Do You Need an Agent to Buy a New Build in Michigan?

Do you need an agent to buy a new build in Michigan? I think you do, and the most important moment is your first visit. The builder's sales team is friendly and helpful, but they work for the builder. Many builders also won't let you bring an agent once you've walked in on your own. Here's how it works, from that first visit to the final walkthrough.

Prefer to watch?

Short answer: Yes, and timing matters. Many builders won't let you add an agent after you've walked in on your own, so bring yours the first time.

What is the first-visit rule?

Say you're out looking this weekend and spot a new build with an open house. Can you just walk in? You can. Just know what happens next: if you visit first, you're in the builder's system, and many builders won't let you bring an agent later.

In my experience, builders would rather not pay a buyer's agent commission, and they'd rather you come in on your own. That's the first-visit rule. If you want an agent, bring them with you or have them call the builder ahead of time. They'll fill out a form telling the builder they're working with you.

Already filled out a form on the builder's website or called? Generally, it's not too late. What matters most is having your agent at your first visit. If I can't make it, some builders will still respect it when I email the form ahead of time.

What does it cost to bring an agent, and what will you sign?

In my experience, the builder pays my commission, so bringing an agent doesn't add a charge for you. You get extra expertise and advice along the way. Every builder's process is different, so confirm how your agent is paid before you sign anything.

Here's the paperwork you can expect:

• A form for the builder that says I'm your agent.

• A buyer agency form, the same one you'd sign with an agent when buying an existing home.

• A purchase agreement and the standard paperwork, if you decide to move forward.

Why not just rely on the builder's sales rep?

Sales reps are often friendly and helpful. I ask them the same questions my clients ask, and I work with many of them. But their job is to sell that house for the builder and get the deal done. They aren't technically on your side.

That matters when it's time to negotiate. Can you negotiate with a builder? Yes. I have for my clients. A sales rep isn't going to offer you a discount on their own. Your agent will ask. Results vary by builder, but asking is how it starts.

How is a builder's contract different?

Not the same as buying an existing home. Builders use their own version of the purchase agreement, and that's very standard for a new build. It won't be the contract you'd see on a resale. The two overlap in a sense, but the builder writes in its own clauses, like when deposits are due and how changes are handled.

That's one more reason to have your agent beside you. I'll walk you through what the builder's agreement says before you sign.

Should you use the builder's lender?

Many builders have a lender they like to work with, and it's worth hearing what that lender offers. I have lenders I prefer to work with too, so I'll help you compare them.

One thing to know: many builders want you pre-approved with their lender, even if you plan to use your own. They want someone they know and trust to verify you can buy the home. It makes sense when you think about it. You'll be choosing a lot of options for your home, and the builder doesn't want to be left with a house configured for someone who can't close.

Do you need an inspection on a new build?

Yes. A brand new home can still have problems. There are plenty of good, reputable builders, and this isn't a knock on them. But some are better than others, and a few cut corners.

An inspector who has been through homes in these larger subdivisions knows what to look for. They'll say, "I've been in a couple of these, and here's what I've noticed." That helps catch problems before you close, while the builder can still fix them.

Do you get a final walkthrough?

Yes, just like any other purchase. Before closing, we walk through the home to make sure it's what you paid for and what was promised.

Where should you start?

The first step is to call me. We'll set up a time to visit new builds together, and we can talk about the new subdivisions going in around Ann Arbor and Southeast Michigan. We'll also talk about what you're looking for in a home, and whether a new build answers that. There are plenty of existing homes out there, too.

The biggest thing is to get trusted advice before that first visit. Builders are helpful, but they represent the builder. They aren't there to represent you.

Next up in this three-episode series: picking your lot and the design studio.

Get the free guide

I put the questions to ask, the paperwork to expect, and the checkpoints from first visit to closing into one guide: The New Build Buyer's Checklists.

Frequently asked questions

Do I need an agent to buy a new build in Michigan?
I think you do. An agent works for your interest, not the builder's, and can be with you from your first visit.

Can I bring an agent after I've already visited a builder?
If you've only filled out a form or called, generally it's not too late. If you walked in on your own, many builders won't let you add an agent later. Your agent should be there for your first visit.

Does it cost me anything to bring an agent to a new build?
In my experience, the builder pays my commission, so it doesn't add a charge for you. Every builder's process is different, so confirm it before you sign.

Do I need a home inspection on a new construction home?
Yes. An inspector helps catch problems before closing, while the builder can still fix them.

Thinking about a new build?

Call or text me at 734-274-9521 before your first visit, or reach me here.

Gerrit Stukkie, Broker/Owner, Block Real Estate Group

This is general information, not legal advice. Every builder's process is different.