Building a new house (1 Viewer)

[Brennan77]

Does anyone have any experience with building a new home? My wife and I have been brainstorming different ideas and ran across a few homes a contractor built in a particular cul de sac and neighborhood. We really like what the builder is up to so I met with the guy and got a few numbers and general ideas, etc. In this situation, the contractor owns the property and will custom build the home for you on the selected site. So you meet with an architect, place a hold on the property, design it, agree to a general price, place a downpayment, then complete the purchase when the home passes inspections, etc.

One thing I really don't like is the lack of information on my part. I'm in a complete situation of weakness in that the market is competitive and I don't really know enough about such a thing other than to agree or not agree to a price. I'm not opposed to adding an agent to the mix but I feel it'd basically increase the cost of the house by whatever their commission would be. It doesn't seem like there's a lot of haggling going on. Houses seem to be moving pretty close to their asking prices. The good part is that so will mine if and when I do sell it.

Anyway, we aren't super anxious or in a hurry. But it's something we are considering in order to get a little more space and maybe move a bit out of the inner city. I'd appreciate any thought or experiences or words of wisdom that might be useful should we choose to pursue this.

 

[BroKV]

I’ve had a house built once, that will be the only time. Too many workmanship issues to deal with. With a used house at least I can see what I am getting.

 

[efil4stnias]

We just built (moved in March 1). Wasn't a tough process really. I was a novice outside of what I learned from clients and I picked dtcs brain a few times (and he was extremely polite enough to reply and extremely insightful)

Allow me to offer one thing... Vinyl plank. It's virtually indestructible. Waterproof. Oh and tank-less water heater... Omg with 3 women never running out of hot water is heaven.

Also, if you want it... Get it now. I just had a 14 x 16 slab poured. I waited and paid for it as opposed to getting during construction process as I didn't want to increase my budget. But it cost abt 40%,more than had I done during construction.

Who is the contractor?
Pm me and I'll be glad to share whatever...

 

[efil4stnias]

Oh and had no idea how expensive plumbing and lighting fixtures were. So don't go by what you see at local big box hardware store. Those fixtures aren't the same as say Southland Plumbing supply.

Oh and ask if he uses Builder Trend.

 

[Brennan77]

Oh and had no idea how expensive plumbing and lighting fixtures were. So don't go by what you see at local big box hardware store. Those fixtures aren't the same as say Southland Plumbing supply.

Oh and ask if he uses Builder Trend.

Thanks. I sent you a PM.

 

[BooBirdSaint]

My advice is to research cost plus vs fixed price as far as budget goes. Each method have pros and cons. We built 3 yrs ago and did it on cost plus because it gave us flexibility in the various allowances.
Also when you build you need to understand the HOA restriction in the area your building. You also need to understand the setback requirements and easements as they can limit your home size and location.
Lastly, dont build your home to today's standards build it for tomorrow's so when you decide to sell you'll already have things like a 220 plug in the garage for electric cars or extra breakers for solar etc.
Good luck and have fun.

 

[guidomerkinsrules]

this thread makes me miss BHM

 

[Krodwhodat]

@dtc

 

[dtc]

Does anyone have any experience with building a new home? My wife and I have been brainstorming different ideas and ran across a few homes a contractor built in a particular cul de sac and neighborhood. We really like what the builder is up to so I met with the guy and got a few numbers and general ideas, etc. In this situation, the contractor owns the property and will custom build the home for you on the selected site. So you meet with an architect, place a hold on the property, design it, agree to a general price, place a downpayment, then complete the purchase when the home passes inspections, etc.

One thing I really don't like is the lack of information on my part. I'm in a complete situation of weakness in that the market is competitive and I don't really know enough about such a thing other than to agree or not agree to a price. I'm not opposed to adding an agent to the mix but I feel it'd basically increase the cost of the house by whatever their commission would be. It doesn't seem like there's a lot of haggling going on. Houses seem to be moving pretty close to their asking prices. The good part is that so will mine if and when I do sell it.

Anyway, we aren't super anxious or in a hurry. But it's something we are considering in order to get a little more space and maybe move a bit out of the inner city. I'd appreciate any thought or experiences or words of wisdom that might be useful should we choose to pursue this.

I do design and build work, but typically it's on the client's lot. When it's on a lot I own, there's profit added into the lot price in addition to the build price. Sometimes that would lead me to have an overall higher price than if you owned the lot yourself, but if the price he's asking and the house he's selling meet your needs and budget then it would seem to be a good mix.

Every builder is different. If the general specs of construction are agreed to and well defined then you should be fine. Typically, they're going to give you a set of budgets for lights, plumbing fixtures and other finishes. Your job as buyer will be to make those selections fit the budget or pay m ore. At this point, the first bit of advice I'd give is to explore those budgets and make sure they're realistic.

Can you buy a house full of lights that you want and like for $5k 10k or whatever he's offering? Are recessed lights included and, if so, how many and where? Same goes for plumbing fixtures.

