Florida New Construction Home Buyers FAQ Guide: Avoid Costly Mistakes Get a Properly Built Home

New Construction Home Buying FAQ – Comprehensive Guide

Home buyers considering new construction typically have questions across several key areas.  What is important to know for a build?  This guide applies to all towns and cities in Florida.  Buying a house whether it is new construction completed, to be built, or a used resale requires a smart strategy.

🎯 Priority #1: Quality Construction

Top Priority: The buyer needs a house that is properly assembled to Florida Residential Code and Standards. Failure to accomplish this will cost the homeowner money over time for repairs. These later repairs can cost more than any dollar amount of incentives received early on.

  • The stress of repairing the house.
  • Possibly having to move out while it’s being fixed and paying a mortgage, taxes, and then renting another house. Hiring a lawyer to sue a builder again can cost more than a buyer can afford. The time spent in court. It can all be prevented with a strategy from the start and some care.
  • Most Homeowners insurance companies will not cover construction defects!

Example: A leaking house will not only cause structural damage to the property but also depreciate resale value. All experienced agents and home inspectors know that resale homes smelling like air freshener are typically covering up the mold and mildew smell which is permanent in the house.

A Properly built house will be repair free for many years to come.  It will be a safe dwelling providing years of stress free living and enjoyment!

📝Notes

Many buyers don’t realize how different builder contracts are from standard resale contracts. Builders contracts are written by the best lawyers.  Realtors are not licensed to give legal advice or trained to understand contract law. In Florida, only a real estate attorney should explain contract terms. ⚖️

Remember: The goal is getting a properly built home that meets Florida Residential Code and manufacturer specifications. This requires strategy, active involvement, professional representation, and thorough inspections throughout the construction process. 🎯✅# 🏠  High Sales numbers could also be the combined numbers of many agents on a TEAM.  Agents join teams when they are unsuccessful on their own.  The team owner  agent collects money from the ones who joins his/her team.

👩‍💼 Hiring a Realtor for New Construction

📊 How important are a Realtor’s high past sales numbers?

High Sales Volume or Top Seller is a bad reason to hire an agent. ❌ High sales numbers indicate great marketing and advertising, not construction knowledge. High-volume agents may rush buyers into contracts quickly and disappear after the builder contract signing.  Properly helping a buyer through a build takes alot of free time and knowledge.

⭐ What is the most important skill when hiring a Realtor for new builds?

Skills should be a background in construction, like a general contractor or home inspector. Along with the certifications to prove training.  A house that will be properly assembled to Florida Residential Codes and Manufacturer’s installation instructions of components is a top priority. Anything less will cost the buyer lots of money in the future. Removing siding or stucco on a small house to fix the underlayment sheathing can cost $20,000+.

  • The agent has to send emails and talk to construction managers to assist in getting the house repaired. If the agent can’t communicate Florida Code, and identify defect issues, and repairs the buyers will be at a huge loss. Construction managers know who they can hide issues on.
  • The understanding of defects also helps during inspection to supervise the Home inspector. They are human and will miss issues. Some Inspectors will also lack skill. Some will rush to finish early. Some will forget to put issues found in the report. A Realtor like Rich Noto who knows what to look for will check to ensure all issues were addressed in the report.

🤷‍♀️ What is the least important qualification for new construction?

Knowledge of the community and surrounding area. All Realtors get community information from the builder’s website or sales team – information any buyer can obtain directly. 🌐

✅ Should I hire a Realtor for new construction?

The simple answer is yes. Even if you can’t find a real estate agent that is trained in construction defects. Having the agent as a third party witness can help with better treatment, better incentives and negotiations. If the agent knows the questions to ask. Not being alone with sales and construction is important. As long as the agent truly is on your side. Bottom line is the builder pays the agent and sets the amount. Not using it only results in a loss for the buyer. That agent’s pay will not go to the buyer! 💸

📋 Do I need to sign a representation agreement with a Realtor to see homes?

