For Realtors in new construction:
- Addresses are not used in new construction, legal descriptions are. They are listed by lot/block. When looking at a plat map, find the subject lot. The number listed on it is the lot #. The block will be in bold labeled on the same block. For example: Lot 2 Block 5 Hill’s Century Farm Sub No 01 might be described as: 2/5HCF1.
- Figuring square footage of a lot: take the lot length and multiply it by the lot width. That will give you total SF of the lot. If you want to know the acreage amount, divide the total SF of the lot by 43,560. For example: A lot is 72’x120′. 72×120=8,640sf. 8,640/43,560=.198 acres
- RE-22 is the form used for a build job. RE-21 is the form used for a spec home (or one already under construction and listed on MLS where no changes can be made).
- What is the job as the Buyers agent?: Draft purchase and sale agreement + required builder addendum #1, collect EM and deliver to listing agent for builder, attend preconstruction meeting for signing of plans, schedule and coordinate walkthroughs, facilitate signing of addendums(as needed).
- Walk-throughs: See Our Process page
Common terms used in new construction:
- Spec home: A home that is being built with a predetermined lot, plan, and finishes. Customizations cannot be made, and the home is sold AS-IS (generally).
- Build job: The lot is selected, the home plan is selected, and the home is customized for the client based on their specific needs.
- Additional consideration: The additional deposit a builder is collecting during construction. Typically, this amount is 5-20%, and is paid directly to the Builder, credited back to the Buyer at the closing of the transaction.
- New Home Orientation: The is the final walkthrough of the property prior to closing. The project manager and buyer meet at the home and discuss the functionality/blue tape any final items needing attention.
- Closing: Held at the title company (generally), this is the meeting where Buyer and Seller individually sign documents to transfer ownership of the home to the Buyer.
- Funding: When the funds for the purchase are received from the lender, and the loan funds.
- Recording: The county records the property into the new owners name, and it officially transfers ownership to the Buyer.
Frequently asked questions from buyers in new construction:
Q: What are the TCCH deposit amounts?
A: 1% for spec homes and 10%-20% for custom builds.
Q: How long does it take to build a TCCH?
A: 5-1/2-6 months, depending on permitting time with the city and weather.
Q: What type of budget do I need to build a TCCH?
A: TCCH builds in all ranges, typically from $300k-$3mil.
Q: How many homes a year does TCCH build?
A: In 2018, TCCH built 125 homes.
Q: Does a buyer get walk throughs when purchasing a home under construction?
A: The New Home Orientation will be the walk through for a buyer for an under construction home. This gives the buyers an opportunity to meet with a TCCH representative and learn about the new home.