Questions to Ask a New Construction Builder
These are questions to ask a builder when buying a new home that is still a floor plan or a frame, including the ones a new home builder should answer before you sign the contract. The 59 questions follow the decision in order: the builder's record, the price and the costs around it, the contract and deposit, how the house is built, the schedule, then warranty and closing. Take the first two groups to the sales office while you are still comparing builders, and go through the contract group with the paperwork in front of you, and a local attorney if you can, because deposit, lien and warranty rules differ by state and province.
The questions
Each question, and why to ask it
The builder
How many homes did you complete last year, and how many are under way right now?
Why ask it
Set the two numbers side by side: a company that finished ten homes last year and has thirty open now has grown fast, and supervision is the first thing to ask about. Both figures can be checked later against local permit records.
Can I visit a home you finished two or three years ago and talk to the owners?
Why ask it
A model home shows finish quality, but a house that has been through several seasons shows what settles, cracks, leaks or sticks. Builders proud of their work can usually arrange this, and reluctance is itself an answer.
Who owns the company, and how long has it been building under this name in this area?
Why ask it
A builder with years in one county has trades, suppliers and inspectors it already knows, and a trail of finished streets you can drive down. If the name is recent, ask what the owners built under before and why it changed.
What is your license or registration number, and what insurance covers the house while it is being built?
Why ask it
Rules for licensing home builders differ widely between states and provinces, and a few places do not license them at all, so ask what applies where this house will stand. With the number you can look up the record yourself, and in many places the complaints filed against it.
Who supervises my house day to day, and how many others is that person running at once?
Why ask it
The superintendent decides more about how your house turns out than anyone you meet in the sales office. Get the name, the years with the company, and a number of houses instead of a reassuring phrase.
Who is my single point of contact from contract to closing?
Why ask it
In many companies the salesperson hands you to a construction manager and then to a warranty department, and information is lost at each handover. If there is no one person, find out who you call when something looks wrong on site.
Which trades are your own employees, and which are subcontracted?
Why ask it
The answer shows which crews the builder can direct and which it can only schedule. Subcontracting nearly everything is common, and where that is the case the follow-up is how those firms are chosen and how many houses they have done together.
How do you handle a subcontractor whose work is not up to standard?
Why ask it
You are asking whether there is a real process: reinspection, rework at the trade's cost, removal from future jobs. Builders who have never had to replace a subcontractor have either been fortunate or are not looking closely.
Has a buyer ever taken you to arbitration or court, and how did it end?
Why ask it
Any builder with enough closings has had a dispute, so one case does not rule a company out. Listen for whether the story is told plainly, then compare it with what the local court records and the licensing body show.
What do your buyers complain about most at the end of a build?
Why ask it
A builder with self-awareness will name something real, often punch list delays or communication in the final weeks. An answer of nothing tells you either that they do not collect feedback or that they will not share it.
Price and costs
What exactly is in the base price, and what do buyers most often assume is included when it is not?
Why ask it
The second half is where the budget goes: landscaping, blinds, gutters, driveways, appliances and light fixtures are all commonly excluded. A builder who answers this openly is easier to deal with than one who lets you find out at the design meeting.
What would the model home cost exactly as I am seeing it, upgrades and all?
Why ask it
The gap between that figure and the advertised base price is the most honest measure of what the house in your head will cost. The sales office can usually work it out from the option sheet while you wait.
What are the allowances for flooring, cabinets and fixtures, and what happens if I go over?
Why ask it
Allowances are often set at the cheapest available option, which makes the base price look competitive. Have the showroom put the allowance-level flooring and cabinet door in your hands before you judge the number.
Which costs tied to this lot sit outside the price: the lot premium, extra grading, utility connections, impact fees?
Why ask it
These vary with the lot and the municipality, which is why they tend to be missing from a price sheet printed for the whole community. Get a figure, or a written not applicable, against each one.
What is planned for the land behind and beside this lot, and can I have that in writing?
Why ask it
A lot premium often pays for a view or for having nobody behind you, and a later phase, a road or a retention pond can take either away. The sales map shows intentions, so compare it with the recorded plat and the zoning at the planning office.
Which options are much harder to add once the house is finished?
Why ask it
Anything inside a wall, under the slab or tied to the structure belongs on this list: extra outlets, a plumbing rough-in for a future bathroom, taller ceilings, a wider garage. Paint colors, light fixtures and door hardware can wait, and are sometimes cheaper to change yourself later.