Yes, based on the August 2024 Regulation changes it is required when working with an agent. More information here: Buyer Brokerage Agreement Consumers Guide. 📄

🤐 Are there some things I should never say to a builder?

Yes. Many buyers unknowingly say things in person, on the phone or in emails (even worse) that they should never say.  It can be used against them later on. ⚠️

🏠 Resale vs. New Construction

🤔 Is purchasing a used resale house a better option?

No. ❌ Used homes were once new homes where the original buyer probably ignored proper building and inspections. The house has had wear over the years and also the owners’ lack of caring for it.

For example, many homeowners will let the roof leak for years, but then call in a roofer for repairs right before selling it. This was told to me by a roofing company. Because the homeowner realizes a good home inspector will find the issues and property value will go down by thousands of dollars. Some sellers will also try and sell the house with hidden defects, to the unsuspecting buyer. All the wear and tear, rotting wood and mold is already in the attic and behind walls. 🏠💧🦠

⏰ Timeline and Process

⏱️ How long will construction take from start to finish?

Construction of 5 to 8 months is a good timeframe for 1,500 to 3,000 square foot homes.

🏗️ What are the key milestones and when can I expect updates?

Most builders will not provide updates unless the buyer’s Realtor makes contact requesting it. The agent or buyer must pursue updates often, or many builders will pass right by the timeline and continue building.

👷 Can I visit the site during construction?

This depends on each individual builder’s policy. Stepping foot on a construction site requires permission from either the builder’s sales team or construction managers. Going alone or after hours can be considered trespassing.

⚠️ What safety issues should I consider on construction sites?

Construction sites are very hazardous:

  • Floor hazards: Sharp nails, tacks, splintered wood, sharp metal 🔩
  • Structural hazards: Loose floorboards, improperly secured roof and floor trusses, falling framing materials 🏗️
  • Health hazards: Construction dust from cutting components contains carcinogenic substances 😷
  • Wildlife: Fire Ants, Snakes, Animals

Safety Requirements: Wear a hardhat ⛑️ and properly rated dust mask 😷.

🌧️ What happens if there are weather delays or other setbacks?

Builders will continue as weather permits. Closing dates will be set further back as needed. Builders have sales number deadlines to meet and want homes built as quickly as possible to collect bonuses. This varies from builder to builder, especially when making repairs after inspections.

🎨 Customization and Design

🛠️ What design choices can I still make at this stage?

  • Build from land: Choices can be made right after contract at the design center 🏗️
  • Inventory house: Typically no design or color changes can be made 🚫

💰 How much will upgrades cost, and what’s included in the base price?

The base price includes whatever the builder includes as standard (e.g., quartz or granite countertops, specific flooring). Upgrade costs vary by builder and community.

🎨 Can I see samples of materials, fixtures, and finishes?

Yes. Some builders have samples in sales offices or models. Others have design centers where you’ll select:

  • Cabinets and countertops 🚪
  • Tile flooring and carpets 🏠
  • Lighting 💡
  • Camera and home theater wiring 📺
  • Electrical outlet locations ⚡
  • Plumbing locations for water filters 🚰

🔄 What happens if I want to make changes mid-construction?

Builders do not allow it as all permits and costs have been factored in. But asking may be worth a try.

🏡 Questions About the Home Itself

📐 What floorplans are available, and can they be customized?

Many floor plans are available at each community. Every builder differs on customization options. Some builders are “spec home” only, meaning they package homes with upgrades or basics and sell as-is.

💵 What is included in the base price vs. what counts as an upgrade?

Base price varies from builder to builder and community to community. At the same builder, one neighborhood may have granite countertops standard while another has quartz standard. Carpet may be standard in one house, and tile in another or luxury vinyl plank.

🌿 What kind of energy-efficient features are standard?

