Buying New Construction in Utah County? Your Own Agent Typically Costs You Nothing More

Model homes are built to make you fall in love. The lighting is perfect. The throw pillows have never been sat on by an actual human. There is a bowl of cookies by the door, and I am fairly sure nobody in the history of model homes has ever been offered a plain one.

I like model homes. I like builders. A lot of the newer neighborhoods around Lehi, Saratoga Springs, and Eagle Mountain exist because a builder took a risk on a field. And the person who greets you in the model is usually friendly, sharp, and very good at their job.

Their job is selling the builder's homes for the builder.

That is not a knock. That is just who signs their checks. Builders are great, and they have their own team. You deserve yours.

So here is my honest answer to a fair question: do you need a realtor for new construction? You don't have to. I just wouldn't go in without one, and here is the headline: having your own agent typically costs you nothing more.

Why it typically costs you nothing more

In new construction, the builder commonly pays the buyer's agent, because agents bring builders buyers.^6,9 That is a common setup, not a law of nature, and it is not the same at every builder or every community. So I never promise "always free." I promise you will know the number before you sign anything.

Here is how it works now, because the rules changed in August 2024:

1. You sign a written buyer agreement with me before we tour. Since August 17, 2024, under the National Association of REALTORS settlement rules, an MLS agent working with a buyer needs a signed written agreement before touring a home with them, in person or by live video.^1,3 In Utah, that means a written buyer-broker agreement with my brokerage, signed before we tour.^4,5
2. The compensation is spelled out in writing. It has to be a clear number or rate, not "whatever the seller offers." Broker fees are not set by law and are fully negotiable, and the agreement says so in plain language.^1,2
3. I can't be paid more than what we agreed. Not from the builder, not from anyone.^2,4
4. Offers of agent compensation can't go on the MLS anymore.³ So I call or email the builder and confirm their compensation in writing up front, before you sign a purchase contract.

What if the builder won't pay, or pays less than what's in our agreement? Then we talk about it before you sign, not after. We can ask the builder to cover it as part of your deal, adjust our agreement, or you decide whether to cover the difference. It is negotiable, it is disclosed in the agreement, and there are no surprises at the closing table.

"I already visited the model and signed up"

You can absolutely walk into a model home, sign the guest card, and get started on your own. Nobody is stopping you. The point is to have your own agent with you, ideally from that very first visit, because many builders tie agent compensation to that first visit.⁷

Policies vary. Some builders require your agent to register you, or be with you, at your first visit to that specific community. If you were already registered as an unrepresented buyer, some will not pay an agent who shows up later. Others let your agent call ahead, and some only need your agent registered before the purchase agreement.^6,7,8

If you've already registered, call me anyway. Some builders will still work with your agent. It varies, and I will find out. Worst case, you still have someone on your side reading the contract, and we settle compensation in writing before anything is signed.

What I actually do for you on a new build

I publish builder deals across Lehi and Utah County every week, so I watch incentives and price changes constantly. I have also done several flips this year, which means a lot of time staring at framing and finishes, arguing with myself about whether a tile upgrade will ever pay me back. Here is what that turns into for you:

1. Confirm the builder's compensation in writing before you sign anything.
2. Register you at your first visit so you don't lose representation by accident.
3. Read the builder's contract with you and flag the parts that matter.
4. Help you weigh lots, premiums, and upgrades against resale.
5. Compare incentives: price reduction vs. rate buydown vs. closing costs.
6. Get independent inspections scheduled at pre-drywall and final.
7. Walk the punch list with you before closing.
8. Follow up on warranty items after you move in.

Incentives: price cut or rate buydown?

Builders often offer a rate buydown or closing cost help through their preferred lender. Sometimes that is a great deal. Sometimes a straight price cut is better. It depends on how long you will keep the loan.

1. Temporary buydowns (like a 2-1) lower your rate for the first couple of years, then it goes back to the full note rate. In a 2-1, the rate is 2 percentage points lower in year one, 1 lower in year two, then full rate from year three on. You still have to qualify at the full rate.^13,14
2. Permanent buydowns use discount points. One point is 1% of the loan amount, and it lowers your rate for the life of the loan.¹²
3. Price reductions lower what you borrow. They also lower the recorded sale price, which becomes a comp for future appraisals nearby. My read: that is one reason builders often lean on incentives instead of price cuts.
4. Preferred lender incentives can be real money. The incentive may only come with their lender, but you generally can't be required to use a builder's affiliated lender to buy the home, and you can shop.^12,16 I want you to get at least one competing Loan Estimate.
5. Loan programs cap builder contributions. For example, Fannie Mae limits financing concessions to 3% of the price on a primary home when you put less than 10% down.¹⁵ Your lender should confirm your limit before you count on an incentive.

Lots, premiums, and the design center

Lot premiums are real money for corners, open space, or views. Some of that comes back at resale. Some of it just makes you happy every morning, which is also fine. I also look at which way the driveway faces. A north-facing driveway in January keeps its ice like it signed a lease.