What incentives are available right now, and what do I have to do to get them?
Why ask it
Incentives are often conditional on using the builder's preferred lender or title company. Have the offer stated in dollars, then get one loan quote from an outside lender so you are comparing the whole cost, rate and fees included.
Can I bring my own real estate agent, and does that change the price or the incentives?
Why ask it
The person in the sales office works for the builder. Many builders pay a buyer's agent only when the agent is registered on or before your first visit, so raise this before you tour the models and ask how it works here.
Which closing costs are you paying, and which will land on my side of the statement?
Why ask it
Builder contracts sometimes move costs that a resale seller would carry, such as a transfer tax or the owner's title policy, over to the buyer. Local custom differs by state and county, so get an itemized estimate and have your lender or agent say what is usual where you are.
Is there a homeowners association, what are the dues, and when do owners take over the board?
Why ask it
While lots are still selling, the developer commonly controls the association and sets its budget, and dues from that period can change once owners are paying the real costs. Read the governing documents and the current budget before you sign, since the rules on fences, sheds and parking are in there too.
What will the property tax be once the finished house is assessed, and is the lot in a special tax district?
Why ask it
The first bill on a new house can be based on the land alone and rise after the assessor values the building. Some new communities also repay their roads and utilities through a district charge that goes by a different name in each state, so check both with the county and not only the sales sheet.
Contract and deposit
Can I see the full contract and specification list before I pay any deposit?
Why ask it
The specification list is the actual product you are buying, and it should name brands, models and quantities. Pressure to put money down before you have read both documents is a reason to pause.
How many days can I have for an attorney to read the contract before I sign?
Why ask it
A builder's contract is drafted by the builder's lawyers and is often not the standard form local agents use for resales. Asking for a few days is ordinary, and a sales office that answers with a warning that the lot will be gone by Friday has shown you how it handles pressure.
What happens to my deposit if I withdraw, or if the company cannot finish?
Why ask it
Whether a deposit has to sit in escrow or a trust account, and whether any fund or bond stands behind it if the builder goes under, depends on the state or province. Get the name of whoever holds the money, and read which reasons for withdrawing return it and which forfeit it.
Which contingencies will you accept: financing, appraisal, the sale of my current home?
Why ask it
Each contingency is a named way out with your deposit, and builder contracts tend to offer fewer of them than a resale offer does. Ask specifically what happens if the finished house appraises below the contract price.
Is the payment schedule tied to dates or to completed stages?
Why ask it
On a production home you may pay nothing between the deposit and closing, so this matters most where you or your lender fund the build in draws. Draws released against finished stages keep the money roughly in step with the work, where payments on a calendar can run well ahead of it.
Does your contract have an escalation clause, and has it ever been used on a buyer?
Why ask it
An escalation clause lets the builder pass rising material or labor costs to you after you have signed. Asking whether it has been used gets you history instead of reassurance. If the clause is there, find out whether it is capped and whether you could withdraw with your deposit when it is triggered.
How are changes priced and approved once building has started?
Why ask it
You want a written process with a price before work proceeds, plus a stated administration fee if there is one. A change agreed verbally on site has no price attached, and that is how billing disputes at closing begin.
If a material or product I chose is unavailable, who picks the replacement?
Why ask it
Builder contracts commonly allow a substitute of equal or better quality, and it is the builder who judges what is equal. Request written notice before anything is swapped, and name the few items where you would want a say.
Which of the things I have been told in the sales office will be written into the contract?
Why ask it
Contracts commonly state that the written document is the entire agreement, which leaves a spoken promise about a fence, a view or a finish date with nothing behind it. Make a list as you go and ask for each item as a signed addendum.
How does the contract say a dispute between us would be settled?
Why ask it
Many builder contracts send disputes to arbitration, and some shorten the time you have to bring a claim. What is enforceable depends on the law where the house is built, so take this clause to an attorney there instead of relying on the sales office's summary.
What protects me from a lien if one of your subcontractors or suppliers is not paid?
Why ask it
In many places an unpaid trade can file a lien against the house even after you own it. Ask whether the builder collects lien waivers and what your title insurance would cover, and check how lien law works in your state or province.
Build quality
What have you done about drainage and grading on this particular lot?
