5 Things to Know Before Buying a New Construction Home in Folsom or El Dorado Hills (2026)

1. Do I need a real estate agent for new construction, or should I use the builder's sales rep?

Short Answer: You should always use your own agent. The builder’s sales representative works exclusively for the builder to maximize their profit.

The Details: At Team Ostrode, we protect your deposit, inspect the contract for hidden clauses, and ensure the builder fixes defects before you move in. In 99% of cases, you do not lose any builder incentives like design credits or rate buydowns by having us represent you. The builder pays our fee from a separate marketing budget, so our representation costs you nothing.

2. What are the Mello-Roos taxes in Folsom Ranch and El Dorado Hills?

Short Answer: Mello-Roos (special tax districts) in new communities like Folsom Ranch typically range from $300 to $500 per month on top of your standard property tax.

The Details: This tax funds infrastructure like new schools and roads. However, rates vary by specific village and builder. Before you sign a contract with builders like Lennar, Toll Brothers, or KB Home, we provide you with a full Total Monthly Tax breakdown so there are no surprises in your mortgage payment.

3. Which builders are offering the best interest rate incentives right now?

Short Answer: As of early 2026, major builders like Lennar and Toll Brothers are offering temporary interest rate buydowns often 1% to 2% lower than the market average.

The Details: These incentives can save you hundreds of dollars a month. However, they often require you to use the builder's in house lender. We help you compare the builder's offer against local lenders to ensure the lower rate does not come with higher closing costs or inflated home prices.

4. How long does it take to build a new home in the Sacramento area?

Short Answer: A dirt start (building from the ground up) currently takes 6 to 9 months, while Quick Move In homes can be ready in 30 days.

The Details: Supply chains have stabilized since 2024, but weather delays in winter can still push timelines. We track the construction schedules for all major communities including St. Andrews, Folsom Ranch, and Serrano and can tell you which builders are hitting their deadlines and which are frequently delayed.

5. What warranties come with a new construction home in California?

Short Answer: California law (SB800) guarantees a 1 2 10 warranty. This includes 1 year for fit and finish, 2 years for major systems like plumbing and electrical, and 10 years for structural integrity.

The Details: This is the minimum required by law. We recommend a third party private inspection before your 1 year warranty expires. We often find missed items like unconnected vents or roof issues that the builder must fix for free if caught within that first year.

Ready to buy new construction the smart way?
Before you visit a builder, talk to Team Ostrode. We review contracts, protect your incentives, break down true monthly costs, and advocate for you from first tour to final walkthrough at no cost to you.
Schedule a free new construction strategy call today and make sure the builder works for you, not the other way around.

Scott Ostrode

916-799-1662

Scott@TeamOstrode.com

DRE 01241383