Frequently Asked Questions

Do I have to have 20% to put down?

You do not! There are many loan programs out there that require far less than 20% as a down payment. There are requirements to qualify for any loan, so talk to a mortgage professional to learn more about which loans with lower down payments you might qualify for. Our partners at Gray Fox Mortgage are great resources if you have questions about qualifying.

Do I have to have a Realtor to purchase a home with you?

No! We certainly love working with Realtors and will gladly partner with your agent if you have one. However, it is not required that you be represented by a real estate agent in order to purchase a home with us. Our neighborhood experts will walk you through the process every step of the way.

How long does it take to build a home?

On average, it takes about 6-7 months from the time you sign a purchase agreement to the time you can move into your new home. This time can vary based on the size and complexity of the home. Still, it’s important to remember with a new build that unexpected delays can and do take place, so always be prepared for this and don’t make firm plans around your estimated settlement timeframe… just in case! We try very hard to keep on schedule, but delays can take the form of government/permitting holdups, bad weather, or unforeseen material or labor shortages.

Looking to move faster? We do have homes with shorter move-in time frames in most neighborhoods. Please see our Quick Move-In page for more information!

Is the full down payment due when I sign a purchase agreement?

No! We require 5-10% as an earnest money deposit at time of contract to secure your homesite and begin construction. The earnest money required is dictated by the neighborhood and house type in which you are purchasing. Any remaining down payment not covered by your earnest money deposit is due at closing. Your total required down payment amount is determined by the loan program you are using.

If you are using a low-or-no down payment loan and our earnest money requirements are greater than the down payment required by your mortgage company, your earnest money will go towards closing costs and any excess will be refunded at closing.

Are there any extra or hidden costs associated with building a new home?

Unlike some new construction experiences, building a Greenwood Home is very similar to purchasing an existing home in terms of associated costs and the structure of the transaction, it just takes place over a longer period of time than buying a resale. There are no construction loans to worry about- you sign a contract with Greenwood to purchase and settle on the home and your lot when your house is completed.

After you determine your lot, house type, and structural options, you will sign a purchase agreement and pay an earnest money deposit. This deposit goes towards your total cash outlay due at closing, which includes your down payment and closing costs.

Once you have signed your contract, you will have the opportunity to make interior design selections including flooring, cabinets, countertops, and other finishes. We offer great standard options for all these finishes, but you may wish to upgrade them. Any design upgrade costs will be rolled into your contract and added to get to your final sales price. If you choose to add a considerable amount of design upgrades, we may ask for an additional deposit prior to starting your home.

Closing costs are also a normal part of any home purchase and mostly include fees associated with the creation of your loan (if you are financing your purchase), legal fees for the search and transfer of the title, government fees, appraisal and inspection fees, and prepaid fees towards insurance, taxes, HOA dues. Closing costs usually range between 2 and 6% for a home purchase, so keep this in mind when considering your budget!

Outside of these payments, there are no additional fees or hidden costs. We believe in transparency with pricing and payments and we strive to ensure all of our customers fully understand and feel comfortable with their investment before they move forward.

What kind of payment do you accept for an earnest money deposit?

We accept personal check, wire transfer, or cashier’s check for the earnest money deposit due at contract signing.

How is the home price determined?

Your total home price is simply summarized as:
The base house price for your chosen floor plan (includes homesite) + structural option costs + lot premium (if applicable- see below) + design studio upgrades.

To take it a little deeper, multiple factors influence home pricing:
1. The cost of the homesite: The less available land there is in a particular area, the more that land will cost, due to scarcity. Our base home prices include the lot cost, so the price of land in the particular neighborhood you are building in will impact the price of your home. This is why the same floor plan has different base prices depending on the community. Some lots have premiums associated with them, as well, if they are larger or more desirable homesites within a community (backing to greenspace or a golf course, etc.).
2. Material and labor costs: The home price includes all of the materials it takes to build your home to your specifications. This includes everything from lumber for framing to windows to flooring. Along with these supply costs are the costs of hiring construction professionals to build your home. Material shortages due to supply chain issues can impact the cost of materials. Labor shortages happen, too, and can result in an increase in homebuilding expenses at any given time. These costs are reflected in the home price. *Note that home and option pricing is locked in at time of contract and will not adjust during construction. So, if the cost of lumber or labor goes up after you sign a contract, your home and option prices stay the same.
3. The housing market: You’ve probably heard the phrases “buyer’s market” or “seller’s market” before. Economic factors influence home buying patterns, which influence home prices. When demand is high but supply is low, prices go up (and vice versa).

There are certainly other factors that impact housing prices, but those listed above are some of the most impactful!

Do all of your communities have Homeowners’ Associations? What do they cover? Are there many restrictions?

All of our communities do have Homeowners’ Associations in place for multiple reasons. HOAs put in place regulations that help protect the property values of the homes in the community as a whole. The goal is not to be unnecessarily restrictive, but to ensure no one is engaging in disruptive behaviors or letting their home fall into disrepair, which would lower its neighbors’ property values.

HOAs also help fund, install, and maintain community amenities and provide community services such as trash/recycling removal and snow plowing.

The amenities and services covered by the HOA vary by neighborhood- please ask one of our Sales Managers for more information about the community you are most interested in!

Would you build on a lot outside of one of your communities?

In order to better control the homebuilding process and ensure each of our homes is built to the highest standards, we do not build on homesites other than those within our available communities. This means our Construction Managers spend less time driving between projects and more time focusing on building the homes in their assigned neighborhood.