Some spec builders give you a set of choices that are basically colors. What color granite out of these 5 choices? what color hardware from oil rubbed bronze or brushed nickel? That sort of thing.

Anyway, I'm happy to help. PM or post and I'll do what I can to answer.

 

[Brennan77]

I do design and build work, but typically it's on the client's lot. When it's on a lot I own, there's profit added into the lot price in addition to the build price. Sometimes that would lead me to have an overall higher price than if you owned the lot yourself, but if the price he's asking and the house he's selling meet your needs and budget then it would seem to be a good mix.

Every builder is different. If the general specs of construction are agreed to and well defined then you should be fine. Typically, they're going to give you a set of budgets for lights, plumbing fixtures and other finishes. Your job as buyer will be to make those selections fit the budget or pay m ore. At this point, the first bit of advice I'd give is to explore those budgets and make sure they're realistic.

Can you buy a house full of lights that you want and like for $5k 10k or whatever he's offering? Are recessed lights included and, if so, how many and where? Same goes for plumbing fixtures.

Some spec builders give you a set of choices that are basically colors. What color granite out of these 5 choices? what color hardware from oil rubbed bronze or brushed nickel? That sort of thing.

Anyway, I'm happy to help. PM or post and I'll do what I can to answer.

Thanks. I really appreciate it. I think the builder is pretty proud of his product in terms of asking price. And I can't argue too much as he seems to be getting what he's asking and I've liked what I've seen. He works with an architect that I would pay directly. But from what I can gather it seems it would be within certain restrictions stylistically as most of the houses he's built in this cul de sac look similar though not the same.

I definitely have some questions but I'm trying to organize them a little better than what they'd come out right now. Part of it is how I'd be sure that the cost he's quoting allows for budgeting to the same types of standards of the other homes I've seen. Another big issue is choosing a lot as I don't know anything about building and have a hard time envisioning what I'd like and whether it'd be better on one lot than another.

 

[dtc]

Thanks. I really appreciate it. I think the builder is pretty proud of his product in terms of asking price. And I can't argue too much as he seems to be getting what he's asking and I've liked what I've seen. He works with an architect that I would pay directly. But from what I can gather it seems it would be within certain restrictions stylistically as most of the houses he's built in this cul de sac look similar though not the same.

I definitely have some questions but I'm trying to organize them a little better than what they'd come out right now. Part of it is how I'd be sure that the cost he's quoting allows for budgeting to the same types of standards of the other homes I've seen. Another big issue is choosing a lot as I don't know anything about building and have a hard time envisioning what I'd like and whether it'd be better on one lot than another.

Happy to help.

If he's worth his salt he'd be happy for you to talk to the other folks in that culdesac I'd bet. They can tell you how close his budgets came and how it worked.

I have my company set up to design in house because I got sick of looking of plans people couldn't afford to build that were 40 to 50k to draw so we began to do all our own design work. It's been quite some time and it works for us, but not everyone can have an architect on staff. When that won't work, having one you work closely with is great as long as the architect is drawing the house to be built to suit the needs of the client ON BUDGET.

If you can't afford 500k then he better not draw $500k if that makes sense. In short, I've never seen anyone frame a 50k set of plans for a house they'll never build and hang them on the wall in their living room so we seek to avoid that situation. Sounds like his system is probably intended to do the same.

Are the houses fully custom or does he use a set of plans and change the exterior?

LMK when you run into questions and feel free to reach out and send proposals/contracts. Happy to read them.

 

[Tony1Saintfan]

We just built our second home. The builders wife and my wife are friends and she told my wife how to shop for really good fixtures for both plumbing and electrical. We got top of the line stuff and at the best deal we saved 65% over Home Depot and Lowe’s. The way she did it she would keep a lookout for businesses that were either closing or in some cases they had a fire in the building and were selling stock at a greatly reduced price. DTC May have some experience doing the same kind of thing. We saved about $30k on shopping that way. I would’ve saved more by doing the electric work myself but I was having some really bad issues with my leg at the time. I agree with going with the tankless water heaters. I would also recommend going with all led lighting. It will save you some serious money on your electric bill. Our new house is a bit smaller than our other house but that was the plan all along. We moved out of a house that was 4300 sq ft to this one that’s 2900. We went with sprayed on insulation and it’s paying off. We’ve been in this house since the 1st of November and our highest light bill has been $88.00. We also went with the ductless ac or as some people call them mini splits. And those have helped keep our bills lower.

 

[saintmdterps]

Pick a builder you like. He or she is going to be your best friend for 4-5 months, you will talk every day. Also get a builder who is on site every day as opposed to sitting in the office.

Good luck! I built a house years ago, then lost it in a divorce. I miss the house a lot more than my first wife

 

[efil4stnias]

Edit.

Get a whole home generator.

Tankless water heater IS USELESS in a power outage (and I'm having one now and have 3 women staring at me because none can take a hot shower).

 

[dtc]

For what it's worth, the heat pump style water heaters are more efficient than pass through and if you get the larger one you'll never run out of water.