Builder Incentives Are Getting Wild — Here’s What It Means for You
If you’ve driven through Lakewood Ranch, Parrish, or East Manatee County lately, you’ve probably noticed the banners:
“Closing costs paid!” “Rates in the 4s!” “$30,000 in incentives!”
And in some cases… even free golf carts.
On the surface, it feels like a golden moment for buyers. And in many ways, it is. But behind those flashy offers is a market shift that most buyers don’t fully see — and it’s having a real impact on both new construction and resale homes. Let’s break down what’s really happening and how you can protect yourself while still taking advantage of these opportunities.
Why Builders Are Offering So Much Right Now
Builders across our area are competing for a smaller pool of qualified buyers than we had a couple of years ago. Higher interest rates, rising insurance costs, and buyer hesitation have all slowed demand — especially for higher-priced new construction.
Instead of dramatically cutting base prices (which hurts future appraisals and their long-term pricing power), builders are getting creative. They’re offering:
Large closing cost credits
Temporary or permanent rate buy-downs
Red-tag price reductions on select homes
Free upgrades and options
Realtor bonuses
And sometimes even lifestyle perks like golf carts
These incentives make monthly payments look more attractive and create urgency to buy now. But they also mask the true price of the home — which matters far more than most buyers realize.
How This Impacts the Resale Market
Here’s where things get tricky. When buyers see a brand-new home offering $40,000 in incentives, it creates unrealistic expectations for resale homes that don’t have those perks baked in. A resale home might actually be priced more fairly, but it looks less appealing when compared to a shiny new build with a flashy incentive package. That’s one of the reasons we’re seeing resale inventory sit longer in certain price points — even when the homes are in great condition and well-located. The danger? Buyers start assuming that all homes are overpriced… or that the “best deal” is always new construction. And that’s simply not true.
The Truth About Buying Directly From a Builder
This is the part most buyers don’t realize. When you walk into a builder’s model home or sales office, the friendly sales associate you meet is not your advocate. They work for the builder. Their job is to:
Protect the builder’s pricing
Maximize the builder’s profit
Keep you in the builder’s contract
And move inventory as efficiently as possible
They don’t negotiate against themselves. They don’t point out better resale options. And they don’t warn you when timelines, fees, or change orders could cost you more. That doesn’t make them bad — it just means you need someone on your side.
What a Buyer’s Agent Really Does in New Construction
This is where an experienced local agent makes all the difference. When you have your own representation, you get someone who will:
Compare true value between resale homes and new construction
Break down how incentives impact pricing and long-term investment
Negotiate upgrades, options, and contract terms in your favor
Watch for hidden fees, timeline risks, and change orders
Identify when new construction really is the best deal — and push to maximize every available incentive
In other words, you still get access to all those great builder perks — but with someone making sure you’re not overpaying, overcommitting, or taking on unnecessary risk.
New Construction Can Be a Great Move — With the Right Strategy
There are absolutely situations right now where new construction is the smartest buy in our market. But it has to be evaluated carefully. A $30,000 incentive sounds amazing… unless the base price is $30,000 higher than comparable homes. A low rate sounds incredible… unless it resets in two years. A fast move-in sounds perfect… unless the contract puts all the risk on you. That’s why guidance matters.
Final Thoughts
Builder incentives are getting bigger, bolder, and more creative — and that creates real opportunity for buyers who know how to navigate them. But incentives alone don’t equal a good deal. Having a trusted agent in your corner ensures that you’re not just attracted by shiny offers — you’re making a smart, protected, long-term investment. If you’re thinking about buying new construction in 2026, I’d love to help you compare your options and make sure you get the best deal possible — not just the one the builder wants you to take.