale the land, they don't prepare the soil well, nor use high grade plants. The beds are usually too small (fewer plants and less mulch) which puts the plants too close to the house and doesn't allow for enough room to grow.
My suggestion? Have him toss in the upgrades you cannot put in cheaply, such as upgraded tiles, bath, countertops, interior lighting (pot lights), gas lines to fireplace or outside for a grille, sprinkler systems, gutters, landscape drains, etc.. Don't use the builder's supplier for flooring. There's "arrangements" made on the backside that benefits the builder. Do your own shopping. Most appliance stores have "contractor" discounts for those buying an entire house full of appliances. Beat the builder up for a higher credit on those items that were "standard". Don't buy the "upgrade packages" as you can usually get better stuff elsewhere when you consider the allowance plus the additional cost. Buy an obsolete (last years) stainless Bosch dishwasher for $500 rather than paying $250 extra for an upgraded Whirlpool. Last year's appliances come with the same warranty, cheaper price, and you get better hardware. It will last 10 years. The builder grade, maybe three before it leaks (and that's if you don't get p o'd at it and tear it out because it's useless).
Tract builders are "value engineering" homes right now. What does that mean? Things like 24" centers on interior walls vs. the traditional 16" on center. Some are using 2x3's rather than 2x4 (non load bearing) for wall partitions. Trussed roofs and floor systems allow that (longer engineered spans). Manufactured walls (factory built) and tipped up. Those are more uniform (as they're built on an assembly line), but the quality of the framing lumber has deteriorated rapidly over the past decade. Look at the growth rings on an older 2x4 and then look at a new one. You'll be surprised. The current trees are "weed" trees - genetically engineered to grow fast - which makes them weaker due to more sapwood. They are using cheaper windows and doors. The building supply companies have responded by manufacturing "off brand" windows so they can survive. Minimum code for outlets. No ceiling lights/fan drops. No/one outside outlets. Sheathing with pre-installed house wrap (OSB with an exterior covering and taped at the seams when installed). Cheap caulks. OSB roof sheathing. Finger jointed door casings (not advised for exteriors). Weaker concrete mix. Thinner garage slabs. Single exterior entrance lights. No light by the garage doors. Thin gauge metal garage doors. If you can easily twist the tracks with your hand, it's low grade junk. When the door is up, see if it sags in the middle (not uncommon on a 16' door). The cabinets are paper with (if you're lucky) wood face frames and doors. Not so lucky? MDF with thermofoil. Interior molding packages are MDF - don't use too much water when you wash the floor.....
If it's a custom build, you get to pick your materials anyway..... so the cost is up to you.
Look at the box first. That's the most important thing and hardest to change. Window coverings... not so much.
Re: Any Tips, Tricks or Hints While Negotiatin g A New House?
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02-04-2012 10:31 PM
Great information from both of you. Thank you very much!
Re: Any Tips, Tricks or Hints While Negotiatin g A New House?
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02-06-2012 05:11 PM
You can ask for credit toward upgrades if the home is not completely built already. You may be able to visit the Designer's center to pick out your choice of flooring and counter tops.

