Palm Coast New Construction

New construction homes are a popular choice for many people looking to make a move to Palm Coast, Florida. In this article, we will discuss the different approaches to new construction and the benefits of working with a builder. We will also cover the importance of inspections and walkthroughs, as well as the role of a realtor in the new construction process.

When it comes to new construction, there are two main approaches you can take. The first approach is when the developer or builder owns the lot. In this case, you can either purchase a spec home or work with a builder to pick a floor plan and lot. The builder will then build the house on the lot and sell it to you when it's completed. This approach affects the type of mortgage you can get for the home.

The second approach is when you own the lot and choose a builder to construct the home on that lot. This type of loan is called a construction-to-perm loan and has a few different requirements. It's important to be aware of these two different types of loans and the process and ownership that comes with each.

If you choose to build on a scattered lot, the builder will own the lot. You will work with the builder to pick a floor plan and build the home. Alternatively, you can purchase a spec home where everything has already been selected for you. When building on a scattered lot, there may be existing homes or empty lots around you. It's important to consider the neighborhood and the potential for future development.

During the peak of the pandemic, new construction faced challenges such as supply shortages and price fluctuations. However, these issues have mellowed out, and builders have found workarounds to navigate the shortages. Many builders are now offering incentives to buyers, such as buy-down points, money for upgrades, and working with preferred lenders and insurance companies. This makes new construction a great option for buyers in the current market.

Whether you're buying a resale home or new construction, it's always important to get an inspection. Even though new construction homes often come with a homeowner warranty, an inspection can uncover any issues that need to be addressed. You have flexibility in terms of when you get the inspection. You can do it before you move in or about 10 months after you've moved in, before your one-year warranty expires. It's recommended to always get an inspection done to ensure the quality of the home.

New construction homes offer a unique opportunity for walkthroughs. Typically, you will have two walkthroughs: the blue tape walkthrough and the final walkthrough. During the blue tape walkthrough, you are given rolls of tape and can walk around the house to find any imperfections. This is a chance for buyers to feel a sense of ownership in the home and ensure that everything is addressed prior to the final walkthrough. The items found during the blue tape walkthrough are usually cosmetic, such as uneven textures on the walls or missing closet organizers.

However, there may also be bigger issues like leaks or loose fixtures that need to be addressed.

The builder will try to address all the items found during the blue tape walkthrough before the final walkthrough and closing. If they are unable to address all the issues in time, a promise from the builder to address them in a reasonable amount of time will be included in the closing paperwork. The final walkthrough is where you check off all the items that were found during the blue tape walkthrough and ensure that everything has been taken care of.

If you are an out-of-town buyer and cannot attend both walkthroughs, your realtor can represent you during the blue tape walkthrough. They can video the walkthrough and go over any findings with you. The project manager from the builder will be present during the walkthroughs to address any questions or concerns.

It is highly recommended to work with a realtor when purchasing a new construction home. A realtor can provide expertise in negotiating upgrades and features, assist with inspections and walkthroughs, and help smooth the entire process. They act as a communication point between you and the builder, ensuring that your interests are represented.

It's important to note that most builders have already factored in the cost of having a realtor associated with the deal. So, you won't save any money by not using a realtor, as the builder will still charge the same price for the home. By working with a realtor, you have someone who is solely focused on your interests and can guide you through the new construction process.

New construction homes in Palm Coast, Florida, offer a variety of opportunities for buyers. Whether you're looking for a 55+ community, a townhome community, or a custom home on a scattered lot, there are plenty of options to choose from. It's important to understand the two approaches to new construction and the different types of loans associated with each. Building on a scattered lot or in a new build community has its own considerations, such as the potential for future development.

Inspections are crucial when purchasing a new construction home. Even though these homes often come with a homeowner warranty, an inspection can uncover any issues that need to be addressed. Whether you choose to do the inspection before you move in or after you've lived in the home for a few months, it's always recommended to get an inspection done.

Walkthroughs, particularly the blue tape walkthrough, provide an opportunity for buyers to identify any imperfections in the home. This is a chance to ensure that everything is addressed before the final walkthrough and closing. The builder will try to address all the items found during the blue tape walkthrough, and any remaining issues will be included in an addendum to the closing paperwork.

Working with a realtor is highly recommended when purchasing a new construction home. A realtor can provide expertise, negotiate on your behalf, and ensure that your interests are represented throughout the process. It's important to note that the cost of having a realtor is typically already factored into the price of the home, so you won't save any money by not using one.

In conclusion, new construction homes in Palm Coast, Florida, offer a range of opportunities for buyers. With the current market conditions and incentives being offered by builders, now is a great time to consider purchasing a new construction property. Remember to always get an inspection, participate in walkthroughs, and work with a realtor to make the process as smooth as possible.

Want to know more? Watch this video from our YouTube, Palm Coast Florida Living.