Episode 4: New Builds, Real Talk

Thinking about buying a new construction home? 👀 

Before you walk into that model home, tune into this episode of Are We Really Doing This?! 🎙️ 

Hazel Emlen, Victoria Douglas, Amber Lehman, and mortgage loan consultant Teresa Perry sit down for an honest conversation about the things buyers don’t always hear about new construction. From builder lenders and lot premiums to upgrade decisions and financing tips, they’re pulling back the curtain on the process and sharing what they wish every buyer knew. 

Transcript

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So new construction, that's gonna be our topic. And we have a new construction expert. Thank you. Victoria. In a former life, before she came to Arlo, she was new construction. Yeah, for a few years. You were the queen. I remember, like, that's how we met, was coming to Richmond American. Yeah. I guess hopefully that's okay to say. Richmond American. I wanted to like dive dive in a little bit because obviously there's lots of different options when it comes to new construction. There's lots of different builders, lots of different things that go along with that world. And Teresa will talk about too your world, how that intersects on the lending side. But um, I guess we'll start with you, Victoria, because you have the most experience of anyone that I certainly know of, but even in this office. Like, what is your initial thoughts when someone tells you, like, I don't know, I'm debating new construction and resale? That's kind of one of the like the most common questions you kind of get. And I'm kind of especially in our area, because there's so many options. So I'm kind of curious, like, how do you respond back to that, especially with your experience in new construction? Um, I think it's for sure based on like what they're looking for, what they need, and then their affordability. And that's one of the reasons why I left new construction is because not everyone could afford new construction or they didn't qualify with a builder lender. So it was just a whole like realm of things. But when someone's telling me they're trying to decide between the two, I definitely asked them, like, what are they looking for? How much maintenance too they do want to take ownership on? Because um, I have a few people that like, for instance, I have a family, it took them a while to get their first new build, but he also isn't like a handy guy, so he was like, I want new cabinets, I want new this. So it just worked out for them because that's what they needed. They needed something new, but I just got a phone call from him last week and they want a bigger backyard. Oh, because sometimes new construction, it it's not as favorable in lot size, yeah. Um, because sometimes these builders they'll they'll get this plot of land and they want to put as many properties on that land as possible so it does cut into the lot size. Yeah. Um, so it's just asking them the right questions and then then after that figuring out which builder, because not all builders are the same. Fascinating and honestly, like kind of going to your point with the lot size, that is a big challenge, and I'm sure Amber, like you've probably run into that. Like, that's kind of like maybe the biggest negative. One of the biggest negatives with new construction is the size of the lots, and it's so interesting because if you think about it, we're sitting here today at a property, yeah, and this lot is rather large. Uh it's kind of interesting, like how we've gone away from that because all the established neighborhoods, they all have fairly decent lots, even like the smallest quote unquote of lots are are bigger than you know, on average, I think uh new construction is maybe about 5,000 square feet total. And most of these other homes are maybe a little bit north of that. Yeah, so it's just kind of curious how we got away from that because it is important to people, and that is kind of where your money is, is in the land. Yeah, right. And so I'm just kind of curious, like your take on that, maybe Amber, like conversations with your clients about specifically lot size, it's um the the demand for housing. So the builders are you know squeezing in as many properties they can on those plots of lands that they buy. Um, but definitely when I have these conversations with my clients, um, when they're thinking about new build versus resell, we talk about all of that. Lot size, um street parking is huge. Oh, yeah. I'll tell my clients, I'll be like, go drive in the evening after everybody's home from work. Go drive on a weekend when your neighbor's having like a birthday party and whatnot. There's just not a lot of parking on the smaller streets. And with resale, you definitely get wider streets, more parking, you know, and those bigger lots of things. That's such a good point. Yeah. So there's a there's a lot of things that um are good to discuss because yeah, the homes are beautiful, they're brand new, nobody's lived there. But then once you get in there and get settled, it's like, okay, this neighbor has four teenagers. Yeah, and I each have a car and I can't park anywhere when you know my family comes over. So um that's a big discussion that I have with those are the new really good points. And I'm kind of curious, um, Victoria, because you've had so did you only work for Richmond American or did you work for other only Richmond, yeah. Okay, in Richmond, I mean nothing. I love Richmond American homes. I mean, I always felt like they were kind of higher-end luxury without being complete luxury prices, like