Should You Build Your Own Home?
Acquiring a new home is usual the largest investment most people make in a lifetime. If you are considering sub-contracting your new home yourself, there are several important areas you should carefully consider before finalizing your decision.
JOB COSTING
Do you have the final completed price guaranteed in writing before starting? How do you handle cost over-runs?
In most cases, a professional builder will have a final written quote for you to sign. No Surprises!
DEPOSITS
Are your deposits to sub-trades protected for you? How many separate sub-trade deposits are required?
Professional Builders have a guaranteed deposit protection program for you. Ask for details.
EXPERIENCE
How much personal experience do you have to be competent in the construction process? Do you have the ability to recognize and stop potential problem areas as they occur? Can you devote 3 to 4 months "daytime" supervision that is required on the job? Will your own job suffer?What is your personal knowledge of the National Building Code and especially Part 9 of that code?
Ask for references on your builder. Call your local Home Builders' Association for direction and booklets on how to proceed. They would be pleased to help.
LEGAL CONTRACTS
Have you prepared legal contracts to protect your interest with every sub-trade?Are you protected against schedule delays?
A professional builder will have proper legal agreements for you to take to your lawyer for approval.
LIABILITY
Are you insured against sub-trade injuries on your job site? Are your sub-trades insured themselves? Do you have proof of that insurance? Do you have fire and damage coverage?
Ask builders about their insurance coverage and what protection you receive with it. You are not normally responsible until title changes on closing.
SUB-TRADES
What criteria do you use to hire them? Are you protected if they don't show up? What guarantee do you have they will show up to do repairs after they are paid? Do you have a list of their past references?What is the policy and cost if you wish to make changes as your job progresses?
Professional builders use proven sub-trades that do the job right the first time and do it on schedule.
WARRANTY
You have no warranty on a job you sub-contracted yourself. Imagine no warranty on basement leaks, electrical, plumbing, roofing problems and so on. You would not purchase a new automobile if it had no warranty, so how can you justify purchasing your biggest investment of all with no warranty
Professional Builders registered with the Home Warranty Programs offer exclusive warranty coverage on enrolled homes for the homeowner's peace of mind. Ask for details.
FINANCING
Have you discussed your plans to sub-contract your new home with your bank first?What policy will be used to advance funds? Will the bank require extra collateral? Will the bank require their own inspections?How will the bank handle your cost overruns?
The process of financing your new home is much easier and quicker using a professional builder with a quoted contract price. Ask your branch manager.
SELLING YOUR HOME
Will the potential purchaser pay more for a novice built home or one that was built by a reputable known builder?
If your home was built by a reputable builder, the consumer will be more confident about its quality, removing that obstacle during their purchase process. Your return on home investment dollars can easily be higher using a professional builder.
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