4 Steps to Buying a New Construction Home
Building a new construction home may sound like a challenging process. However, breaking the process down into simple steps can make the process overall easier. The following information can guide homebuyers through the process of buying the land, choosing a builder, and determining which home features are most important for their future home.
Make a List of Must-Haves
Before beginning to look for a new construction home, in addition to researching mortgage options, home buyers need to make a list of must-haves. Some home buyers prioritize features like a backyard pool for recreation, a large yard for gardening, or a home that is relatively small and easy to maintain.
Often, home buyers must know their goals for the future before creating a list of must-haves. This may involve having discussions about how long they want to live in the house, whether they will have pets, and so on. Having these discussions before building can help ensure that the house they build will meet their needs for a long time to come.
Establish a Budget
Before moving forward with shopping for land or discussing a home with a builder, home buyers need to establish a budget. A thoughtfully made budget can help home buyers purchase a home they can afford without committing themselves to monthly mortgage payments that they may not be able to afford in the future.
To make a budget, home buyers must start by contacting lenders. Good lenders can help home buyers shop around for a construction mortgage to help them buy a home. Getting pre-approved can help buyers determine the maximum they would be qualified to borrow and how much they would have to pay each month if they borrowed the maximum. This can help buyers decide how much they can afford to borrow.
Choose the Land
When choosing land, home buyers should consider various factors, including location, nearby services, commute time, view, amenities, and environmental quality. Home buyers should get a professional inspection of the property before making an offer to buy. Land inspectors can examine air quality, water quality, soil contaminants, and more.
Select a Home Builder
The chosen home builder will have an impact on the quality and appearance of the home. When choosing a home builder, the home buyer needs to check their builder's license and certifications to ensure the builder is qualified to build homes. It's also important for the home buyer to check their builder's references to ensure that the builder has a history of constructing quality houses. Other tips include:
- Interviewing multiple builders
- Checking the builder's portfolio
- Reading the builder's contract thoroughly before signing
By taking an organized and logical approach to constructing a new home, buyers are more likely to have good results. Knowing what they want before they set out to build will help them spend their money wisely. Creating a budget before hiring a builder and buying a piece of land can prevent them from overspending or committing to something they really can't afford. And finally, finding the right contractor can help ensure that the home is well-constructed.