My Pre-Contract Checklist For Every New-Construction Buyer
Six things I walk through with every buyer before they sign anything with a Las Cruces builder. Condensed version. The full guide is here.
1. Walk in with me, not alone.
The friendly person at the model home represents the builder. They are paid to close you. That's their job and they're often very good at it. None of that is independent representation.
When I'm with you, I read the contract before you sign, run the math on lot premiums and upgrade selections, evaluate whether the builder-lender incentive is actually worth taking versus the rate-buy-down alternative, coordinate a third-party inspection (yes, even on new construction, especially on new construction), and run the punch-list at the post-contract walkthrough. The builder pays my commission as part of their cost of selling the home, so for you as the buyer it doesn't add a dollar to the price.
2. Read the builder's track record like a financial statement.
A builder warranty is only as good as the builder still being in business when you need it. I weight track record heavily: how long they've been actively building in Las Cruces, how much land they currently control, how many employees they actually have, whether they've gone through a downturn before. A 10-year-plus operator with substantial land holdings and a real team is on entirely different footing than a brand-new operation with one model home and a thin balance sheet.
3. The non-refundable deposit number should make sense.
On a typical Las Cruces production-builder contract, the non-refundable portion of your earnest money should be in the neighborhood of five thousand dollars. If you're being asked to put fifteen, twenty, or twenty-five thousand non-refundable on a home that hasn't been independently reviewed, that's a stop-and-call-Gilbert moment. Sometimes there's a legitimate reason. Often there isn't.
4. The model home tells you about the market.
A model home in a fresh phase, with active dirt work and homes going up around it, is a healthy signal: the builder is selling, building, and turning inventory. A model home anchored in a community that finished years ago, with homes still listed unsold, often means inventory has stalled, or pricing hasn't caught up with the market. Either is useful information for your offer strategy.
5. Watch for the pivot.
Some on-site sales reps work for an umbrella office that represents multiple builders. If you decline their primary builder's home, they may pivot mid-conversation to a different builder under the same roof. They're paid to close any sale. They are not paid to suggest that a resale home in an established neighborhood, or a different builder entirely, might fit you better. That call is mine to make on your behalf.
6. The 10 questions I run through before any builder contract.
- How many years has the builder operated in Las Cruces?
- How much land does the builder currently control, in lots or acres?
- Is this the only model home, or do they run others I should see?
- How many employees does the company actually have?
- What is the total earnest money, and what portion is non-refundable?
- What incentive is available this month, and is it real or just a re-spin of last month's?
- Does the builder-lender incentive actually pencil out versus shopping the rate independently?
- What's standard versus upgrade on the floor plan I want, line by line?
- How is the warranty structured: cosmetic, systems, structural, and who handles claims?
- Can I bring my own inspector? (Yes. And you should. Always.)