Why ask it
Water is behind many of the costliest problems in a new house, so the answer should be about this site and not general practice. Listen for where the fill came from, how it was compacted and where the water goes in heavy rain.
Was the soil on this lot tested, and how did the result shape the foundation?
Why ask it
Clay that swells, uncompacted fill and a high water table each call for a different foundation, and a production plan is not always adjusted for the lot it lands on. Ask to see the report itself and who engineered the design.
Where do you build above code, and where do you build to the minimum?
Why ask it
Code is a floor, not a standard, and an honest builder will name the places they exceed it and the places they do not. Vague reassurance that everything meets code answers a different question than the one asked.
What insulation, windows and heating and cooling equipment go into the standard house?
Why ask it
These set the comfort and the running costs for as long as you own the place, and they are far more expensive to change than a countertop. Ask for insulation values, window ratings and equipment model numbers, which also let you compare two builders on something other than finishes.
Will the house be tested for air leakage, and can I see the results?
Why ask it
A blower door test puts a number on how leaky the finished house is, which a brochure line about efficiency does not. Some energy codes require the test and some do not, so find out which applies here and ask for the figure for your own house, not a sample one.
How do you keep water out around windows, doors and the places where a roof meets a wall?
Why ask it
Flashing is invisible once the siding is on, so ask to be shown it on a house that is at that stage today. A superintendent who can explain the order of wrap, flashing and sealant without hesitating is a good sign.
How do you make sure the frame is dry before insulation and drywall go in?
Why ask it
Every frame gets rained on at some point, and that alone is not a defect. The difference is whether anyone measures moisture before the walls are closed, because damp lumber sealed behind drywall can lead to mold and warped trim.
Who checks each stage of work before the next trade covers it up?
Why ask it
A municipal inspection looks for code minimums and may last only a few minutes. Ask whether the superintendent signs off a written checklist at slab, framing and insulation, and whether you can see a completed one from another house.
Has one of your houses failed a municipal inspection lately, and what for?
Why ask it
Failed inspections happen to careful builders too, and in many places the results are public. The reason matters: a missing document is a different thing from framing that had to be redone.
Can I bring my own inspector before the foundation is poured, before drywall, and at completion?
Why ask it
The pre-drywall visit is the last look at framing, wiring, plumbing and insulation before they are covered. Have the right written into the contract, with the notice the builder needs and any insurance the inspector must carry, because a yes from the sales office does not bind the superintendent.
Can I walk the site during construction, and how do I arrange it?
Why ask it
Many builders bar unaccompanied visits for insurance and safety reasons, which is reasonable. Being kept away entirely is not, so agree in advance on escorted walks at set stages.
Can I photograph the open walls before the drywall goes up, or do you do that for buyers?
Why ask it
A room-by-room record of where pipes, wires and blocking run saves guesswork every time you hang a shelf or chase a leak. Some builders hand over a set as routine, and if this one does not, the pre-drywall walk is your chance.
Schedule and delays
What still has to happen before work starts on my house, and how long has that been taking?
Why ask it
Permits, plan approval, your selections and the lot's place in the release order all sit between signing and digging. This stretch is often the least predictable part of the timeline, and no one is on site yet to show you progress.
When is each of my selections due, and which ones lock first?
Why ask it
Cabinets, windows and anything structural are ordered months before they appear on site, so their cutoffs come early and catch people out. Get the dates as a calendar on the day you sign, and find out whether a missed date delays the house or hands the choice to the builder.
What has delayed your last few builds, and by how long?
Why ask it
Every builder has delays, so an answer of none means they are managing you rather than informing you. What you are listening for is whether the causes were external, such as permits and supply, or internal scheduling.
Is anything this house needs on back order or hard to get at the moment?
Why ask it
A single late item, such as windows, roof trusses or an electrical panel, can stop every trade that comes after it. If something is scarce now, ask when it will be ordered for your house and what the crew does while waiting.
How will you keep me updated during the build, and how often?
Why ask it
Agree the form now: a weekly email with photos, a call at each stage, a portal you can check. An update that arrives on schedule without being chased is also an early read on how warranty requests will be handled.
What does the contract say if the house is not finished on time?
Why ask it
Many contracts give the builder wide room here, so read the clause instead of assuming there is a remedy. Then work out what happens to your rate lock, and where you would live, if completion slips by two months.
