CUSTOM VS. PRODUCTION BUILDER
A CUSTOM home is built on a single lot and can encompass a great number of choices based your specific customizations. This is usually pricier, as you are needing to build a team, architect, construction team, designer, roofer, landscaper, and so on. A PRODUCTION builder brings their own team, simultaneously building a community of homes based on a library of floor plans, each with limited personalization options. This has a benefit of a lower cost.
REVIEW THE WARRANTY DOCUMENTS
Don’t let the excitement take you away from the important details! There are two types, EXPRESS: Defines the problems the builder will fix, the length of the warranty and how you dispute issues. IMPLIED. will cover workmanship defects that will have a significant impact on the home’s livability, habitability, and safety. These warranties typically have a 10-year liability period, and they tend to use vague language. THE WARRANTY IS A BIG DEAL AND YOU SHOULD KNOW WHATS COVERED.
LEAVE YOUR CREDIT WHERE IT IS
This rule can be applied even when purchasing a pre-existing home. Do not add anything to your credit. Just because you have signed the contract, the home is not yours until you get the keys. Your credit will be pulled prior to closing and if your score drops, YOU WON’T BE ABLE TO MOVE INTO THE HOME.
KNOW BEFORE YOU GO
Get a money order or certified check for the final closing costs. This will include loan processing, title fees, recording the deed, insurance, taxes, and HOA fees, if applicable.
GET YOUR NEW HOME INSPECTED That’s why IT’S CRITICAL TO HAVE A REALTOR
who’s familiar with the new construction process— because they will connect you with an inspector who understands this particular process.
UPGRADES AND PERSONALIZATION CAN INCREASE COST
BEFORE you start searching for a house, make a hard decision on your budget. New home construction will promote their lowest price, which is for the base model home. Having the freedom to make a choice on your fixtures, appliances, and features is the greatest benefit of new construction but it will come at a cost. The design center is there to make a profit also.
REMEMBER, DON’T GET CARRIED AWAY & STAY IN YOUR DESIGNATED BUDGET.
