Can Real Estate Agents Sell Pre Construction Homes in Calgary?

Have you been looking for the perfect detached home for your family but don't want to deal with multiple offers due to low inventory in the Calgary real estate market? Then, you may consider buying a new build.

Most new homes in the market are still in the pre-construction phase. If you wonder if real estate agents can sell pre-construction homes in Calgary, the answer is yes!

There are around 18 brand new communities in Calgary right now. You may choose to go to the builders in these communities, or you can get more help from your trusted realtor.

Pre-Construction Home

One of the most common questions we get about this topic is if real estate agents make money on new construction. Buyers wonder if a real estate agent can actually help when looking at a new house.

When buying a pre-construction home, paying more for the realtor is not the case here. In Calgary, builders have a commission tied into their sale price when building houses. Builders expect help from agents to sell their properties, so they allocate a budget for their service fees.

So if you are looking for a new build, do not be afraid to bring your agent. Typically, the person at the showhome works for the builder, but you need someone to work for you. You need an expert who understands the product, pricing, and what is happening in the market.

Commission

Like in resale homes, buying agents get paid by the seller for selling their home for them. In the builder's case, commonly, there are no selling agents, just the buyer's agent. As the sellers in this scenario, the builders compensate the realtor for selling their pre-constructed houses in Calgary.

Having a Realtor on Your Side

There are many ways a real estate agent can help when you are looking at a new home. They can also give you a handful of tips about buying a new build, especially about strategy, pricing and understanding what you are signing.

Our team has heard many amazing stories as well as horror stories by builders, and the same goes with real estate agents. That does not mean that builders and realtors are bad or good. You just really need to have someone on your side who understands what you are looking for. They should be willing to help you get the best home for you and your family to the best of their knowledge and ability.

Aside from looking at new builds, you may also want to check the resale market. One of our agents, Tony Cusano, explained that it is good to not just focus on the new build but also look at the homes around them. But in the market that we have right now, it is hard to always look around because there might just not be any inventory. You need to have an agent who can help you as much or as little as you want.

We have helped a buyer by merely providing guidance and direction into what they wanted as a home, and then they and the builder took it from there. We shared our thoughts about home upgrades and how sellable their house will be if they chose to renovate, but the client still has the final say at the end of the day.

We can also look into contracts. Sometimes, builders will ask for more deposits but it is not clearly stated on the contract. If you have an agent on your side, you can review all the documents you signed, iron things out with the builder and make sure you are not paying more money than you should.

So if you are coming from out of town or even living in Calgary and are interested in buying a home in one of the newest communities in the city, give us a call! We can help you figure things out and guide you through the process.

And if you need more information about the real estate market in Calgary, you can learn a lot from our YouTube channel. Please do subscribe as we are in a race to 12,000 subscribers! We are going to give away one month's rent or mortgage payment when we hit 12,000 subscribers!