Your home is a dream or a nightmare depending on who builds it for you. Most people have their custom home of their dreams but make critical mistakes in the selection process. Many homeowners approach the selection process in reverse. First, they concern themselves with price. Next, they look at design. Finally, they consider the builder’s qualifications. If you select your home by price first, you will be surprised at the cost overruns and construction completion delays you will incur.
Smart homeowners start with the builder.
Interview Mistakes To Avoid
It is easy to get misled by a builder’s credentials, but having built tract homes for Mexican immigrants in California for twenty years does not mean that that same builder has the ability to build your custom home here in Tennessee. The builder needs to have an in-depth understanding of local building codes, the local soils, the normal operating weather patterns, and be able to secure a building permit in your area.
Choose builders who have built a minimum of five custom homes in your neighborhood over the last three years. Give them your zip code and have them search for addresses. Drive by the homes and look at the workmanship and overall presentation. Also ask prior clients if they would recommend the builder. A builder who has completed and collected a home will present his work in the same manner as he did when trying to get the home built and sold.
The permit office in your town probably keeps a list of “problem builders”. I’m not saying this to get you annoyed at builders for not knowing what’s required for a complete building permit application. I’m saying it to give you the phone number of the permit office, so you can call and ask them for a list of builders who submit a complete application the first time, and have all of their inspections approved the first time. Saving a couple of months of time and hassle for you and your clients is what builders pay for.
Communication Style Reveals Everything
Prospective buyers will get a read on you before you sell them a piece of property, whether there are problems with the building or not. Do you act appropriately in the face of difficulty or trouble. I get a sense of how you would behave before I purchase a piece of property from you. I think how you act before a sale is just as important or even more important than how you will act after a sale.
Look for indicators early on as to whether or not you will enjoy the experience of having that builder work for you. Look for indicators as to whether or not they will build the home YOU want. Look to see how they ask questions about your choices (cabinets, fixtures, flooring, colors, features, etc.). Do they want to know why you are choosing some of the items that you are choosing. Do they ask about your lifestyle, your time line for construction, your budget constraints and then refer to them later. Do they take notes and follow up with detailed summaries of your conversations and ideas to ensure that you receive the home that you have envisioned.
Turnaround time for responses during courtship is approximately 3 days, however this will increase post marriage. Minimum time to be in a relationship with this bride is 8-12 months.
Financial Stability and Business Practices
Cash flow requirements are quite substantial because many materials will have to be purchased out of the builder’s funds weeks or even months prior to actual installation. The builder is also responsible for timely payment to subcontractors and suppliers. Delays caused by weather are beyond the builder’s control and therefore not a basis for claiming additional time or extension of completion. Use caution: a builder with less than adequate funds to complete your custom home can solve their cash flow problems with your money.
Get several references and conduct a business credit check on their bank and several of their large suppliers. More established builders have a line of credit with lumber yards and other suppliers to purchase materials. They may expect to be paid in 30 days for their work and require little or no large deposit up front.
For custom builds, please take the time to review the standard contract thoroughly. We appreciate any comments or suggestions, and ideally, this contract should include the specific brand and grade of materials to be used, a build out timeline and corresponding payment milestones. Additionally, we would like to incorporate clear language around change orders and their financial impact.
Portfolio Quality Beyond the Pretty Pictures
Every builder has a portfolio of their best work. Take a closer look between the glossy photos. Look for tight miter work, even tile layout, and crisp paint lines where colour changes occur. For example, what does the edge angle between two floors look like?
Always request to tour under construction homes that are on a builders inventory. Don’t just look at completed homes! This will allow you to get a glimpse into the builders job site organization, how they intend to store materials and manage and coordinate the various subcontractors needed to bring a home to completion. A clean and organized building site is key to building a quality home.
Look up the companies you are considering and read any reviews that you can find based off of past projects. Then look into the type of projects that the company you have chosen to consider has completed. Have they completed high-end homes or maybe budget homes. From what I have seen in Grainger County TN, starting your search with a custom home builder in Grainger County TN would be a good starting point.
References That Actually Matter
You will be given a few references to the work of builders from current and recent projects (successful ones). It is also worthwhile getting references to people from earlier projects, possibly even ones with particular challenges or problems. Every custom building project has a few surprises for which no one could have prepared that arise as the project unfolds. It is how the builder manages those problems that may give you the greatest insight to the builder’s personality, ethics and ultimate quality of work.
Foster & Company likes to get back in touch with customers who had their homes completed between 2 to 3 years prior. At this time the new home owner is starting to realize the truism that the initial excitement of new can wear off quickly. We are looking for feedback on how our warranty team deals with stressful situations and how they respond to issues as they arise. Most importantly we want to know if we would have the customer’s wish list business based on the service they received.
You can search online for information about a builder, read their testimonials and ask for references and to view examples of their completed projects. But it is the builder’s relationship with past clients AFTER the warranty has expired that will truly highlight the builder’s character and the quality of work they deliver. A good builder will have a strong regard for past clients and make every effort to maintain a great relationship with them well after the build is complete. A good builder knows their reputation is one of their most valuable assets and they will go to every lengths to protect and enhance it.
Many land owners underestimate the potential pitfalls associated with custom home building. Often, these problems arise due to hasty decisions with respect to the builder or lack of proper research. Most people research and visit the builders sites prior to hiring, and often decide on a builder based on first impressions. This is your dream home! Don’t let it become an expensive learning experience by not selecting the right builder to bring your custom home dreams to reality More Read