Quick answer: You are not required to use your own Realtor, but independent representation can be valuable. The builder's sales representative works for the builder. A buyer's agent can help you compare communities, understand the contract, review incentives, track deadlines, coordinate inspections and negotiate where possible. Contact your agent before your first model-home visit because some builders require the agent to register you on that first visit.

Question 2: Will Using a Buyer's Agent Make the New Home Cost More?

Usually not automatically. Real estate compensation is negotiable and should be explained in your written buyer agreement. Some builders offer buyer-agent compensation or other concessions, while others do not. Ask what the builder is offering, what you may owe, and how the arrangement affects your total cash needed before you sign anything.

Question 3: Can I Negotiate the Price of a New Construction Home?

Often, yes—but the best deal may not be a lower sticker price. Builders may prefer to offer closing-cost help, mortgage-rate buydowns, design upgrades, appliances, landscaping or a reduced lot premium. Compare the total value of every incentive and remember that incentives may require the builder's preferred lender or title company.

Question 4: What Is the Difference Between the Base Price and the Final Price?

The base price usually covers a floor plan, standard features and sometimes a standard homesite. The final price may also include a lot premium, exterior elevation, structural options, design-center selections, appliances, window coverings, fencing, landscaping, utility or HOA fees and financing costs. Ask for a written, itemized all-in price for the exact home and lot.

Question 5: How Much Earnest Money or Deposit Will I Need, and Is It Refundable?

It varies by builder and contract. Deposits may be due in stages, and money paid for custom upgrades may become nonrefundable. Before paying, understand exactly what happens if financing is denied, the appraisal is low, your current home does not sell, the builder is delayed or you cancel for another reason.

Question 6: Is Financing a New Construction Home Different?

It can be. A completed inventory home may use a standard mortgage. A production builder often finances construction and you close when the home is finished. A custom home—or building on land you already own—may require a construction loan or construction-to-permanent loan with draws, inspections and different qualification rules. Speak with a lender early.

Question 7: Should I Use the Builder's Preferred Lender?

Maybe, but compare the entire offer. Preferred lenders may provide closing-cost credits or rate incentives, yet another lender could still be less expensive overall. Compare official Loan Estimates, APR, points, lender fees, mortgage insurance, cash to close and monthly payment. Ask whether a rate buydown is temporary or permanent.

Question 8: When Should I Lock My Mortgage Rate?

The right timing depends on the build schedule and your tolerance for rate changes. Standard 30-, 45- or 60-day locks may expire before a new home is ready. Ask about extended locks, float-down options, extension fees and who pays if a builder delay pushes closing past the lock date.

Question 9: How Long Does New Construction Take, and What Can Delay It?

The timeline depends on the home, permits, site work and builder. Weather, labor availability, material shortages, inspections and utility connections can all cause delays. Ask for key milestones and regular updates, then keep backup plans for housing, storage, moving dates and rate-lock extensions. Treat a completion date as an estimate unless the contract clearly says otherwise.

Question 10: Should I Get an Independent Home Inspection on a Brand-New Home?

Yes. Municipal inspections and a certificate of occupancy are not substitutes for an inspection performed for you. Depending on the stage, consider a pre-drywall inspection, a final inspection and an 10- or 11-month warranty inspection. Put unfinished work and defects on a written punch list and document them with photos.

Question 11: What Does a Builder Warranty Cover?

Coverage varies, so request the complete warranty before signing. Look for separate coverage periods for workmanship, mechanical systems and structural components, plus exclusions, claim deadlines, response times, transfer rules and dispute procedures. Keep contracts, selections, inspection reports, photos and service records in one place.

Question 12: Which Upgrades Are Worth the Money?

Prioritize items that are difficult or expensive to change later: structural changes, garage depth, windows, plumbing locations, electrical capacity and outlets, insulation, air sealing, HVAC, accessibility features and conduit for future technology. Cosmetic finishes are often easier to replace later. Also remember that upgrades may not add equal dollar-for-dollar appraisal value.

Question 13: What Is Actually Included With the Home?

Never rely on the model home alone. Ask for the written feature sheet for your exact address. Confirm the refrigerator, washer and dryer, blinds, garage-door opener, air conditioning, gutters, driveway, mailbox, fencing, landscaping, irrigation, exterior lighting, internet service and solar equipment. Put every important promise in the signed contract.

Question 14: What Ongoing Costs Should I Expect Besides the Mortgage?

Budget for property taxes, homeowners insurance, HOA dues, special-district charges, utilities, trash, landscaping and any private-road or shared-facility costs. Early tax bills may reflect vacant land or a partially completed home rather than the finished value. Review covenants, budgets, transfer fees, rules and planned future phases before buying.

Question 15: How Do I Compare Energy Efficiency and Radon Protection?

Ask for the HERS rating, insulation levels, window U-factors, HVAC efficiency, air-sealing or blower-door results, water-heater type, solar details and estimated utility costs. Radon can occur even in a new home, so test after construction. Ask whether the home has only a passive radon pipe or a complete active system with a fan, and confirm the post-construction test result.

Considering a new construction home in Montrose or elsewhere in Western Colorado? Contact Don Martin before your first builder visit. With more than 35 years of construction and home-improvement experience, Don can help you compare the home, the contract and the true all-in cost—not just the shiny model-home kitchen.