Toll Brothers Co-Founder's Daughter Walks Away From Buying a Toll Brothers Home

Ok - I've heard of people walking away from the purchase of their new construction property - but this one is pretty funny.

Wendy Topkis - the daughter of Vice Chairman and co-founder Bruce Toll of Toll Brothers - informed the company last month that she and her husband "did not intend to make settlement" on a $2.47 million home they had previously agreed to purchase.

Toll Brothers said it intends to pursue its rights under the agreement of sale.

Toll Brothers said expects a 22 percent decline in home-building revenue for its first fiscal quarter, ending Jan. 31st.

I wonder how hard they will hold Wendy's feet to the fire.....

Locally - sales at Toll Brothers Hawthorn Woods Country Club has been slower than expected - and they are dealing with re-sale units in that same complex - competiting with their new construction.

I live just up the road from there - in what I consider to be a much better development (more unique and better built custom-built homes and a beautiful lake) - and in any case - I created a real golf green in my backyard.... complete with sand traps and water hazard.... :-) So - I can golf for free anytime I want :-)

Interesting in purchasing a home in Hawthorn Woods Country Club? DON'T SIGN IN WITHOUT AN AGENT! Obtain representation first. Builders will not pay out their commission if you want to be represented by a professional after you sign in alone. They love it when you do that - because you'll have no one on your side - fighting for your best interests.

If you are thinking about purchasing a home in Hawthorn Woods Country Club - as professional negotiators (We are Exclusive Buyer Agents - never representing sellers or builders - so we are always on YOUR side) - we'll help get you a much better deal than you'd ever be able to get on your own. Feel free to contact us for more information.

Link to Kiplinger's Personal Finance Article - In a Market Where Negotiation Counts.... Find an Exclusive Buyer Agent

Kiplinger's Personal Finance Article - In a Market Where Negotiation Counts.... Find an Exclusive Buyer Agent

The article states, "In a market in which negotiation counts, you'll do well to hire a buyer's agent to help you identify good prospects and to frame and negotiate your offer (to find an exclusive buyer's agent, go to www.naeba.org). Look for one who is knowledgeable about your area's new-home market -- its dynamics, values, builders and subdivisions."

The only problem with the paragraph is that they should have put the word "exclusive" in front of - buyers agent -- when stating -- "you'll do well to hire a buyer's agent."
As a buyers agent works for a company that lists property for sale and may represent the seller 99% of the time... whereas an exclusive buyer agent and their company never represent the seller.

The article mentions how builders can try to make the buyer use the financing partner of the builder..... Which again - relates to some of my posts below...about lender steering..

A good agent will help you compare the lender's offerings with those of another lender, analyzing the good-faith estimate. Instead of getting extra material things thrown in - see if you can have them NOT give you the material things - and get yourself an added price reduction instead...

The article also give you tips on how to select a good home builder.... All in all - it is one of the better written Real Estate articles I've seen in a long time - meaning - accurate facts.

Don't Visit New Construction / Builders Without Representation!

As a consumer - did you know that when you sign into a new construction community by yourself - that you lose your ability to be represented at a later date on that same property (without any cash out of your pocket)? It is a dirty little secret that the builders never tell you about. Of course - they don't. If you sign in on their sign-in sheet without an agent - they get to save 3-4% (what they would have paid out to the agent's brokerage.)

When you sign in to new construction - the builder has you by the yin yang. If you visit again later - with your preferred Real Estate representative - they won't get paid if you purchase in that community. If you have a buyer agency agreement with that rep - you'll have to pay your agent out of pocket - because the builder isn't paying out.

On the other hand - lets say you had a buyer agency agreement for 3% with your agent - and the builder pays out 4%. Guess who gets the extra 1% when you sign in as being represented by that agent? You do - the buyer! That is one great advantage of having a buyer agency agreement. (The other advantage is that it spells out your agent's responsibilities to you in writing. You know if dual agency is possible or not for example.)

Builders LOVE IT when buyers come in unrepresented. That means that they can charge their normal rate for the property - plus save paying out a 3-4% commission for example. They don't discount the property by that - to the unrepresented buyer. So - as a buyer - it is lose/lose proposition.

