Any advice on buying a new home in a subdivision, I am pre-approved through my credit union,#1should I go?

FHA or E-loans online


#2 The salesman at the model home said they don't negotiate price, Is that normal?


#3 Should I get someone to represent me to negotiate price?


#4 Should I get a mortgage broker?Any advice on buying a new home in a subdivision, I am pre-approved through my credit union,#1should I go?
1. I would go FHA or another program with your credit union or other local lender.





2. It all depends on your market. During the past few years when the craziness was happening it was a seller's market where buyers had few options because there weren't that many homes available. In my market now there are lots and lots of homes for sale and not that many buyers, so even builders (who in the past got full asking price for their homes) are now negotiating.





3. I would definitely get a buyer agent to represent you in the transaction. You don't mention if the builder has listed his homes with a real estate agent. If he is selling directly to the public, you still need an experienced and knowledgeable agent who can guide you through the transaction and represent your interests in negotiating not only the price but other terms of the purchase. The builder may not like it, but I firmly believe in professional representation for the purchase of a home, one of the largest investments that most of us ever make.





In addition, it's important that you get everything in writing including all of the choices you are making for what will be in your home (i.e. countertops, colors of paint, flooring, etc.). A buyer agent can help you with this, as well as to insert some protections for you in the contract (i.e. if the builder doesn't perform as agreed).





Builders who sell directly to the public often have contracts that they use with buyers, which are very favorable to them, but which don't protect the buyer very well if something goes wrong.





Another thing your buyer agent can do is to do a market analysis for the subdivision where you intend to purchase your home to determine how much similar homes have been selling for in the past 6 months. This is what an appraiser will look at when determining the value of the home. Mostly builders will want full price, but depending on the terms of the contract, they may take less. It varies according to the builder and the particular situation.





4. Your buyer agent can also help you find a reputable local lender for your FHA loan. Your credit union may also be able to do this type of loan for you, and may give you the best rates. However, it doesn't hurt to shop around. Your credit union may also have programs and mortgage products that are more favorable to you than FHA.





Generally mortgage brokers charge more fees than banks or credit unions so your closing costs may be higher.





Hope this helps.Any advice on buying a new home in a subdivision, I am pre-approved through my credit union,#1should I go?
FHA is the best loan type especially if your a first time homebuyer. E-loans just broker your information to a bunch of different lenders. You may only need that if there are credit issues. See the 2 websites below that may help
FHA for certain


If you are willing to chance not getting the house, tell them, I am willing to pay you X amount and no more. See what they say


A real estate agent


No mortgage broker, go to a bank and ask if they do FHA loans and fill out an application with one who does