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New construction homes in Nephi, Utah

New construction is a real part of the Nephi market, mostly on the edges of town where land is available. For buyers who want a home nobody has lived in, with a warranty and no deferred maintenance, it is a legitimate option — often at a price that would not buy the same thing further north.

It is also the transaction type where buyers most often go in unrepresented and later wish they had not. Here is what changes when you buy from a builder.

Builder contracts are not the standard forms

A resale in Utah uses a state-approved contract that has been negotiated into balance over decades. A builder uses their own contract, written by their attorneys, for their protection. The deadlines, the deposit terms, the delay clauses and what happens if you cannot close are all different.

That does not make it a bad deal. It makes it a document that deserves a careful read before signing, not after.

Incentives, rate buydowns and lender tie-ins

Most incentives are attached to using the builder's preferred lender. Sometimes that genuinely is the better deal, because a buydown on the rate can be worth more than a lower price. Sometimes it is not, because the underlying loan terms are worse than what you could get elsewhere.

Run both. Compare the full monthly payment and the total cost, not the headline incentive.

Representation costs you nothing extra

The agent in the model home works for the builder. Bringing your own representation typically does not raise your price, but you generally have to register on your first visit — walking in alone and coming back later with an agent can disqualify you.

If you are even considering new construction, do that first visit with your agent along.

Still get an inspection

New does not mean flawless. An independent inspection before closing, and again before the end of the builder's warranty period, routinely finds items worth fixing at no cost to you.

Before you write an offer

What to verify

What's included vs. upgraded

Get the base specification in writing and know exactly which finishes in the model home are upgrades.

Landscaping and fencing

Frequently excluded, and frequently thousands of dollars you were not planning on.

HOA and future phases

Ask what the HOA will cost, who controls it, and what is planned on the land around you.

Completion timing

Understand what happens to your rate lock, your deposit and your rental notice if the build runs late.

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