Features vary by builder and location:

  • Windows: Hurricane impact windows more common in coastal Florida 🌪️
  • Insulation: Fiberglass batt on exterior walls or spray foam 🏠
  • Attics: Blown insulation or spray foam ⬆️
  • Certification: Energy Star Certified builders typically use spray foam ⭐
  • Sheathing: Exterior sheathing types affect insulation performance 🔧

🎨 Can I choose finishes, colors, and design features? If so, by when?

This depends on the individual builder’s policies and timing.

🏞️ What is the lot premium for specific locations?

Lot premiums for corner lots, waterfront, or cul-de-sac locations vary based on:

  • Community 🏘️
  • Lot location and size 📏
  • Range: Free to $100,000+ 💸

🏠 Are there model homes I can walk through and will upgrades be displayed?

Yes. Model homes vary in what they display:

  • Standard features: If everything is included ✅
  • Upgrades: If upgrades are allowed ⬆️
  • Non-available features: Sometimes models show features not offered (pools are common examples) 🏊‍♀️

💳 Financial Considerations

💰 How does the payment schedule work during construction?

Most commonly, the full deposit is required at contract to start building. Some builders may ask for a large sum with the remainder negotiated at later times.

🧾 What exactly is included in the contract price?

Contract Price = Base Price + Lot (land) + Upgrades

➕ Are there likely to be any additional costs or change orders?

No, the contracted price is it. But it is always a good idea to have a Florida Licensed Real Estate Attorney read it over. Florida Realtors are not allowed to translate and interpret a builder’s contract or give legal advice. ⚖️

🏦 How does financing work for new construction versus existing homes?

It’s the same process: Find a lender or use the builder’s lender, get approved, and follow the mortgage lender’s instructions.

👩‍💼 Who pays the Realtor with New Construction?

The builder sets the Realtor commission, which can vary by:

  • Individual house 🏠
  • Build stage 🏗️
  • Community 🏘️

Builders have a marketing plan. They advertise to buyers and to agents. When the buyer walks into the sales office alone, the builder’s marketing plan and money spent advertising was successful. If a buyer calls the sales office, calls the number on the website, sends a message through the website chat, sends an email, or any other method of communication that the builder can match with a buyer at contract they may deny paying the agent. Again the money spent advertising was a success. 📞💻

When the buyer contacts the Realtor first the builder sees it as the advertising to the Realtor worked. The agent is the “Procuring Cause” of the sale. Each builder will have their own variation on the policy. Some will block a buyer for life once that buyer contacted the builder alone. Others may allow an email or call or even a sales office visit. It’s important to always contact the Realtor First. 📞✅

Some builder contracts mention how using an agent does not reduce getting the best deal or cost the buyer more. If a house costs $300,000, it still will with or without the agent. Most of the time the best deals are with the agent. 💰

🛡️ Quality and Warranties

⏰ What warranties come with the home and for how long?

Warranties will vary from builder to builder. But a common one is 1-2-10. 1 Year for the whole house (not counting paint chips and scratches or potentially garage cement floor cracks). 2 years for the plumbing and electrical wiring behind the walls. 10 years for the structure.

⚠️ What concerns should I have for house defects after warranty expires?

Typically a lot of the large costing repairs will show themselves after the 1 year warranty is expired. Some builders will avoid making repairs if they are costly. Some will even avoid cheaper repairs.

🚨 What are some examples of issues after closing?

Most slow window leaks around the flashing area will take 2-3 years to show. Bad exterior installation of Zip Systems, WeatherLogic, Typar, Tyvek, stucco, siding, will all show with the right rain or many days of continuous rain. Hurricanes, tropical storms, wind driven rain, can expose the flaws early on. Roofs can have the smallest leaks from bad underlayment and poor vent flashing and sealant. Poorly installed foundations could result in pipe leaks underground and cracking of cement in garage, moisture entering house.

🔧 Who handles warranty issues after I move in?

The builder handles warranty claims through:

  • Online website submission 💻
  • Assigned warranty representative 📞

❌ What quality control measures are in place during construction?

