How to Save Up to 20% on New Construction Homes
The Investor Advantage: What Makes This a Unique Time?
The best deals are going to buyers like Rent To Retirement, who are buying in bulk in grade-A markets and have the experience in stacking opportunities to bring in the highest returns for investors.
As Warren Buffett said, “Be greedy when others are fearful.” While many sit on the sidelines, those who act now can lock in properties below market value and create instant equity.
Here’s how:
Buy below market value and force equity
Builders are selling at discounts, allowing you to buy at 15%-20% below market value. For example, if a home typically sells for $300,000 but you negotiate a 20% discount, you’re purchasing at $240,000—instantly securing a 15%-20% equity position.
Creative financing: Interest rate buydowns and credits
Builders offer rate buydowns in the mid-to-high 3% range, dramatically improving cash flow. Some deals include managerial credits up to $40,000, reducing out-of-pocket costs.
Tax incentives and bonus depreciation
New construction offers significant tax advantages, including bonus depreciation, allowing investors to write off significant portions of their investment upfront. Talk with your CPA to see what type of benefits you can get.
Low-maintenance, high-quality tenants
New builds come with warranties, minimal capital expenditures (capex), and modern features that attract high-quality tenants—resulting in fewer repairs, less turnover, and better rental income stability.
The Build-to-Rent Advantage
The Build-to-Rent (BTR) model offers an alternative path for those looking for a hands-off approach. Builders are partnering with national and regional lease management companies, allowing investors to purchase new homes integrated into a professionally managed rental system. This provides:
- Turnkey investment properties with tenants and management in place
- Steady cash flow with less operational hassle
- Built-in appreciation and equity growth over time
Financing & HELOC Opportunities
One of the most overlooked benefits of buying below market value is leveraging local credit unions or banks that can provide HELOC (home equity line of credit) options. Since many of these properties already have a 15%+ equity cushion, you can refinance or access a HELOC to reinvest in additional properties quicker than if you buy at the top of the market.
Don’t Miss This Window
Most builders currently offer negotiated wholesale pricing, but this opportunity won’t last forever. Once market conditions shift, prices will normalize, and today’s discounts will disappear. The best investors recognize moments like these as rare opportunities to secure high-quality, cash-flowing assets at below-market prices.
Turnkey investing is ideal for busy professionals or those who prefer a hands-off approach, allowing them to own real estate without actively managing their portfolio. It provides an easy entry point into multiple markets, offering guidance from an experienced team to help investors achieve long-term success. If you’re ready to take advantage of unprecedented builder discounts, creative financing, and tax incentives, now is the time to act.
Reach out to Rent To Retirement today if you think this hard-to-beat strategy could be the right fit for you. Time is money, and they have numerous heavily vetted turnkey investment properties.