New Construction FAQ: Buying a New Home in San Diego

Updated October 2026 · Rudy Flores

A new home comes with a builder’s contract, a build schedule and a few costs that sit outside the base price. The answers below run from the first sales-office visit to the day you list your current home.

Builders, Contracts and Your Own Agent

Can I bring my own agent to a builder’s sales office?

Yes, and timing matters. Many builders will only work with your agent if that agent is registered on your first visit, and each builder sets its own policy. The sales team is paid by the builder, while a buyer’s agent works only for you. Before you tour, Rudy will tell you in writing how he is paid and whether the builder covers it.

Who writes the contract when I buy from a builder?

The builder does, which is one way buying new differs from buying a resale home. Read the deposit terms, the estimated completion date and what happens if that date moves. Ask, too, whether money paid for options and upgrades can be refunded. An attorney can review the contract and explain your rights.

What is a public report, and when do I get one?

In California, a subdivider such as a builder must get a public report from the Department of Real Estate before marketing homes in a new subdivision. It covers items such as the CC&Rs that govern how the property is used and the costs of the homeowners association and common areas. You must be given a copy before you are obligated to buy. Read it with your agent before you sign.

Is a builder’s incentive worth using the builder’s lender?

Sometimes, so compare the numbers before you decide. Builders often offer a credit, a rate buy-down or upgrades when you use their preferred lender, usually tied to a contract date, a closing date or both. Every lender must use the same three-page Loan Estimate and send it within three business days of applying, so an outside quote lines up next to the builder’s offer. If a buy-down lowers the rate only for the first years, ask when it ends and what the payment becomes.

Which upgrades should I choose now, and which can wait?

The lot is permanent, and layout changes are usually hard or costly to make once the home is built. Extra outlets, EV charging wiring and plumbing rough-ins are much easier before the walls close. Paint, light fixtures, window coverings and many finishes can often wait, and other sellers may charge less for some of them. Get each option’s price in writing and compare outside quotes for the items that can wait.

Want answers for your own move? The four-question Home Strategy Quiz takes about a minute, and Rudy reads every answer himself.

HOA Dues, Mello-Roos, Inspections and Warranties

What is Mello-Roos, and why do so many new communities have it?

Mello-Roos is a special tax charged inside a Community Facilities District, or CFD, under a state law passed in 1982. It helps pay for public facilities such as streets, schools and parks in a developing area. Forming a district takes approval from two-thirds of the eligible voters or landowners in it. The tax is billed with your property tax, separate from the 1% base tax.

Can a Mello-Roos tax go up, and when does it end?

Each district’s own rules decide both. Proposition 13’s 2% yearly limit on the base tax does not apply to a Mello-Roos tax. Ask the sales office for the Notice of Special Tax, which shows the yearly amount, how it can rise and when it ends. The San Diego County Assessor’s Mello-Roos page explains how to look up a parcel’s district, including the bond’s maturity date and the most the special tax can rise.

What should I ask about HOA dues in a new community?

Ask what the dues cover, how well funded the reserves are and whether any special assessments are planned. Ask about rules on rentals, parking and exterior changes, and about the master insurance policy and its deductible. The public report covers association and common-area costs, so read that part closely. Then add dues and special taxes to the payment, so you compare total monthly cost instead of base price.

Do I need an inspection on a brand-new home?

It’s worth considering, since new homes can have defects and the builder’s own representative leads the final walkthrough. An inspector you hire answers only to you. If the home is still going up, ask about an inspection before the walls are closed, while framing, wiring and plumbing are still in view. At the walkthrough, write a punch list with photos and get a repair date for each item in writing.

What warranty comes with a new home in California?

Builders give their own warranties, so read yours early. California’s Right to Repair Act (Civil Code section 895 and following) sets building standards for new homes and a claims process. Section 900 requires the builder to give at least a one-year written warranty on the fit and finish of items such as cabinets, flooring, countertops, paint and trim. An attorney can explain the act’s deadlines and how it applies to you.

Build Timelines and Selling Your Current Home

How long does a new build take?

It depends on the home and the phase. The site’s new-construction map, with facts read October 8, 2026, lists 10 communities, from homes on sale now to phased builds and plans not yet selling. Ask which homes are move-in ready, when the last home in your phase is expected and what the contract says if the date slips. Pre-approvals often expire after 60 to 90 days, so ask your lender how a rate lock works on a home that may close months away.

Can I sign with a builder before my current home sells?

Sometimes. Each builder decides whether it will accept a contract that depends on selling your current home, and for how long. If the builder wants a firm contract, ask your lender whether you can qualify while still carrying your current mortgage. Rudy can help you plan your sale around the builder’s schedule.

When should I list my current home if the new one isn’t finished?

Count back from the builder’s estimated completion date. The site’s escrow calculator starts at about 30 days from acceptance to closing, a common California contract term, and finding a buyer comes before that. In the week ending October 17, 2026, San Diego’s median listing took 51 days to go pending. Build in a cushion, since build dates can move.

Can I sell first and stay until my new home is ready?

For a short gap, ask your buyer for a rent-back. You stay after closing, pay the new owner a daily rent and move out on a date you both agreed to. For a longer wait, some sellers rent a place in between, which means a second move. Selling first puts your equity in hand for the down payment and design-center choices.

Can I keep my low property tax base if I buy a new build?

You may be able to, under Proposition 19, if both homes are your principal residence. Owners who are 55 or older, severely and permanently disabled, or victims of a wildfire or a Governor-declared natural disaster can carry their property tax base to a replacement. The replacement must be bought or newly built within two years before or after the original home sells. A new home worth more than the state’s value test allows adds the difference to that base, so check the rules with the county assessor and a tax adviser.

Talk to a lender. Rates, loan programs and approvals come from lenders, not from websites or real estate agents. Talk to your own mortgage broker, or use our preferred lender, Point Mortgage Corporation (NMLS #231073), at (619) 475-4095. You are always free to choose any lender you like, and you can verify any lender’s license at nmlsconsumeraccess.org.

Keep exploring

Ask Rudy — More answered questions, and a form to ask your own.
Request a home value — A written comparison built from recent nearby sales.
Home guides — Step-by-step guides for buying, selling and moving.
Home tools — Calculators for payments, costs and timelines.
Book a 15-minute call — Talk through your own questions with Rudy.

General information, not legal, tax or loan advice. Every situation is different, so confirm the details for your own move.