Very poor quality control. A construction manager or superintendent can have 15-80 homes at once. Be overwhelmed, bad at finding issues and making repairs, and/or just not care. The county inspectors tend to show up and approve the work without even looking. ⚠️

🔍 Can I hire my own Florida Home Inspector at various stages?

Yes, per the builder’s contract terms.

Pro Tip: Hire 2 different inspection companies. 💡 Most Realtors do not know how homes are built. No knowledge of codes and standards. This leaves the buyer at a huge disadvantage. If this is your Realtor of choice, then having the reports of 2 different inspection companies will uncover more defects. Most inspectors alone will catch 20-80% of the defects. It only takes 1 defect to slip by to end up costing the buyer thousands of $$$ to repair.

🛠️ What’s the process for requesting warranty service after closing?

Use the builder’s website or call the warranty representative.

🚫 What’s the cancellation policy if I change my mind?

Builders do not offer deposit refunds for cancellations. Check your contract with a FL Real Estate Lawyer for the specifics. ⚖️

⭐ Which builder is best for getting defects repaired?

Some builders are much better than others. Some will fix more issues and even pause the build to make repairs.

Pro Tip: Rich Noto recommends builders based on the construction stage the buyer wants to build at and whether all recommended inspections will be completed. Recommendations differ for buyers purchasing completed houses versus those at framing or foundation stages, and whether buyers opt for inspections. 🏗️

🔎 Inspections & Quality Control

🏠 Can I bring a private home inspector for each stage of construction?

Builder policies vary:

  • Some allow inspections during certain stages ✅
  • Some don’t allow any inspections ❌
  • Some don’t allow foundation or pre-drywall inspections 🚫

🛡️ How does the builder ensure quality control during the build?

Builders do not really ensure quality.  This is the buyer’s job. ❗The builders will do punch lists but always miss a lot.

The buyer needs a team with:

  • a Realtor with construction-based license background/certifications.
  • a skilled Home Inspector that goes beyond the standards of practice minimums, and has proper equipment, and climbs ladders.
  • a Structural Engineer ready on call.

When builders know the buyers do not know how homes are built and the Realtor does not understand construction, and no one is making efforts to monitor the build, the builder will give the buyer a badly built house.

⚠️ Are there examples of common issues buyers should watch out for?

Yes, every house I have seen has common defects and some surprises. At each stage this list would vary.  Most homes have 20-40 defects or more.

📦 Move-in and Completion

🏠 What condition will the home be in at closing?

It should be fully completed and repaired. Some builders will try and close with the house not being fully completed. The condition will be based on what efforts the buyer took during the build.

🌳 Will landscaping and exterior work be completed?

Sometimes yes, sometimes no – varies by builder and contract.

⚡ How do utility connections work?

Contact local electric and water companies and internet providers directly. 📞

👀 What’s the final walkthrough process like?

It usually involves a construction superintendent or sometimes a representative. Buyers walk the house and check on issues to see if repairs have been made. A construction trained Realtor is essential at the time.

⏰ Construction Timeline Details

⏱️ What is the typical build time for this floorplan?

Build time varies based on:

  • Square footage 📏
  • Upgrades (houses with tray ceilings and backsplashes take longer) 🎨

⚠️ What factors could delay construction?

  • Weather 🌧️
  • Supply chain shortages (like during COVID-19) 📦
  • Local contractor shortages 👷‍♂️

👀 Will there be walkthroughs during construction?

Walkthrough policies vary by builder:

  • Some do pre-drywall orientations ✅
  • Some do not offer walkthroughs ❌

👷‍♂️ Who oversees the construction process, and how do I get updates?

The construction manager also called the superintendent. Updates are achieved by frequent reminders and showing interest. A buyer alone or with a Realtor that vanishes after contract will get worse help than a smart buyer who did it all right from the start.

🏘️ Builder and Community

📅 What’s the planned timeline for the overall development?

