Park City New Construction: What You NEED to Know
New construction is one of the most exciting opportunities in Park City right now — brand new build, mountain views, everything dialed to your spec. When it's done right, I think it's one of the best buys you can make here. But it works completely differently than buying a resale, and the buyers who have the smoothest experience are the ones who understand the differences going in.
I recently sat through a class taught by a Park City real estate attorney — twenty years practicing here, represents developers, buyers, and HOAs — walking through the Utah new-construction contract in detail. What I took away isn't "avoid new construction." It's: here are the questions to ask and what to nail down in writing. Let me save you the seminar.
You're buying a promise, not a product
The standard form most agents use is the UAR New Construction REPC — written in 2014 and never updated. In a resale, the seller hands you a property condition disclosure. In new construction there's no equivalent, because the thing doesn't exist yet. Your "disclosure" is the plans and specifications — and here's the catch: a building permit doesn't require specifying every fixture, appliance, or floor covering. The stuff you actually touch in a house can still be undecided while your deposit goes hard.
The fix is simple but non-negotiable: before due diligence closes, get the most complete plans and specs possible attached to the contract — flooring, appliances, plumbing fixtures, and dollar allowances for anything unselected. And know that MLS renderings are marketing, not legal commitments. If something changes later, there's a change-order addendum for exactly that purpose. Use it every single time, in writing, with a dollar amount, signed by both parties. Verbal agreements with the builder bind nobody.
Know who's behind the LLC
Almost every new-construction seller is an LLC — normal, not a red flag by itself. The question is what's behind it. A developer with years of Park City builds, a real balance sheet, and a reputation to protect is a very different counterparty than a first-time spec builder who watched the market run up. That difference should change how hard you scrutinize deposit terms, warranties, and specs.
The warranty nobody tells you about
Utah has no statutory builder's warranty. Most states build in some legal protection; not here. The UAR contract includes a seller warranty covering electrical, plumbing, structural, roof, and appliances — decent on paper, but it's only as good as the entity issuing it. What you actually want is a written warranty directly from the licensed general contractor, as a separate document. Reputable builders will give you one. If a seller can't get their builder to issue it, that tells you something.
"Substantially complete" isn't "finished"
Under the contract, the home is substantially complete when it gets a certificate of occupancy — and once the seller issues notice, you may have as little as five days to close. A CO means the home is legally safe to occupy, not that the punch list is done. Landscaping in December? Plan for a post-closing escrow on anything seasonal or outstanding. Two more items for your checklist: construction deposits can legally be released to the seller mid-build, and mechanics-lien coverage on your title policy is available and worth every dollar.
None of this is a reason to avoid new construction — it's the reason to go in prepared, with an agent who's been through these contracts. That's a big part of what I do here every week, including on my own projects.
Thinking about buying, selling, or investing in Park City? Reach out anytime — call or text (801) 837-4445.