At the design center, my flip brain kicks in. My advice: spend first on things that are hard to change later, like structural options, extra outlets, plumbing rough-ins, windows, anything inside the walls. Light fixtures, paint, and cabinet hardware can wait. I would rather you not pay builder prices for something you could swap in on a Saturday.

The contract was not written for you

Builders generally use their own purchase agreement drafted by their attorneys, not the standard Utah Real Estate Purchase Contract most resale buyers sign.^10,11 It is long. It was written by people who are very good at their jobs. Their job is not you.

Things I read closely:

1. Deposits and earnest money. Earnest money and design deposits are often nonrefundable. Know exactly when your money goes hard.
2. Timelines and delays. How firm is the completion date, and what rights does the builder have to extend it?
3. Price escalation. Some contracts let the price change during construction. Know if yours does.
4. Appraisal gaps. If the home appraises below the contract price, who covers the difference, and can you walk?
5. Financing and lender terms. Is an incentive tied to a specific lender or closing date?

Yes, inspect a brand new house

City inspections check for code compliance.¹⁸ An independent home inspector works for you. I recommend two inspections:

1. Pre-drywall. After framing, roofing, windows, plumbing, electrical, and HVAC are in, but before insulation and drywall cover them.¹⁷ Drywall is wonderful. It hides everything. That is also the problem.
2. Final. Before your walkthrough, so the punch list is based on what an inspector found, not just what you happened to notice.

Walkthrough, punch list, and warranty

At the final walkthrough, every scuff, gap, and sticky door goes on the punch list in writing. After closing, builder warranties commonly follow a pattern like one year on workmanship and materials, two years on systems like plumbing, electrical, and HVAC, and longer coverage for major structural defects.¹⁹ It varies by builder, so read yours. File warranty claims in writing and keep a record. I help you track deadlines so nothing expires quietly.

HOA, CC&Rs, and PIDs

Many new communities have an HOA, and while the community is still being built, the developer typically controls it. Dues are sometimes subsidized during that phase and can go up after the handoff.²⁰ I want you to read the CC&Rs, the budget, and any special assessment history.

Then there are Public Infrastructure Districts, or PIDs. Some large Utah communities use them to pay for roads and other infrastructure.^20,21 A PID can levy a property tax of up to .015 per dollar of taxable value, with some exceptions,²² and the obligation can stay with the home for years.²⁰ As of May 2026, Utah law requires the seller to disclose the expected annual PID cost at or before closing.²³ "At or before closing" is a little late for my taste, so I ask up front. It is not a typo on your tax bill. It is just a tax bill with a sidekick.

Think about resale on day one

Your home may someday compete with brand new homes from a later phase, possibly with a better incentive than you got. That is not a reason to skip new construction. It is a reason to pick your lot, plan, and upgrades with your future buyer in mind.

If I were you

I'd call before the cookies. I'll register you, confirm the builder's compensation in writing, and stay with you through inspections, closing, and the warranty year. There's no reason to go into a new build solo.

More from Lehi: how a Lehi family farm became Holbrook Farms, and what the 2100 North freeway means for your commute.

This post is general information, not legal, tax, or lending advice. Builder policies and contracts vary, so read yours and talk to an attorney or lender about your situation.

Sources

1. NAR, Consumer Guide to Written Buyer Agreements: link
2. NAR, Written Buyer Agreements 101: link
3. NAR, Settlement FAQs (web and Oct 2024 PDF): link, link
4. Utah Association of REALTORS, UAR forms update (buyer-broker agreement changes): link
5. Utah Code 61-2f-308, Brokerage agreements: link
6. EDGEhomes, Realtors page (an example of a builder's agent policy): link
7. Toll Brothers, Real Estate Agent Center FAQ (an example of a first-visit registration policy): link
8. Risewell Homes, Broker Policy (an example of call-ahead registration): link
9. RealEstateNews.com, Will builders start lowering agent commissions? (Oct 22, 2024): link
10. Utah Code 61-2f-306, forms licensees may fill out: link
11. Utah Admin. Code R162-2f-401f, Approved Forms: link
12. CFPB, How should I use lender credits and points?: link
13. Fannie Mae Selling Guide B2-1.4-04, Temporary Interest Rate Buydowns: link
14. FHLBank MPF, Temporary Rate Buydowns (May 2025): link
15. Fannie Mae Selling Guide B3-4.1-02, Interested Party Contributions: link
16. CFPB, Regulation X 12 CFR 1024.15, Affiliated business arrangements: link
17. InterNACHI, Pre-Drywall Inspection Standards of Practice: link
18. InterNACHI, Understanding All Types of Code Inspections (IRC R109): link
19. FTC, Warranties for New Homes: link
20. Utah Office of the HOA Ombudsman, Buying a Home in a Utah HOA? checklist (April 2026): link
21. Utah Code Title 17D, Chapter 4, Public Infrastructure District Act: link
22. Utah Code 17D-4-303, PID property tax levy limit: link
23. Utah Code 57-1-49, PID cost disclosure (effective May 6, 2026): link