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When you decide to have a new home built, there is a lot to do before the builders even pour your foundation. It’s important to know which steps to take as you have the home of your dreams built. Otherwise, you may wind up making costly mistakes.
First Steps to Take When Deciding You Want a New Home Built
Here are the steps you should take before contacting a contractor.
a. Set a Budget
✓ The first step when building a new home is to consider your budget. You’ll need to be realistic about how much you can afford to spend.
✓ Balance the things you want with what you can afford, and think about the construction loan and mortgage.
✓ You should also consider the hidden costs associated with building new homes. While a home you purchase from another owner may come equipped with window treatments and appliances, that’s not the case for new home builds. Factor these elements into your budget to avoid surprises down the road.
b. Find a Lot
✓ When building a new home, you need to buy the land upon which your home will be built. It’s helpful to speak with area realtors to get an estimate of the land costs around town.
✓ Be ready to have some backup options, as the land must be evaluated for drainage, soil condition, zoning, and building codes. You may find that your first choice isn’t the right fit for the home you want to build.
c. Choose Your Home Design
✓ New homes are often built using plans from a catalog. Some details can be adjusted from the blueprints, such as room size and window styles.
However, if none fit your needs, you may consider creating a custom home design plan.
✓ This generally costs more because you’ll work with an architect to design it specifically for you.
You may want to consider how the sun faces the lot, where the prevailing breezes come from, and options for energy efficiency.
✓ According to Home Care Contractors, construction can only begin once the Seattle council signs off on the custom home building plans. But with the right team, everything will fall right into place.
c. Negotiate the Contract
✓ Written contracts for each building professional involved in your home’s construction are essential. Contracts will describe the project in detail and highlight each party’s responsibilities.
✓ These are often called ‘specs’ in the industry, and you must read through the entire contract. You may want a lawyer to help you ensure that everything you want to take care of is provided in the contract.
✓ If you’re unhappy with the initial contract, keep negotiating until you can reach a formal agreement before signing.
d. Think Things Through
✓ As you consider building a new home, these initial steps are some of the most important ones you’ll make in this process.
✓ You don’t want to make any rash decisions here. It’s a long process that isn’t for everyone.
✓ You may decide that your budget doesn’t fit building a new home and choose to shop for an existing one.
You may also decide that staying in your current home is more feasible, at least slightly longer.
✓ By taking the time to involve what is involved in the process, you’ll be better prepared whether you go on to sign the contract or stay put in your home.