Ask the sales team for development timeline information.

🔊 Will there be ongoing construction noise from other homes?

Yes, until homes in the area or street are completed. 🏗️

👷‍♂️ Who does the building of the house?

Local contractors are hired for specific trades here are examples:

  • Roofers 🏠
  • Siding companies 🏡
  • Framers 🔨
  • Masons 🧱
  • Plumbers
  • Electricians

Sometimes hired contractors subcontract the work as well.  The skill level of each worker will vary.  All it takes is 1 guy to make a mistake on every house he works.

🏘️ Are HOA and CDD fees common?

  • HOA (Homeowners Association) fees are much more common 🏠
  • CDD (Community Development District) fees are less common 📋
  • The sales advisor will have information about fees charged 💰

💰 Pricing & Financing

🎁 What incentives are available?

Common incentives include:

  • Closing cost credits 💸
  • Rate buy-downs 📉
  • Free upgrades ⬆️

Incentives can change daily based on builder requirements controlled by corporate offices:

  • Slow sales: Incentives increase ⬆️
  • Fast sales: Incentives decrease ⬇️

Pro tip: Incentives are never more important than a builder who will help build a quality house.

🏦 Is there a preferred lender or title company?

  • Preferred lender: Must be used to get incentives ✅
  • Title company: Seller controls selection, but some builders may change if requested 🏢

💳 How much is the earnest money deposit, and is it refundable?

Earnest money varies based on:

  • Builder requirements 📋
  • House cost 💰
  • Mortgage type (FHA, VA loans) 🏦

🚫 What happens if financing falls through before closing?

The builder will usually keep the deposit. Buyers should never make large purchases without consulting the lender first for approval. Many buyers make the mistake of buying furniture for the house days before closing and it changes their debt to income ratio, causing the mortgage loan to be denied.

📈 Can I lock in my interest rate now, or should I wait until closer to closing?

The mortgage lender will alert you when the interest rate can be locked in, usually during the last two months it is offered.

👥 Professionals Involved

🏢 Who does the builder’s sales person represent?

Sales persons always represent the builder (it’s stated in most contracts). Their job is to get the best deal for the builder. Sales people are not Realtors either. Sales people (like standard Realtors) typically do not know how homes are built either, even though they sell them.

🤝 Will my Home Inspector negotiate repairs with the builder?

No. The inspector’s only responsibility is to observe issues found during inspection and document them in a report. Third-party inspectors work for the buyer. 📋

🚫 The builder sales person said a home inspector is not needed because their homes are third-party inspected?

This usually means the county inspector is checking the house. Sometimes they may hire a third party home inspector as well. Either way they always miss a lot of issues and those reports are not the buyer’s property. Sometimes this is said to sway the buyer away from seeing how bad the homes are being built. Remember if the buyer leaves the contract the sales person will not get paid.

Do I need a Florida Real Estate Lawyer?

Technically no, but recommended. And some people do hire one and many do not.  Its a good idea to have one picked out in the event of issue.  Look for one that specializes in construction defects and builder contracts.  Some lawyers will have a package deal where emails to builders are copied and go through them as well to monitor the process.  Some Florida home buyers hire the lawyer to review the contracts.

✅ Conclusion

Whether you’re buying in Clermont, Davenport, Zephyrhills, San Antonio, Minneola, Winter Haven, Lake Wales, Tampa, Orlando, Winter Garden, Kissimmee, Lake Alfred, Apopka, Eagle Lake, Haines City, Poinciana, Groveland, Ocala, Parrish, Palmetto, Dundee, or Saint Cloud, the key to a successful new construction purchase is preparation, knowledge, and professional support.

Working with a Realtor experienced in Residential building construction, hiring qualified inspectors, and staying actively involved throughout the process ensures your home is built properly to Florida Residential Codes and standards. Following this strategy will protect your investment, minimize stress, and give you years of safe, worry-free living in your new Florida home.