About this episode
Welcome to today's podcast. Today, we're discussing all things new construction. This is such an amazing source of business for real estate agents and brokers. First, we'll discuss the different types of new construction that you should know about. Next, we'll talk about why it's such an amazing opportunity for real estate agents to embrace. Finally, to get extensive coaching on how to make money with new construction, you'll want to join Premier Coaching by simply visiting https://PremierCoaching.com and signing up for free today. Understanding New Construction What is it? 1 - Traditional New Construction, single-family home neighborhoods 2 - New townhomes, doubles, zero lot line homes, and patio homes or zero lot line homes. 3 - Condos, low, medium, and highrise 4 - Urban and suburban infill/teardowns/rehab properties 5 - Land acquisition, lot sales, development Why should I take new construction seriously as a source of business? 1 - This is a great source to find inventory for your BUYERS that are not in the MLS! Note: many resale buyers get frustrated thinking about the cost of repairs on an older home. This is a solution that overcomes that objection. 2 - New Construction is a major part of most markets. Not knowing new construction is a handicap to your career. Don't claim it's not there if you haven't actually researched this. New construction is currently 33% of available inventory nationwide. 3 - One relationship (with the builder, developer, or sales manager) can lead to many multiple transactions. 4 - End the frustration of being in competitive offer situations with your buyers trying to buy resale homes. New construction offers them freedom of choice, time to move, and no rehab costs. 5 - Buyers can often get more house for the same payment if you find them a builder with in-house financing, rate buy-down options, or other assistance. 6 - This is actually EASIER prospecting than many other spokes because builders usually have commissions built into their pricing! Seven Ways to Make Money With New Construction From easiest to most advanced: 1 - Work in a new construction model home during the hours the builder doesn’t have coverage. Sell their product when you can and keep the leads who don’t build with that builder or don’t build at all. Think Listing leads, new construction buyer leads, etc. 2 - Create a relationship with new build reps, and/or the sales managers at different projects, where they refer the resale listings to you. If they’re licensed, you may pay them a referral fee. If not, show your gratitude with gift cards. 3 - List the spec homes the builder has under construction or homes where contracts recently fell apart. There are always opportunities that arise, especially in the larger subdivisions. 4 - List every listing the builder has, representing them on the whole project. This may include both lots to sell to other builders, and/or the actual homes being built. 5 - Sell as much as you can yourself, to your own buyers, controlling more of the project and keeping the builder as happy as possible for future developments. 6 - Bring the builder/developer land, sell them the land, list the new homes, sell those homes, lather, rinse, repeat! 7 - Develop land yourself or with investors. This may include house-by-house teardowns, rehabs, or larger projects. To learn how to execute any or all of these methods of turning New Construction into a fantastic lead source, join Premier Coaching today by visiting https://PremierCoaching.com and signing up for free.