3 Things to Consider Before Building a Custom Home
For most, the thought of building a custom home is a thrilling prospect. The idea of getting to call all the shots, determine the layout, handpick your finishes, and select the exact number of rooms and amenities you’d like makes the dream home creation process all the more exciting. That’s likely why twenty seven percent of surveyed home buyers custom-built their own home, according to a 2013 National Association of Home Builders (NAHB) Research Center survey. So before you start digging in and constructing your brand new abode, here are 3 things to consider before building a custom home.
1.) Creative financing
If you’re planning on building a custom home, then you’ll most likely need to get creative and apply for a construction or self-build loan. A construction loan is a short-term loan used to cover the cost of building your home and generally have variable rates that are higher than traditional mortgage loan rates. At a minimum, most lenders require a twenty to twenty-five percent down payment on a construction loan.
2.) Lot plotting
Most people looking to build a custom home are so caught up in the details of crafting their perfect home that they forget one very important detail; the lot! If you don’t already own the lot where you plan to build, the cost of the land will need to be included in the overall amount of your construction loan.
3.) Select your builder
You’ve dreamed of your floor plan since you were a kid. And you finally know the perfect location to build it. You even know where to obtain the specialized financing necessary to make your dream home come to fruition. However, in order to get approval for a construction loan, you’ll need to prove you have a qualified builder involved in your home building project. The qualified builder must a licensed general contractor with an established home-building reputation.
For over twenty-five years, Crystal Creek Builders has been Prescott’s leading home builder. As the owners, we take great pride in having established ourselves as “Prescott’s Hometown Builders.” Every Crystal Creek home is handcrafted, on site, using only the finest materials, suppliers and the most qualified subcontractors. Contact us today to learn how we can help turn your dream home into a reality. Whatever your building need or dream may be, we look forward to visiting with you.
Crystal Creek Builders