Lenar. Sorry, Lenar, but you right a little bit unobtainable. Um, but you know, one of the things that I was curious about, because I will just say, right, Lenar is one of the most notorious builders for charging for the lot. Like you will actually pay a premium to have a specific lot and they'll add it on top of the price that you're expecting to pay. And sometimes it's hundreds of thousands, it's not even just two, five thousand dollars. I I mean, again, nothing against Lenar because they do make a really great product. But the last time I visited one of their communities, the lot premium was $100,000. So isn't that wild? Surprise they all do it, but it's just hidden. Is it so? When I was working there, you had three prices. Okay. You had your base, you had your elevation, so the exterior of the home. So let's say like craftsmanship, right? Okay, and then you had your lot premium. So what some builders do now is they factor all of those things into one price. But when you get the breakdown, so you should, I don't know if everyone does it, but when they send out that contract, you really want to look at it because it shows you line by line, like what kind of cabinets, how much it costs, and then sometimes they'll give you like let's say a price adjustment. You want to know what they're adjusting. Are they just adjusting like one product or are they adjusting the lot premium or the elevation costs? But now they're starting to lean towards putting it all in one. So when you see that price, typically it should include everything, especially if it's something that's already done being built. Interesting. Okay. But if they haven't started, I used to call it sticks. If they haven't put up sticks yet, so like you know, the starting of the frame, then you should see where they have the elevation, they have the you know, uh, the lot premium in there. But yeah, not all of them tell you. I when I worked there, I it was a while ago, um, I think the highest I seen wasn't that, it was like 45. Okay, that was much more manageable because um, but okay, so in all fairness, it was like a 32-foot backyard, right? Okay, um, but not all of them were like that. Right. I think the smallest in that community I had was like 13 feet. Okay. Um which is tiny. Yeah, and then like you learn like there's a minimum on each side. So one side I believe was like five, the other one, it could be more than five, but typically no bigger than seven feet. Okay. So it just, yeah, it depends, but there's always something. So that like itemized sheet that you talk about, right? I've seen it, I purchased surprise, Asino home in 2022. I have my own thoughts on that. But that's for another podcast. Yes. Um, but you know, like I think it's really interesting, and I hope maybe somewhere down the line this changes in our industry. Yeah, but they are so particular that if you go to a new construction site, you have to bring your realtor with you on the first visit. And if you don't bring your realtor with you on the first visit, they will not let that person represent you in negotiations with the client. I've always felt, and I'm sure Amber, you have feelings on this too, and you too, Victoria, like that that is so like backwards thinking. Like the client, in my opinion, should have the ability to bring in an outside person that does not have an affiliation or an allegiance to the builder. Yes, and uh allow that person to help negotiate for them on their behalf because case in point, you just mentioned, right, this itemized list of things. I can almost guarantee most people do not sit there and look through that. And I mean, you are maybe the exception to this, but most builder reps don't sit there and go through it with the the buyer either. No. So if these are things they should be paying attention to, just another case in point, they should have representation for someone to do that and advocate for them and encourage them to read through what they're signing and agreeing to. And Bruni, you want to go first? That's my soapbox. I had a client who needed some ADA improvements to the house. And I'll tell you what, the builder, they were great to work with. Now, you're some my client, she had to pay for those, but um they're very reasonable. And um, that's where you bring in the itemized list because we've made we made a few changes for her, you know, to live comfortably in this house. That item I that itemized list was um yeah, very important at the end because it, you know, it was, you know, some of some of the elevation we were changing with, you know, cement bringing in for ramps instead of just like a aftermarket ramp. Um, the showers, you know, she had to be able to like roll into the showers. And so um shout out to Kehovanio Homes over. Oh, there I did because um they were great to work with with making these really important changes so my client could live comfortably in her house. Yeah. But that the itemized list, I it would come out every you know, couple months, and I would just go over it to make sure like something simple as a handlebar was in the shower, you know. And that is such a perfect example of what we just talked about, right? That's literally case in point of why it was so important, and it is so important, I think, to have outside representation because nothing against that community. I love Kayovanny and Jennifer's great, like they really are wonderful, but they're dealing with potentially hundreds of people at any one time purchasing property. They're like, I highly doubt they're really sitting, you know, with the clients and going over things in detail. And for something like