Myths v. Facts: Should I Hire a Real Estate Agent When Buying a New-Construction Home?

Bendigo, Samantha NEW-SMALLBy Samantha Bendigo, Real Estate Specialist
Berkshire Hathaway HomeServices PenFed Realty

Building a new home from the ground up is a process that can be exciting, thrilling, frustrating, expensive, challenging, and more. From beginning to end, there are a lot of moving parts to contend with, both as a builder and a buyer. The builder typically has their own sales agent overseeing their interest; and with so much at stake – money, emotion, time commitment – it makes perfect sense for buyers to have representation too. But there are a lot of persistent myths on whether buyers need an agent for new construction homes, and I’m here to dispel them for you.

Myths v. Facts

Myth: Buyers who use a real estate agent for a new construction home purchase pay more for their house than buyers who don’t.

Fact: Short answer—no. Builders price a home by taking all of their costs into account. This includes the compensation paid when a home is sold—to both their sales agent AND to the buyer’s agent. If you don’t have representation, it’s like ‘found’ money for the builder since they’ve already calculated this expense. Do they pass this savings onto the buyer? No, their profit margin increases and the buyer doesn’t receive a price reduction.

Myth: It’s not practical to have an agent since the builder already has a sales agent to help me make smart choices.

Fact: No matter how kind and helpful a builder’s sales agent seems, they are always looking out for the best interest of the builder. Always—end of story. So, if they have someone promoting their cause, shouldn’t you have one as well? Yes! By bringing your own agent, the builder will know right from the start that you are a savvy, serious home buyer.

Myth: All builders are pretty much the same. When you’ve talked with one, you’ve talked to them all.

Fact: Builders are like snowflakes—no two are alike. They come in all shapes and sizes—publicly owned vs. family owned, environmentally focused or concerned primarily with growing their business, etc. It pays to do your research before you visit a builder to know what to expect. For example, while some builders have dedicated sales agents, some hire outside real estate agents to help, while others are so small that the builder-owner is also the sales agent. As part of the buying process, you have to perform due diligence on each builder that interests you. This can be a very time-consuming process Your best bet? Hire your own agent with the experience of working with builders in your area.

When it comes to purchasing a newly-built home, expert real estate agents can negotiate reduced pricing on upgrades or options, help put together more attractive financing terms and find assistance with down payment and closing costs. Bottom line—having your own agent in your corner will help you craft the best and most advantageous deal for you on your new home construction purchase—and any home purchase you make.


Samantha Bendigo was the #1 top-performing agent in 2016 for Berkshire Hathaway HomeServices PenFed Realty’s mid-Atlantic region. She considers herself not just a REALTOR® but also a relationship builder. She can be reached at 703-628-2420 or via email at Follow her on Twitter and Facebook at @samanthabendigo.