Home plans require careful consideration before purchasing and we're here to help you along the way and throughout your building experience!
Financial Considerations
Budgets should be established as you search for the right home plan and lot. As a general rule of thumb, your building site should cost no more than 20% of your total budget.
Before you start, make sure you know how much you can afford to spend. Investigate your options by making an appointment with your bank or loan officer. Banks often provide attractive loans that can initially finance the lot purchase as well as construction costs and then convert automatically to a mortgage. Also find out if your bank reserves the right to approve the builder you choose.
Make appointments with local contractors and builders in your area to get estimates on the average cost-per-square-foot to build the home plan that you have chosen. You should also get estimates on the cost of driveways, utility hook ups, and septic tank installations or sewer connections
Choosing a Contractor
Choosing a building contractor is probably the most important decision you will make. Your builder will not only be responsible for building a high-quality house, but he will also be responsible for coming in on budget, getting the house built when you need to move in, and coordinating the multitudes of subcontractors it will take to get the job done.
Most home contractors are dependable and trustworthy, but there are a few guidelines that you should follow to protect yourself and your investment.
Always obtain more than one estimate.
Never choose a contractor based solely on the lowest price.
Don't rely on possible legal remedies as your protection against someone you are apprehensive about. Simply don't hire that particular contractor.
Research their background first before hiring them. If your state has a licensing board for contractors, call to find out if there are any outstanding complaints against that license holder.
Call your local Better Business Bureau to see if there are any complaints on file.
Don't be afraid to thoroughly interview the contractor candidates. Ask what kind of worker's compensation insurance they carry and get their policy number and insurance company contact information so you can verify everything. If they are not covered, you could be liable for any work-related injury incurred during the project.
Be sure that the contractor also has an umbrella general liability policy.
Don't hire the contractor who only suggests changes that will reduce the price and possibly the quality of the house, or the contractor who does the opposite and only makes suggestions that will result in expensive changes. There should be a balance.
Choose a contractor based heavily on past performance. Ask for names of clients and follow-up with phone calls and drive-bys, if possible. A good contractor will be happy to provide as many referrals as you want.
Choose a contractor based on recommendations of local business owners he or she deals with such as bankers, material suppliers, or local officials.
Choose a contractor who appears knowledgeable, has a helpful attitude, and will be available to answer any questions or concerns along the way.
Finally, don't be rushed into making a decision, no matter how competitive the market may seem. And never pay a deposit to a contractor at the first meeting and before a detailed and approved construction contract has been agreed upon.