How far ahead will you confirm the closing date, so I can lock a rate and give notice where I live now?
Why ask it
A closing date that firms up only a couple of weeks out leaves little room to end a lease, book movers or time a rate lock. Ask what notice the contract promises and what notice recent buyers were actually given.
Warranty and closing
Will you ask me to close while items are still unfinished, and how are those handled?
Why ask it
Weather can push exterior paint, sod or a driveway past the closing date through no fault of the builder. Get each deferred item on a signed list with a completion date, and ask whether any money can be held in escrow until it is done, which also depends on your lender.
How does the final walkthrough work, and how quickly do you clear the punch list?
Why ask it
Ask how long the appointment lasts, whether you can bring someone, and whether items found after it still count. Then ask how many days recent buyers waited for their lists to be finished, since after closing the crews are due on other houses.
What does the warranty cover in the first year, and what after that?
Why ask it
Coverage usually narrows over time, from finishes in the first year to structure for a longer period, and the periods themselves differ by builder and by state or province. Ask who stands behind it, the builder or an insurer, because a promise from a company that has closed is hard to collect on.
Can I read the warranty booklet and its performance standards before I sign?
Why ask it
The standards define what counts as a defect: how wide a crack has to be, how far a floor may slope, how much a door may stick. They are easier to weigh now, while you are still choosing a builder, than after a claim has been refused.
How do I make a warranty claim after closing, and how long do repairs take?
Why ask it
Find out whether requests go through a portal, a phone line or the superintendent, and which problems count as emergencies with a same-day response. The owners of a house the builder finished a couple of years ago can tell you whether the stated timelines hold.
Is there a scheduled visit before the first-year coverage runs out?
Why ask it
Nail pops, hairline cracks and sticking doors tend to appear after the house has been through a winter and a summer. A visit around month eleven gets them fixed in one trip. Without one, keep a running list and send it in writing before the deadline.
What could I do as an owner that would void the warranty?
Why ask it
Typical exclusions involve changing the grading, altering the structure or skipping maintenance such as caulking and filter changes. Knowing the list before a landscaper regrades the yard or a contractor finishes the basement helps you keep the coverage you were sold.
Does the warranty pass to the next owner if I sell within a few years?
Why ask it
Remaining structural coverage can be a selling point if a job moves you sooner than planned. Ask whether the transfer is automatic or needs a form and a fee, and whether the shorter coverage on finishes and systems transfers too.
Buying a newly built home
Practical guidance for the conversation itself
Checks worth doing before you sign
- 1Look up the builder's license, where your state or province issues one, and any complaints or judgments recorded against it.
- 2Check permit records for the addresses they say they built, and see whether inspections passed first time.
- 3Search for the company name alongside lawsuit, lien and unfinished, and read what comes back from more than one year.
- 4Ask your lender what they know. Lenders who finance construction locally hear about builders who do not finish.
- 5Have a lawyer read the contract before you sign, particularly the delay, dispute and deposit clauses.
Where the budget actually goes
Allowances are estimates, not budgets
Flooring, cabinet, lighting and countertop allowances are often set at the least expensive option available. Price the selections you would really choose before you commit to the total, or expect a large gap at the design meeting.
Lot premiums and site costs sit outside the model price
Grading, rock removal, extended utility runs, retaining walls and long driveways are commonly billed separately. Ask which of these apply to your lot in writing.
The finished house needs more than the house
Fencing, landscaping, window coverings, garage door openers and appliances are frequent exclusions. List them and ask about each one specifically.
During construction
- Book an independent inspector before the foundation pour, before drywall and at completion. Confirm each date with the superintendent, because the window before concrete or drywall can be a day or two.
- Photograph every wall before drywall, in order, so you know where wiring and plumbing runs. You will want this for years.
- Get every change in writing with a price, and refuse verbal agreements even for small items.
- Keep a dated log of site visits and conversations. Memory is a poor record when a dispute arrives eighteen months later.
At the walkthrough and closing
- Do the final walkthrough in daylight, with the power on, and open, close and run everything.
- Write the punch list on the builder's own form and keep a signed copy with dates against each item.
- Ask what is being deferred to after closing, and what leverage remains once you have paid. Some buyers negotiate holding back funds until the list is cleared.
- Collect the manuals, warranty documents, subcontractor list and any test reports at closing rather than requesting them later.