that, yeah, just another reason why I think like I think the rules should be different. And I don't think it matters like when you go and necessarily see the property before you make that offer. I think you should have the ability to have outside representation. Well, my client with her disability, she couldn't even do a framing walkthrough. Oh she couldn't do um, she couldn't like physically like yeah, get there and do that. So if I wasn't there, you know, noticing that, hey, there's supposed to be another light right here, where is it? And they're like, oh, we gotta cut that, you know, she would have shown up to this house and not everything on her list would have been done. So it was very important that she had me represent her to make sure everything was perfect when she took ownership. So, what are your thoughts on that, Victoria? Because I'm generally curious too, because I know you experience this firsthand, I'm sure, with having to turn people away and say sorry, but first time. So honesty is the best policy. Yes, I love that. Um I'm gonna get so much like hate for this. We got your back, girl. Thank you. Because I've seen people say, Hey, you need some you need your agent here the first time you're here. And I've seen some people turn a blind eye. I have seen the same, and I've experienced the same. It's like who you know. Yeah. Um, because perfect example, my clients, again, I've known them since my builder days. They know the rules. Yeah, they did it, but they did it with a builder that knows me. So she was like, hey, by the way, your family came in. So I I get both sides, like I understand why the builder does it, they do it to protect themselves, right? Oh, 100%. But then I also feel like when I started in Builder, I had this like, I don't need, they don't need to come in and represent you. Like, I'm here to support you. But then as I was learning the business, I was like, whoa, like there's things in here that I don't understand. There's things that like going back to the ADA, like you sign something saying that you don't need it and it's okay. And what happens if that's your forever home? Right. So I just I always feel like you should have representation because at the end of the day, that person that works for the builder is there for the builder. 100%. And that's why I think it's so crazy that there is this rule, and I really hope maybe there's legislation. Fel, if you're listening, maybe um tell your friends at CAR, there has to be something I think done because I don't think that that's right. And I've had instances where my client, like you just mentioned, totally messed up, just didn't even think about it. They went on a whim, they were both available, didn't even think to like, hey, let me call Hazel. And as soon as I found out, I called the builder and they said, no, you no longer can represent them. They're being represented by the builder. And between me and you, like, and maybe I shouldn't admit this, but I did, you know, would help them still verbally on the phone just because they're they're scared, they don't really know what they're doing. It was their first home. Like, this is all completely new. And to be totally transparent, many times the builder reps will just give you the stack of papers. Here you are, please sign, let me take your check. Thank you. And then I'll see you in a few months when we do the next walkthrough. And it's so just not personal, and there's so much with real estate, but on top of new construction, there's so many nuances to that. A lot has changed because when I took my clients to a different builder, they no longer, so when I worked for a builder, we had to sit down, and again, we're we're not attorneys, so we don't go over line by line. Right. We say, okay, I've only had so out of the years I was with the builder, we and it wasn't even my client. So my partner that was working there, she had someone read every single page. But good for them at the same time. I know 150 pages. Oh, we had lunch together. Like, you know, like we were like, okay, we're all just gonna eat lunch together. But you just I do believe that you should have someone looking at it with you because again, like I said, at the time I was representing that builder, but I just think that people aren't really aware of all of the terms in in that, especially when it comes to like mental ruse. Teresa, we're about to hit you up, girl. Conversation. Because like that addresses, and you know, you're also with the builder's escrow company, like it's just there's so many things affiliated with that builder, like from the lender to the warranty, like your home care. So all that is just it it's intertwined. So I always suggest, like, yeah, bring someone, but the one thing I had to do was I thought, I was like, you guys, my client wants this house. I know she came without me. I I you're not gonna get far without me. Right. Um, so sometimes I you know I blow a little smoke. Yeah, yeah. And sometimes it works and sometimes it doesn't, but I think you did the right thing by saying, like, hey, I can't really get into it, but let me know what you're signing. Right. Because you it's it's a lot. Yeah, that new that package, I mean, hopefully a lot has changed, but it's a lot. I mean, I just had a client go into contract with the builder here and it hasn't changed. You know, like so, but we sat together for I think it was like two hours, you know, going through everything. And it's so important because there is just a lot, and actually, this brings a perfect segue. I love this because Melaruz is one of the biggest things, and I think the biggest