The main reason that people pay too much for anything, especially when it comes to home building, is because they don’t know any better. Knowledge really is power and savings when it comes to building your own home. We recommend you start learning as much as possible about building your own home, thinking about different types of construction, and what you would want in your home so that when construction starts, you can make quick, informed decisions.
Our Owner Builder Program
Design and conquer. The Owner Builder Custom Homes program starts with a phone call to us. We conduct an initial telephone interview to determine your needs. We also begin loan prequalification at this time. Having a big picture of what you are building makes it easy to break down into manageable parts. And you need building plans to complete your construction loan. The next step is to begin house plan designs and finalize the type of construction you will build with supporting home design. Once you have building plans ready, we can secure financing and begin.
Appraisal and Construction Loan Approval
The hardest part here is gathering all your financial documents to complete the loan. Like any loan, the loan company will need a history of income, assets, and liabilities for approval. These days, it has become more difficult to get construction loans due to the risk involved (after all, it is a loan for something that is not built yet). However, Owner Builder Texas and Owner Built Custom Homes have very close relationships with several financers and a impeccable reputation of budgeting accuracy and construction expertise that makes construction loans with Owner Built Custom Homes’ clients a safer investment than going it alone. (Owner Builder Timeline: 2 weeks).
Owner Coordinates Hard Bids for Construction Costs
This is the beginning of saving money, and it does take work on your part. Now that you have finalized home plans, it is time to get contractor bids. It is always prudent to get several bids for each item, so you can evaluate different costs, how each contractor would build essentially the same thing, which contractor you feel most secure about, etc. In this step of the process, you can cut costs, or get a higher quality construction for the same budget because of the money you saved. Owner Built Custom Homes can recommend several local contractors to do business with that will build your home as if it were their own.This includes negotiating Material Take-Offs, Frame Package Bid, Engineered Products bid, Foundation Bid, and additional quotes by homeowner as required by the Lender.
Extensive Line Item Budget
Using your hard bids, now is the time to comprise a hard budget. This is not a general idea (I think we can spend about $200,000), but a line item budget that shows the budget for each item. Framing will cost blank, foundation will cost blank, etc. Having these hard line budgets is very beneficial for you in the planning and hiring phase. You know if you go over budget in one category, you will have to take from another category. (Owner Builder Timeline: Average one week).
Pre-construction Start-up Requirements and Owner Builder Custom Homes Contract
Partnering with Owner builder Texas and OBCH (Owner Built Custom Homes) will help you through this enormous process of building your own home. We will help you get the final arrangements and documents ready to complete your construction loan. Most properties have some pre-construction startup requirements, like running power to the site so the construction crew can run tools or land clearing so the surveyed area for the home is ready for site preparation, grading, and septic to be run if needed. Start-up Requirements for your property can include: Septic and Well Design, Soil analysis, Engineered Slab, Building Permits, Temporary Power Process, ACC Approval, Water Meter.
Here we go! Your closing should go smoothly once all paperwork has been turned in and reviewed by your lender. It can be momentous occasion, marking the “ground-breaking” of your new home. Go out and celebrate, the dream of building your own home is coming true!