You also lose out on:

--knowing about extra incentives that you may not have known about - that could have been offered that the agent has seen offered in the past.

-- an agent ensuring that you are getting the best possible price vs. other properties in the community, and analyzing the re-sales there and in nearby areas - to make sure you don't over-pay.

-- an agent helping you through the home inspection phase (there should be at least two inspections for new construction... one before the drywall goes up, and one at the end.)

-- an agent helping you with the many other details that will ensure you get to closing smoothly.

-- If your agent helps you "loan shop" (not many of them do unfortunately) - that is another thing you miss....saving tens of thousands over the life of the loan - and perhaps having lower lender fees.

Touring a New Home Builder Site - Signing in Yourself? Not a Good Idea.....

ALL home builders have a dirty little secret... And that is - that -- if you as a buyer -- sign in to a new homes development by yourself -- you lose your right to representation by an agent of your choice later. Why? If you procure an agent later to represent you - they won't get paid from that development!

So they won't represent you (unless you have a contract with them - but if you do - the builder won't be paying out to reimburse you - or your fee to your agent - and you'll be on the hook for the fee.)

If you try to represent yourself - the builder doesn't discount your price by the amount that they didn't pay out. They just keep it for themselves!

We specialize in keeping on top of the various "secret incentives" that various developments are offering - that they don't advertise.

We find out about them in various ways.

This is valuable information that you won't typically obtain with other agents. We recently had a developer throw in many extra upgrades for one of our buyer clients - with the total upgrade package being a HUGE dollar amount.

The bottom line is -- don't EVER sign in to a new homes development without an agent of your choice present. That is the worst possible thing you could ever do.

Toll Brothers - Hawthorn Woods - and Hawthorn Woods Real Estate and Luxury Home Communities

Toll Brothers - Hawthorn Woods Country Club development is especially flexible on their "quick delivery" homes and townhomes in this community. They have "Tournament Collection" Townhomes starting from the high 300's and single family homes- such as the "Signature Collection" starting in the low 700's, or the "Golf Villa Collection" (starting in the high 400's) - offering 3- and 4- bedroom home designs backing to the Arnold Palmer "signature golf course."

(Call us at 847-566-7558 or email: info@relocationadvisorsgroup.com to learn more..)

Golf membership initiation fees are in the mid 30's at the moment - and 2006 golf memebership monthly dues are $515 per month. Social Membership monthly dues are $225 per month. Guest fee is $70 (for a guest to golf). Cart fee - $20. Swim guest fee is $7. Annual locker rental is $240. (If you become our client - talk to us about having some of that stuff "thrown in")

There is a 25 meter swimming pool, three clay surface tennis courts, two platform tennis courts, a fitness center and aerobics room, and hiking and biking trails. Hawthorn Woods Country Club has a variety of social events.

Fees for the Signature collection are $295/month which includes $225/month for social membership and $70 per month for homeowners association dues. Golf Villa Colelction dues are $397/month with landscape maintenance and snow removal provided. ($225/mo for social membership and $172/mo for HOA dues) The Tournament Collection of townhomes also has landscape maintenance and snow removal as services - the $225/mo for social membership and $261/mo HOA dues.

If you are thinking about purchasing a luxury home in Chicago's Northwest Suburbs over one million dollars - talk to us.

Hawthorn Woods is really one of Chicago's best kept secrets. Many people haven't heard of the community - located between Mundelein and Lake Zurich. There are other great communities all over Hawthorn Woods - from Countryside Glen, White Birch Lakes, White Birch Meadows, Abbey Glen Estates, the Ridge of Hawthorn Woods, Countryside Meadows, Hawthorn Knolls, Pheasant Creek Estates, Copperfield, Hawthorn Grove, Rambling Hills West, Briarwood Estates, Walnut Creek, Camden Trace, The Summit, Lakewood Estates, Woodland Estates, Lakewood Meadow, Thornfield, Heather Highlands, Estates of Indian Creek, and Glennshire.