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One of Three Basic Necessities

Basic Necessities: Building a house is actually fulfilling one of our most basic needs since understanding our existence as humans in need of food, clothing and shelter. After millennia of existence, we now know how to fulfill these needs from experience and knowledge.

However, in today’s context in Building House Toowoomba, there is need to consider so many things in order to be able to construct one and be happily satisfied in living in it. 

Construction time frame

On average, it takes three to six months to build a new home from start to finish. You need to remember that your builder’s schedule is more of a guideline than a hard-and-fast deadline. 

Inclement weather, subcontractor schedules, and permit delays are just a few reasons that owners of new construction need to keep flexibility in mind. On the perennial question of buying versus renting, all would be dependent on factors like timing, finances, and personal preferences. 

The process

Constructing a new home is one process that can both be fun and challenging. When considering a building (one is right for you) there is need to consider the weight of its pros and cons.

You need to answer some questions that can pop up before things could move into actions.

Some of these would include such questions as, is it cost-effective to build? Is there need to customize the entire house or just some amenities?  Oddly enough, you need to correctly answer the questions you raised. 

Cost/financing/buying or building

When comparing the cost of a new build versus an existing house, there are more to consider than just the price tag. Here re some variables involved, so you can decide which one is worth the cost.

Unless you pay in cash, you’ll finance your new construction through a construction loan. Since these loans have higher interest rates than standard mortgages, this can increase your overall cost for the home. 

In addition, buyers are expected to put down between 20% – 25% of construction costs. Mortgages for already existing homes have more flexibility with the requirements of down payment.

Your perception on costs can be totally wrong since costs of new construction is often larger than older homes. While initially a larger investment, the cost of building a new home is often cheaper per square foot and provides more space for your money.

 For instance, a 1,500 square foot home built in the 1960’s costs on average $148 per square foot. New construction, with 2,467 square feet, costs only $103 per square foot.

Architect

Some home building companies and contractors have architects as part of their team. If they don’t have one, remember to include your architect’s fees into your plans.

Their fees could usually run from between 5% to 15% of total project costs. This amount wouldn’t be an expense associated with an existing home.

Maintenance / time

Newly built houses will initially need fewer repairs. They will be more energy efficient, and this can keep costs down. On the other hand, older homes will already have mature lawns and trees, saving you time and money in establishing your yard.

So, is it cheaper to buy or build a house? 

While the sales price of a newly built home is typically higher (on average) than buying an existing home, they’re usually less expensive per square foot and you won’t have to worry about maintenance (for a while). 

On the other hand, financing can be more expensive. There will also be added costs like an architect’s fee, landscaping your new yard and other unexpected costs. This might not have a dollar value added, but it I important to consider. 

Type of house 

There are several different types when building your own house: tract, speculative, an fully customized. The principal difference on these choices would be the level of customization.

With tract homes, builders choose specific floor plans, all of which will look similar and have shared amenities. This is one type which you have very little chance of customization.

Speculative homes (or spec homes) are very similar to tract homes. You could customize it, if you buy it early enough in the building process. The builder chooses the floor plan, but early buyers can select some personalized touches (like paint color).

Custom homes give you the widest options. Buyers can choose their own land, floor plan, and all amenities. In short, you have complete control over every detail to build your dream home.

Design control

As noted, if you decide to choose a tract or speculative house, the builder will determine the number of bedrooms and bathrooms, as well as the exterior style. 

When building from scratch, however, you have more control over the type of house design and features that you would like to have in your new home. You need to consider what works well for you now, in terms of the future, and the resale value. 

You will also need to consider such questions as: Will the family be growing or downsizing?

Will your aging parents need an in-law suite? Would you be needing a one-story home due to mobility issues?

Would you want a ranch-style house, or having plans for a colonial house instead? Would the addition of some amenities (like a swimming pool) will set your house’s resell price point high above the neighborhood average?

Inspection 

Once the house is completely finished, there would be a final inspection, conducted by a building code official. He will give you the certificate of occupancy.

This also means it is now time to move in. If there are any problems, they’ll schedule a second inspection to confirm the builder corrected the issues. (Tip: A pro tip for building your house – get an independent inspector as well.)

Final Walkthrough

Also known as a pre-settlement walkthrough, your builder will show you the new home’s amenities and cover your responsibilities under warranty. This is your chance to spot anything you’d like them correct before moving in. 

You would need to take your time and examine things closely. For example, check to make sure they’ve included all of the features you requested and that all of the electrical outlets are working.

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