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Buying a New Home: A step-By-Step Guide

Selecting a Neighborhood

Location is one of the most important considerations when shopping for a new home. Weigh the pros and cons of living in the city, the suburbs or the country. Compare neighborhoods as carefully as you compare houses.

Consider practical aspects such as time and distance to work, schools, shopping and the availability of transportation. Make personal observations, but also consult your builder, local government, friends, and if possible, people in the neighborhood.

As you explore each home, use the following checklist to determine whether the neighborhood suits your needs.

Choosing a Builder

The quality of your new home will largely be determined by the quality of the builder who constructs it. Search carefully for a reputable firm that builds a quality product.

Do not start your search by leafing through the Yellow Pages. Refer to the list of Professional Builder Members of the Northern Virginia Building Industry Association listed under "Volume Builders" or "Custom Builders" (depending on your purchasing desires) on this website. Then ask several of those builders for references. Find out if those references are satisfied with their homes. If they have had problems, learn specifically what went wrong so that you will know what to watch out for.

After you have identified several builders in your area, checked their references, visit some of the homes they have built. Knock on doors and ask people how they like their homes. Or visit the neighborhood on a Saturday morning when people are doing yardwork and outdoor chores. Donate be shy. Ask about the builder's customer service program. Look at the homes yourself to see if they are soundly and attractively built.

Check each builder's credentials. Find out how long the firm has been in business and what kind of reputation is has established in the business community. Try to ascertain information about the builder's credit rating. Check with the Better Business Bureau and local consumer protection agencies to learn if the company is reliable and if there have been any complaints.

Also find out if the builder is a member of the local homebuilders association. Check with the association to verify the builder's reliability and professional standing.

The builder's ability to offer an attractive financing package may be another consideration. Remember, however, that financing has no bearing on the quality of the builder's houses.

Make a special effort to learn what type of customer service and warranty protection builders offer. Do not wait until after you have purchased a house to find out how to correct problems. Most builders offer some form of written warranty. Find out the length of the warranty, if it is backed by an insurance company and what procedures will be followed if a problem arises. Ascertain what responsibility the builder assumes for the work of subcontractors and others who helped to build the house. And be sure to understand who will be responsible for correcting problems with your major appliances.

Many builders back their own warranties on workmanship and materials, typically for one year. A warranty backed by insurance costs more, but it offers more protection. If for any reason the builder fails to meet the warranty obligations (such as if the firm goes out of business), the insurance may cover warrantable items over and above a one-time deductible.

One of the most attractive features for the consumer is that if a dispute over warranty coverage arises, an impartial third party often will mediate. The dispute settlement procedure often costs the consumer nothing, and it is faster, more efficient, less expensive and less emotionally draining than filing a lawsuit.

There are several insured warranty programs on the market; not all of them offer the same coverage. Take the time to read through your warranty documents, and become familiar with the most important elements. If you don't understand something, ask questions.

Working With the Builder

After you select a builder, cooperation is essential, especially if you are purchasing a custom-built home or a home that is still under construction. If the builder asks you for a decision, answer as quickly as reasonably possible after giving the matter adequate consideration. And once you reach a decision, stick with it. Don't change your mind the next day.

Of course you will want to check on the progress of construction now and then, but do not loiter around the construction site. If you do visit, stay out of the workers' way and abide by safety rules. You can ask questions, but do not start arguments on the job site. If you want to change something, put your instructions in writing and expect to pay for the changes.

Stay in close contact with your builder during the final stages of construction, because unexpected delays can push back the move-in date. Supply shortages, bad weather, and other factors beyond the control of the builder could delay the completion of your house.

All in all, be cautious and thorough when selecting the builder of your new home. Once you have moved in and have become comfortably settled, you will realize that it was well worth the effort.

Final Inspection

Before settlement, you and your builder will "walk through" the house to conduct a final inspection. The walk-through should be scheduled long enough before settlement to give the builder adequate time to remedy any problems you discover.

The most efficient way to handle a walk-through is to use a checklist. The list should include everything that needs attention, with a timetable for repairs.

Some items may have to be corrected after settlement; for instance, if your walk-through is in the winter, your builder may have to delay landscaping adjustments until spring. You and your builder should agree on repair dates for such items. Both of you should have signed copies of the checklist to prevent misunderstandings.

Builders prefer to remedy problems before you move in, because it is easier for them to work in an empty house.

Outside Grading

Roof and Gutters

Exterior Appearance

Inside

Doors and Windows

Finishes

Floors

Appliances

Basement and Attic

Show Low Office
Randolph Tenney, Broker
60 South White Mountain Rd.
Show Low, Arizona 85901
Office: (928) 532-1111
Toll Free: (800) 237-6230
Email: info@gmactenney.com
Pinetop/Lakeside Office
Mark Rodenborn, Branch Manager
1413 E. White Mountain Blvd.
Pinetop, Arizona 85935
Office: (928) 367-3100
Toll Free: (800) 422-6812
Email: info@gmactenney.com
Snowflake/Taylor Office
Troy Goodwin, Manager
1300 S. Main St.
Snowflake, Arizona 85937
Office: (928) 536-5600
Toll Free: (866) 297-0143
Email: info@gmactenney.com
Holbrook Office
Yvonne Larson, Branch Manager
1100 W. Hopi Dr.
Holbrook, Arizona 86025
Office: (928) 241-1229
Email: info@gmactenney.com