When you’re buying a new construction home, builders often counter with reduced incentives, assuming you’ll accept less. Here’s how one smart negotiation move got everything back on the table in under three minutes.
The Original Deal That Got Countered
A recent buyer submitted an offer on new construction with attractive terms: 4% interest rate, $7,500 in closing costs, all appliances included, window blinds, and a $2,500 bonus to the selling agent. The builder came back with a predictable counter – cutting closing costs to $2,000 and removing the blinds from the deal.
Most buyers would negotiate somewhere in the middle. This buyer took a different approach.
The Power of Having Options
The selling agent called for advice on the reduced counter-offer. The strategy was simple but effective: call the builder’s agent and politely explain that the buyer has other properties they’re considering and will move forward with a different option.
The key was framing it professionally. “I really like you, you’re nice, but my buyer has other options. We have a couple other listings they really like, so we’re going to choose to go another way.”
Why This Works With Builders
Builder sales agents operate under intense pressure to close deals. They have quotas, monthly numbers to hit, and sales managers breathing down their necks. When they hear a buyer might walk away, two things happen immediately:
- They realize the commission is about to disappear
- They know their sales manager will question why they lost a ready buyer
The agent in this case said exactly what you’d expect: “No, no, no, wait. Let me talk to my sales manager and see what we can do.”
The Three-Minute Turnaround
Within three minutes, the builder’s agent called back with full acceptance of the original offer. Everything the buyer initially requested was back on the table – the higher closing costs, the blinds, all appliances, the full package.
This wasn’t luck. It was predictable based on how builder sales operations work.
When to Use This Strategy
This approach works best when you actually do have alternatives. Don’t bluff if you’re not prepared to walk away. The strategy is most effective with:
- New construction where builders have inventory to move
- Markets where builders are competing for buyers
- Situations where you’ve made a reasonable initial offer
- Deals where the builder countered by reducing incentives rather than raising price
The Professional Approach
The conversation stayed respectful throughout. No threats, no ultimatums, just a straightforward explanation that other options exist. This maintains relationships while applying necessary pressure.
Builder agents deal with this regularly. They understand it’s business, not personal. The key is communicating your position clearly without burning bridges.
What Happens If They Say Go Ahead?
Sometimes builders will accept your walkaway. That’s why you need real alternatives before using this strategy. If you’re not prepared to actually choose another property, don’t threaten to leave.
The beauty of this approach is its simplicity. You’re not creating elaborate negotiation tactics or playing games. You’re simply communicating that you have choices and will use them if necessary.
Most builders will work to keep the deal alive, especially when they’ve already invested time in the sales process.