factor is why people cannot financially afford to buy new construction because these Melaruz tax, these special assessments that just drive up their mortgage payment. Yeah. So Teresa, yes, dun, dun, dun, yes, our lender here, and I think this is just a great time for you to chime in because on the financing side of things, the Melaruz has significant effect sometimes for the mortgage family. Oh, yeah. I mean, there's homes, I believe it's the Dixon ones, that your property tax rate on a normal home in Baccaville is somewhere around 1.25%. Those Dixon homes, they're 1.65 or 8.5%. I can't, they're a lot higher. Yeah, yeah. And it makes a huge difference in your forever payment. Your property taxes are never gonna go away. So it's not even like your interest rate, it's a fee that will be there for the life you have the hell. So I think it's definitely something that when I have a client come in who wants to, you know, get pre-approved, and then they start talking new construction. It is definitely something I talk to them about. Like, yes, you know, it I understand the the um, I understand wanting to go new construction. You have a brand new home, it's this beautiful community. I mean, I love Hazel's neighborhood. I say it every time I go in there, but um, and I actually don't think you have the crazy Melbourne ruse on your 1.2. Yeah, thank you, Ceno. But I do have to run those those higher numbers for clients, and a lot of times it really is a turnoff because once they factor in landscaping and do they want a pool and lines, and you know, it does it does really affect them and what they can afford and if it's worth it. Some some though, it's exactly what they want, like they're okay because it means they have the perfectly manicured neighborhood, and because that's like yours, it's beautiful. Yeah. Um, so you know, I think it depends on what the client wants. Right. And then there's sometimes HOAs involved now, too. Yeah, a lot of times there's HOAs, and that could be small, but they could also be 150 bucks. Yeah, maybe even more than that. Um, and so like on the lending side of things, because I think we're all seeing, I don't remember a time, probably before like the last couple years, where we've seen as competitive interest rates as we have with new construction. Like my guys who are buying new construction right now secured a four point, no, I think it was 399. I think they got a 3.99 fixed 30 year like interest rate. How the heck do you compete with that when I mean no offense to you, right? Yeah, mortgage rates are six and a six offs. That's 0.75. I was just gonna say, are they paying for that? And then they don't know that they're paying for that. So I haven't seen a side by side. I do though, uh, what I will say is if you guys have a client, like you three, who is you know, has the builder lender that they're working with, have your lender or me do a side-by-side because I haven't seen one lately to see if it's built in. Honestly, even if it is what I'm usually getting beat out on are the um closing cost incentive? The no, the the upgrades that they offer. Oh, they go with their design incentives. Yes. You go with our builder, if you go with our builder lender, we'll give you $30,000. Like, I can't compete with that, you know. And back in the day, I could compete with the builder lenders. Now, with their rates being these like super low rates, and you know, we I we have a friend who's buying in um Sacramento area, I think Roseville, and he got a great rate like that. His isn't fixed for 30 years, but I think it's fixed for seven. It does their seven, yeah, that's great. Yeah, just refi. And he's getting all the perks of the upgrades. So, you know, it's not one I can usually compete with, but I highly recommend like you guys as agents, like still have your lender look at it because maybe there is something we can compete with, things could change. And I think it's good too. Your clients will have like someone you guys trust telling them, no, this is a good deal. When I have clients that go to new construction, they're usually all, ooh, you know, la la, like this lender's offering this great rate. Here's these great incentives, closing costs, all the things. Since you have been in the new construction world, I almost feel like builders try to not have the buyer bring in an outside lender, even if in a perfect world Teresa could compete. I always felt like this, like unsaid, like, nope, you're gonna go with our guys, right? Because there is, I'm sure, some sort of incentive for the builder. What are your thoughts on that? Very opinionated about all of this. So at the time working there, I had to know, like, okay, if they don't get a green read, like a go for this person, then I need to have a backup. So then that way they don't lose on their lot. But that's the other thing, too. I have stories of someone saying, like, they're approved, right, with the builder lender, and then we're getting ready to close. Because remember, some builders are in the process of building your home. So a lot can change. You can accidentally go out and buy a car, which has happened. Oh, yes. Oh, yeah. Okay. So right, change your job. Or your job. I've had one of those two, or not notify your lender. That you have a vacation home. Oh my gosh. Like there's just there's so much. Just got stories. Then you, you know, 30, 45 days out, you're you're going through that process again. Right. So then we have we we have there has to be a backup. Yeah. Yeah, yeah, yeah. So um there's a couple things you said that I was like, okay, I gotta answer for those. What I seen when I