Custom Home Building Process: What to Expect
If you’ve ever watched HGTV, there’s a good chance you’ve dreamt of designing your own home. You’d have control over the entire process and your house would be truly unique. But you might wonder, what goes into the custom home building process? Where do you start?
Luckily, the process is more straightforward than you might think. Read on to learn more about the process of building a custom home.
Choose a Builder
The first and most important step is to choose the right builder for the home you want. You’ll be working with your builder during the entire process, so you need to choose carefully.
Take a look at their previous work to see if it matches with your style. If they have spec or inventory houses in your area, see if you can go to an open house. This will give you a chance to see their craftsmanship in person.
You also need to choose a builder you can trust and get along with. Building a house is a lengthy process and a major investment, so you need to choose a builder you can easily communicate with.
Find a Location and Buy the Land
Finding the perfect spot for your home can be tough, especially if you’ve never bought land before. It’s a critical decision, since it’s the permanent location of your custom-built house.
If you use a local builder, they can help you navigate local zoning codes and restrictions. An experienced builder will have a team that can check for hidden problems like sewer issues, flood risk, and poor soil quality.
Some builders will let you choose a lot that they already own. You also have the option to choose a lot in a particular neighborhood.
Get Your Finances in Order
Before you can start building a custom home, you need to get two loans: one for the land and one for the construction process.
A land loan functions like a traditional mortgage, where the bank pays the seller the full amount and you make payments to the bank. A construction loan follows a different structure.
A construction loan is what funds the building process. Your builder will periodically draw money from the loan to cover material and labor costs during construction. Once the construction is complete, the loan gets converted into a traditional mortgage.
To get a construction loan, you typically need a credit score in the high-600s and a down payment that’s at least 20% of the loan amount. That’s why it’s important to get your finances in order before you start building.
Design Your Home and Select Finishes
At this point in the custom home building process, you’ll need to make a ton of decisions. You’ll need to choose everything from flooring and windows to light fixtures and tile. It’s also a good opportunity to choose energy-efficient products like an HVAC system and insulation.
Some people find it overwhelming to make all of these design choices. Luckily, you don’t have to make these decisions alone.
Check to see if your builder has an in-house designer for guidance. If you’re not sure what styles you like or what to look for, an experienced designer can be a major help.
Start Your Custom Home Building Process Today
The custom home building process can feel overwhelming at times, but the end result makes it all worthwhile. After all, you’ll get to design every detail of your family’s home.
Ready to make your dream home a reality? At New Legacy Homes, we have more than 55 years of homebuilding experience, so you’ll be in safe hands. Contact us today to start building your custom home.