5 Things New Home Builders Won’t Tell You About the New Home Purchase Contracts in Frisco, TX

Frisco’s booming luxury market is full of opportunity—but when you build new construction, you’ll be handed a builder contract that works in their favor. Here are 5 hidden truths about new home purchase agreements in Frisco that luxury buyers need to know before they sign.

Frisco is home to some of the most prestigious communities in DFW, including Fields, Phillips Creek Ranch, Edgestone, and The Grove. Builders like Highland Homes, Toll Brothers, Southgate, and Britton Homes are selling fast—but that doesn’t mean you should rush to sign.

Most buyers don’t realize that builder contracts are fundamentally different from standard resale contracts. They’re written by the builder’s legal team—and they include clauses and conditions that can put your finances and rights at risk.

1. You’re Not Using a TREC Contract

When buying a resale home in Texas, both parties typically use a TREC (Texas Real Estate Commission) contract. Not with builders.

Frisco builders use custom-written contracts that heavily favor them.

• Appraisal contingency? Usually excluded.

• Financing flexibility? Very limited.

• Deposit protection? Minimal to none.

• Termination options? Usually one-sided.

Buyer Tip: Never sign a builder contract without having a knowledgeable REALTOR® review it and explain the clauses that could cost you.

2. Builder Incentives Come with Strings Attached

Frisco builders often advertise incentives like:

• Tens of thousands in design center credits

• Closing cost contributions

• “Free” appliance packages

But here’s the catch: you must use their lender and title company.

• Their lender may not offer the best interest rate or lowest fees

• Their title company works for them—not you

• Incentives are often voided if you shop around

3. Your Completion Date Is a Best Guess, Not a Guarantee

Even in high-end communities like Fields or Edgestone, builders include clauses allowing for unlimited delays.

• Supply chain issues, weather, labor shortages = no liability for them

• You cover costs of rent, storage, or extending interest rate locks

• Builders can move your closing date multiple times, often without notice

Stat: In 2024, over 50% of new homes in Frisco were delivered more than 30 days past their original closing date.

4. You Have Little Control Over the Warranty Process

Frisco builders advertise warranties as a peace-of-mind feature. The reality? They’re limited and usually enforced by a third-party provider with strict rules.

• Cosmetic concerns (tile misalignment, paint defects) are often dismissed

• Warranties can be voided by homeowner alterations

• Repairs may be patchwork, not full replacements

5. You Don’t Own the Lot Until Closing

Until closing day, your name is not on the land deed. That means:

• You can’t enter the site freely—builders control access

• You can’t make requests to alter landscaping or structural elements mid-build

• You’re on the hook for any upgrades, even if there are mistakes

Buyer Tip: Schedule a pre-drywall inspection and final walkthrough with your REALTOR® and inspector present.

Insight from a Frisco New Construction Expert

Why Choose Nitin Gupta When Building in Frisco?

Nitin has helped luxury homebuyers build in:

• Fields, Frisco

• The Grove

• Phillips Creek Ranch

• Richwoods

• Edgestone at Legacy

He holds advanced certifications including:

• CRS (Certified Residential Specialist)

• GRI (Graduate, REALTOR® Institute)

See all certifications:https://www.nitinguptadfw.com/dallas-realtor-designations

Your Luxury Build Needs Expert Oversight

Nitin provides:

• Contract review and explanation

• Design appointment prep and budgeting

• Negotiation of pricing and incentives

• Build-phase inspections and updates

• Final walkthrough support and warranty guidance

Begin Your Frisco Dream Home Journey the Right Way

Don’t sign before you’re fully informed and represented.

Schedule your consultation here:https://www.nitinguptadfw.com/contact

Call us at 469-269-6541 for more information about Frisco real estate!

FIND A LUXURY HOME IN   FRISCO, TEXAS WITH NITIN GUPTA, BROKER ASSOCIATE, REALTOR®.

When purchasing a luxury home in   Frisco, Texas, it’s essential to consider factors such as location, architectural style, security, and amenities to ensure the home meets both lifestyle and investment needs. By selecting a property in a prestigious neighborhood with numerous amenities and security measures, buyers can ensure they’re making a valuable and rewarding investment in the vibrant Frisco market.

For those looking to invest in luxury homes in Frisco, Texas, Nitin Gupta is an expert real estate professional ready to assist. Known for his extensive experience, market insights, and numerous awards, he is committed to finding his clients the best properties in the area.

Contact Nitin Gupta at 469-269-6541 or send a message today to explore exclusive listings and secure your ideal luxury residence in one of Frisco’s elite communities.