worked for a builder was there was a difference on those side by sides. So anyone that goes with new builds, again, all my new build friends are probably gonna send me hatex. You need to do a comparison. Yes. And like sometimes, yes, it makes sense, but we're so focused on the interest rate when we need to be focused on the payment. True. Because you're I'm not gonna tell you what line it is, but there was a line where side by side, I'm like, why are they paying $400 more for something? It didn't make sense. So then that's when I started making other friends outside of the builder lender and the preferred, right? And I was asking more questions, or I just had a buddy and that was a mortgage broker, and I was like, hey, like, explain this to me. I don't get it. Like, why is this costing this for this person? And this person has you, and it doesn't cost that. And he's like, because it's slightly inflated in interest. And some of them, like, you can, right? You and then some of them are set, like it that's just how it goes, but you don't know until you have the comparison, right? Right. Right. And that was that was the biggest thing. You need to have a comparison. Absolutely. Go get go get a comparison. I'm happy to run them for you guys, it's very simple. I'm sure you know your lenders you work with are happy to do it because it does maybe open up something, you know. Maybe in the end it still wouldn't make sense, but it's good to know. So, something I do want to touch on is that pre-approval. Yeah, that's a hundred and fifty percent true. Yeah, that is something we run into when people get qualified with a lot of other types of lenders as well. But it does happen a lot because the builder lenders, they're pupping these deals in because everybody has to get pre-approved just to go in the contract, even if they have their own lender, it doesn't matter. And that's a horror story I hear a lot is that they're not actually approved. They're or it's enough time has gone by and something's happening. Yeah, but it's really out the gates sometimes. They should have never even been approved in the first place. We have deceptive. I think it's just they that's why it's important like to have a good realtor. You need a good lender who knows. Oh, that looks that's not good, that's gonna be an issue, right? Because they don't build a rapport with them. Yeah, yeah. You are another phone call. Yep. That's why I get frustrated. Like right now, we're going through it. I know, I know in the hearts of hearts that it may not work out with that builder lender, but I'm already prepared on the back end. But I get frustrated because technically, if we're gonna be technical, I don't have to get approved with your builder lender, right? Like, that's just your policy. But in all fairness to my client, yeah, what if you could have this 4.99 interest rate, but it's like almost kind of like setting someone up. Like, I just you know, like I feel bad already, but they it's a possibility they're going to approve him because based on the application, you look good, right? But one, he he owns his own business, so I know that's like a red flag to them automatically, and they will approve someone and then say, Oh, by the way, we're almost done building, let's rerun you. I don't have this, and then and then again, none of these people have really picked up the phone and had a full conversation, right? They have a full community. I don't even know if I don't know if you even know this. So one lender, typically, a builder lender, is assigned to a community. Okay, so like loan bankle or something like that. Yeah, so like yeah, think of yeah, let's use Richmond, right? Yeah, we had an LO that was for that community. So those what 63 homes are with him. He has to focus on those, but then he has other communities too. Gotcha. So it's a lot, so it's a lot of little fish and a lot. So it's I like my clients to have a more personal touch. Like I want them to have a relationship to be able to text and call. Right. You don't have a cell phone number, you have an office number, and you have an email. Yeah. If you get a builder lender that is willing to give you a cell phone number, take that and run. That means that they want to build a relationship. They may even be completely transparent with you. That's what I like. But there was just there's so many times we've seen it and it was just like, okay, well, let me get you approved. Yeah. And I guess it brings me back to my soapbox, right? About you have to be there as the real tour, the first visit. That's not the case with the lender. You could still go get pre-approved with another lender, so why is it different with the real estate agent? And the reason why is like, let's all be real, they don't want to pay a commission. Yeah, they want to pocket all the money. And I get that. But I think like, I don't know, I feel like there has to be something that changes because I think that does nothing for the consumer. They're totally at risk. And then I also think about the the ones that, and I've mentioned this to Cel, who's on our forms committee now, and and knows a lot of people at CAR, but um, I do think that our contracts, including the builder contracts, should be in different languages. Just think about it, right? We don't even understand what is what is being said on sometimes these contracts that are written in plain English, and we all are pretty educated and you know, well-to-do people. And just imagine the the people that prefer to maybe have it in a different language. I mean, imagine just I mean, I can't even imagine like how just scary that