Buying New Construction in Phoenix? 7 Things to Check Before You Sign With a Builder

Walking into a model home is designed to feel easy. The floors are upgraded, the furniture is staged, and the sales rep is friendly and helpful. That rep is also employed by the builder, and their job is to protect the builder's interests. That is not a knock on them. It is just how the deal is set up.

If you are touring new communities in Phoenix, Mesa, Peoria, Buckeye, Maricopa, or anywhere else in the Valley, here are seven things worth checking before you sign anything.

1. Bring your own agent on the first visit

Many builders require your agent to be with you, or registered, on your first visit. If you walk in alone and sign the guest card, some builders will not let you add representation later. Ask about the builder's registration policy before you tour, not after.

Your own agent works for you, not the builder. That means someone in your corner when you review the contract, compare lots, and decide which upgrades are worth it.

2. Read the purchase contract, not just the price sheet

Builder contracts are usually written by the builder's attorneys, and they are often different from the standard resale contract many Arizona buyers expect. Pay attention to:

• What happens if the build is delayed
• What happens if you need to cancel
• What the builder is allowed to change (materials, timelines, plans)
• How disputes are handled

If something is unclear, ask for it in writing. If you want a legal opinion, talk to a real estate attorney.

3. Know where your deposit goes and whether you can get it back

Earnest money and upgrade deposits on new construction can work differently than on a resale home. In some contracts, part or all of a deposit may be non-refundable after a certain point. Ask exactly when each deposit becomes non-refundable and under what conditions.

4. Compare the builder's lender incentive to an outside quote

Builders often offer incentives if you use their preferred lender. Sometimes that is a good deal. Sometimes the incentive is offset by other costs. The only way to know is to compare a full Loan Estimate from the builder's lender with one from another lender, line by line, for the same loan type and lock period.

You are generally free to choose your own lender. Just understand what incentive you might give up, so you can make the decision with real numbers.

5. Ask about lot premiums

Two homes with the same floor plan can have very different prices depending on the lot. Corner lots, cul-de-sacs, views, larger yards, and north-south orientation can carry a premium. Ask for the lot premium list, and ask yourself whether the premium would matter to a future buyer when you sell.

6. Be strategic with upgrades

The design center is where budgets go to stretch. A few questions help:

• Which upgrades are hard or expensive to add later (structural changes, electrical, plumbing rough-ins)?
• Which are easy to do yourself later for less (paint, light fixtures, some flooring)?
• How do upgrades affect the appraisal and your loan amount?

7. Plan for inspections, even on a brand new home

New does not mean perfect. Many buyers hire an independent inspector at key stages, such as pre-drywall and before the final walkthrough, and again before the builder warranty window closes. Ask the builder what inspections they allow and when.

What about the cost of having your own agent?

Many builders offer to pay the buyer's agent, but that is not guaranteed and it varies by builder and community. Ask about it up front, and talk with your agent about how it works for your purchase.

The bottom line

A new home can be a great fit, especially if you want modern systems and a fresh start. Going in with your own representation and your own numbers helps you make the decision with clear eyes.

If you are looking at new communities and want a second set of eyes on the contract, the incentives, or the financing, start here and we will set up a time to talk.