Custom home building is a compelling avenue to make your dream home a reality. While renovating an older home could be an option for incorporating aspects of your ideal home in an existing space, there are limits to what you can achieve. Building a home from the ground up allows you to create a space with more freedom. There are many reasons why you may want to go this route. But is building a custom home really worth it? Let’s take a look to see if it’s a good option for you.
Before we dive into whether they’re worth it or not, let’s define what a custom home is. A custom home is defined as a home built from scratch that is not based on any predetermined floor plan or designs. From start to finish, the buyer works with a team of designers and builders to create a true one-of-a-kind home.
The custom home should not be mistaken for a semi-custom home or production home. Although these two options are similar to a custom home, they don’t quite meet the parameters.
A semi-custom home comes with a layout predetermined by the builders. Some lots will come with builder restrictions that require you to use a certain builder. While these home designs do leave some room for creative freedom, they are largely built off a planned floor plan.
Production homes are built on a plot of land that builders buy in bulk. They then sell individual lots to buyers and offer them an option between several model homes. These floor plans are generally fixed with limited room for modification.
In short, true custom home building will always start from scratch. You will work with a designer from the beginning to create a wholly unique floor plan complete with details you hand-selected throughout the process.
Custom home building gives you the leeway to let your creativity take the wheel when designing a floor plan. You can craft your ideal home retreat without compromise. The only limitation is your budget. You get to choose the architecture, finishes, insulation, and much more! If the design concept exists, you can make it happen.
Building a custom home is also less competitive than buying an existing home. They are a bit more pricy but they might not be as far outside of your budget as you might imagine. Most people opt to skip the hassle of planning out a home from the ground up due to the amount of patience, creativity, and funds it requires. With many unwilling to go the custom home route, you won’t have to slog your way through a bidding war to secure your dream home.
There are plenty of other benefits to building a custom home. You get to determine the direction of your build. Instead of spending part of your budget on repairs or solutions for existing issues in a remodel, every dollar you spend will go towards crafting your perfect space.
Before jumping headfirst into a custom home build project, there are some considerations to keep in mind. This won’t be the right path for everyone; it can be a time-consuming and challenging undertaking.
Financing a custom home project isn’t as straightforward as buying an existing home. Some banks won’t grant construction loans for new home builds. You might only get around 75% of the cost financed. That leaves you with a 30% - 40% out-of-pocket obligation. It’s also important to keep in mind that the exact cost won’t be clear until you’re already invested in the project. Think of it this way: it’s the difference between buying an existing pair of jeans at the store and commissioning a pair. You have to have faith that your builder will deliver a worthwhile product in the end.
The lots you have to choose from are usually limited. It’s rare to find a lot close to the main hub of a city. Undeveloped lots tend to be on the outskirts of town. They usually don’t feature mature landscaping or older trees. Some people opt to strip an existing home which can be a costly endeavor. There isn’t usually an ideal means to build a home if you want to be close to town.
Take a look at your needs and goals for your future home. Can you achieve everything on your wishlist by remodeling an older home? Are you willing to make compromises along the way? If not, take a look at your financial situation. If you have the funds necessary to pursue a custom home, this might be the best option for you. At the end of the day, buying a home is an investment in your day-to-day environment. It’s an integral part of your life. Be sure you’re putting your money towards a home that you will truly love. If you can afford it and if you find a perfect lot, a custom home could be a great option for you.
If you’re on the hunt for a designer and builder to make your vision for the perfect home come to life, Forge & Bow would be happy to talk with you about our custom home-building process. We understand that taking on a custom home build isn’t just about getting the structure up; it’s fostering a space where you and your family can feel at ease and build precious memories. Get in touch with us to learn more about our luxury custom home building services.