is. The biggest asset, the biggest purchase you will ever make in your life, you don't even know what the contract actually says. And you're trusting the builder rep to translate it for you? These builders don't follow the same rules, is like like they're builder lenders, the things they can offer. Uh, we can't offer things like that. We're held to different standards. And I assume, like, same with you guys, right? Like, it's just crazy that they they kind of everybody has a piece in it, so that makes it a little um, you know, should you really go that route? Are you being, yeah, are you being treated how you should be? And I think in most cases they are. So I'm not saying anything bad, it's just it's funny they're held to a different standard. Right, right. And that goes back to my question like, who's really paying that? Is the builder really paying, or is there some hidden line item where the buyer is paying for that and they don't know it? I mean, I think in some of it, the builders have a bigger interest in getting rid of the lot. Yeah. So the loss in what they're paying to get that rate down, because they they still have to sell off those loans, right? Is probably still less than if they don't get it in contract. Like they have a timeline they're trying to hit. So I think they have other funds that are like taking care of that, would be my guess in it, because they have a bigger interest. I I'm not the same, you know. I don't, it's not gonna affect me if they don't buy the house for my bigger pay well, except for I mean, of course, I'd love to work with them, but you know what I mean? It's it's a little different. So I think that plays a part. I feel like we need a part two, yeah. And we need a part two to this conversation. There's so much else we didn't even touch on that I'm like, we need another conversation surrounding new construction. And then again, this is not a dig to new construction. No, I love my friends in new construction. Victoria, you started as my friend in the construction, they are amazing resources, like people, like it's just it the the vast differences between new construction and resale is just like wild. And I think in a lot of ways doesn't protect the consumer. And I think things should just change. And I think that I wish things were just a little bit different for people looking to purchase new construction. But anyone have any like final remarks before we uh wrap this baby up. And then I like I said, I think we need a part two. Yeah, I have a couple things about like the design and and upgrades that I think are important. Do the upgrades that are within the walls of the home. Like if you want a ceiling fan, you know, pay extra for that. So then you're not cutting into the wall. Like, you know, it's there. And then um I'm finding that if you want like upgraded flooring, and you can correct me if I'm wrong, it's it's more cost effective to just go with the builder's flooring and then redo your own flooring after you close on that property. Oh, yeah. So it's more good, it's more cost effective. So I would say if you if you want to do these upgrades in the home, um do the things that are like within the wall, the electricals, the plumbing, you know, spend your money on those kind of things because it's more cost effective for the um pretty things after you close. That's a good way to like think about everything. And you could tell from someone who has experience too. Just how you phone a friend to say, like, hey, I'm thinking about buying, like, phone that friend that's one of us, right? Like, you know, like bring bring your realtor with you, get another opinion on you know what you're spending, that payment. Like, it doesn't hurt while you're in the process. And that's what I always explain to them. Like, yes, you ought to approve with the builder lender, but let's also have a second opinion just in case to protect you. Because I never want someone to say, well, that person didn't offer that to me, or oh, I didn't get a second opinion because I don't love the shoulda, coulda, woulda. So always have a second opinion. Now just how you phone a friend, phone your agent. I love that. I love that. Good words. Any any last minute words? Just that I agree with what you guys are saying. I I highly recommend to have a realtor with you. I even just as much it recommend have a lender look at it too. Um, you know, I know for me when you because your Hazel's always very open, okay, Teresa, they are considering new builds. So she does tell me, and I'm more than happy to still pre-approve them, do all the things, because even if they do end up going that route, that's what I'm here for, right? Like that's I'm supposed to be helping people, and honestly, like they're they probably will end up being a part of our everything. So, you know, it's not like end all say all either. Maybe they'll buy a different house one day. Or refi. Or refi. But I highly recommend getting, you know, make sure you have your realtor with you and make sure your realtor gets you another lender to look at numbers. So well, I loved our conversation here, guys. I'm really excited, honestly, for part two. Like I said, I think we just basically like skimmed the water. Then I think, like, you know, I mentioned, I think this is just a really good education piece for people who don't realize that there are significant differences between those two worlds. And it's good to have a realtor and a lender that know how to explain those differences to you and can protect you and do all the things to make sure that you make an informed decision which direction you end up going.