5 Things New Home Builders Won’t Tell You About the New Home Purchase Contracts in Fate, TX
- Nitin Gupta, CRS, REALTOR
- Jun 7
- 4 min read
New construction in Fate is booming—but builder contracts often put buyers at a disadvantage. Before you sign, here are five critical facts you won’t hear from the builder that could impact your rights, your money, and your peace of mind.
With developments like Woodcreek and Edgewater, Fate has emerged as a top destination for families seeking affordable new homes just outside Rockwall. But if you’re buying from a builder, remember this: you’re not using a buyer-friendly contract.
As a REALTOR® specializing in new construction across Fate, I’ve seen firsthand how builder contracts can leave buyers with limited control, few protections, and expensive surprises.
1. You’re Signing Their Contract—Not the State’s
Builders in Fate don’t use the TREC (Texas Real Estate Commission) contract. Instead, they use their own legal document written by their lawyers.
These contracts eliminate common buyer protections
You may lose rights to cancel for financing or appraisal issues
You are liable for non-refundable deposits under many conditions
Buyer Tip: Always have your contract reviewed by a real estate professional before signing.
2. Incentives Disappear if You Don’t Use Their In-House Lender and Title
Builder promotions in Fate—like $10,000 in design credits or paid closing costs—come with conditions:
Must use the builder’s preferred lender
Must close with the builder’s title company
Can’t delay closing, even if financing changes
These lenders and title companies may cost more long-term or lack transparency. And once you lock in, your leverage is gone.
3. Timeline Promises Are Just Estimates
Builders may tell you “7–9 months” to build, but contractually:
They are allowed unlimited extensions for weather, labor, or material delays
You bear the cost of rent, storage, or expiring rate locks
Your closing date is not guaranteed
Buyer Tip: Always get realistic expectations and monitor progress every 2–3 weeks.
4. Warranty Coverage is Limited and Heavily Controlled
Warranties in Fate typically follow the same 1-2-10 format—but they’re filled with conditions and limitations.
Warranty Type | Duration | What’s Actually Covered |
Workmanship | 1 year | Cosmetic items, if reported promptly |
Systems | 2 years | HVAC, plumbing, electrical (basic components) |
Structure | 10 years | Foundation and framing—but only major defects |
Builders determine what qualifies—and most use third-party warranty companies with slow response times.
5. You Don’t Own the Lot Until Final Closing
Your name doesn’t go on the lot until the house is done and the loan closes.
You can’t make changes to landscaping or design mid-build
You don’t have legal access to the property
Builder controls all subcontractors, quality, and change orders
Buyer Tip: Always conduct multiple walkthroughs during the build with your REALTOR® or inspector present.
From the Expert:
“Builders in Fate offer great floor plans and pricing, but their contracts are rarely in the buyer’s favor. That’s why I stay involved at every step—to make sure you’re not blindsided later.”— Nitin Gupta, CRS, GRI, REALTOR®
Why Work With a REALTOR® in Fate?
Nitin Gupta is a certified new home expert with:
CRS (Certified Residential Specialist)
GRI (Graduate, REALTOR® Institute)
Experience across Fate, Rockwall, Royse City, and beyond
Get Professional Help From Start to Close
Contract and incentive review
Lot selection strategy
Design center appointment prep
Weekly construction oversight
Final walk-through and warranty management
Start your journey here:https://www.nitinguptadfw.com/contact
Call us at 469-269-6541 for more information about Fate real estate!
About us: Fate New Construction Expert Real Estate Agent
As a Top Real Estate Professional in Fate, I understand the challenges that arise when buying a new construction home. There are over 100 builders in the DFW area. I work with most of the new home builders in Fate and understand how various builders operate. I am familiar with the options they offer, current incentives and I frequently visit the upcoming communities they are building. I guide my clients through all steps of the new home construction process and aggressively protect their interests in the transaction.
As a holder of top real estate industry certifications and designations like CRS, ABR & GRI, I can offer my clients experience as a Buyer's Agent and REALTOR®, top Industry Customer Service, in-depth, up-to-the-minute and comprehensive market knowledge; honesty, integrity, dedication, and professionalism in my business.
Whether you are a first time buyer in Fate looking to buy a home whether you are relocating to Fate from California or moving your entire family from areas like San Francisco, Fremont, Palo Alto, Los Angeles, San Diego in California due to job transfer with your company, I can help you find a new construction home in Fate. Our relocation team eases the transition - whether you are moving across town or across the globe. We will work with you to find an area that best suits your professional, family and lifestyle needs. We have all the tools you need to help your home search. Whether it is video previews of homes, extended work hours, digital signatures for documents or more, we can make this process as comfortable as possible no matter where you are located.
What is most important to you in your new construction home in Fate? Send us an email at info@NitinGuptaDFW.com or give us a call at (469) 269-6541 to schedule a no obligation consultation. We’ll give you honest advice about Fate that you can use to help make your home buying decision.
