What You Need To Know Before Building Your Dream Home

Follow these tips before building your dream home plan.

The Silvergate 1254-D

Are you considering tackling the job of building your own dream home? In many ways, this is the only way to get exactly what you want and need out of a home; and when the process is over, you will end up with a new space that perfectly matches your dream. Yet if you’ve never worked through the home-building process before, you may feel a little overwhelmed. Here are some tips on what to expect and how you can be an active participant in the exciting process of building your dream home.

Plan Enough Time

Planning your exit from your existing residence and your move into your new dream home is always tricky. No one wants two house payments at the same time, but you need to know that building a home can take longer than you anticipate. It’s always a good idea to have another lodging option or a short-term rental available should your home not be ready when your lease is up or your existing home sells.

The time it takes to complete a single-family home will vary depending on the size and scope of the project. According to the United States Census Bureau, the average time was around seven months in 2014. This includes about one month to start the building process after authorization and another six months to complete the construction project.

Follow these tips before building your dream home plan.

The Rangemoss 1211

Set Your Budget

Building a home is a process that can nickel and dime you quickly if you don’t set some boundaries. Make sure you know your budget, and then choose a home that you can reasonably build within that budget. Keep in mind that upgrades — like hardwood instead of carpeting or upgraded appliances — which you may feel are necessities, will add to the overall cost of the project and may not be included in the builder’s original quote.

Follow these tips before building your dream home plan.

Building a Donald Gardner Design

Understand Your Lending

Building a home requires a different type of lending than buying an existing property. You can’t take out a mortgage to pay builders, because you do not have a home yet to serve as the equity for the property. Most people will take out a home construction line of credit, which they use to pay the builders and subcontractors. Once the home is completed, the owners can formally apply for their residential mortgage, using that to pay off the construction line of credit with the better terms of a conventional mortgage.

Don’t Forget Future Resale Value

Whether you intend for your dream home to be your “forever” home or not, you need to consider the resale value of the property as you build. Should you need to sell in the future, which is very likely for the average family, you need the right value. Adding too many upgrades, which price the home out of the average for the neighborhood, or choosing a home plan with features that are extremely unique or dated, can make a future sale difficult.

Keep a Mental Punch List

Right before your closing, you will walk through the construction and create what is known in the industry as a “punch list.” This is a list of everything that still needs to be done to make the new construction perfect. Your builder will need to complete these items before the closing, and typically the punch list is created about a week before closing. Keep a short list throughout the building process to ensure you don’t overlook anything at this final walk-through.

Follow these tips before building your dream home plan.

Find a Builder

Choose the Right Builder

Your builder can make or break the process ahead of you, so choose with care. You want to find a builder with a solid reputation in your area with the right qualifications, such as membership of the National Association of Home Builders or directly from our website you can search for builders near you.

Follow these tips before building your dream home plan.

Advanced Home Plan Search

Select the Right Design

Finally, make sure you pick the right design. Start by deciding on the style of home you want, considering the look and feel of your neighborhood, then narrow the home plans based on the features — both interior and exterior — that you need and want.

Building a dream home from the ground up captures the American dream beautifully. Enter into this process with a full understanding of what to expect and what your options are, and you can enjoy it to the fullest.


Leave a Reply

Your email address will not be published. Required fields are marked *