Before buying a home, consider building one

Trey Bowden

EDMOND — The American housing market is showing definite signs of stabilizing. In Oklahoma County, the number of homes selling each month remains near the levels for the same month one year ago. Average selling prices are up from this same time last year and the average days listed before selling is dropping. Lenders have plenty of money to lend and rates are still next door neighbors to the historic lows we saw even 60 days ago.

All of this means the housing market in Oklahoma County is thriving more than most other areas of our country; actually it is more stable than those of us who live here believe. In anticipation of the actual return to the robust housing market OKC has enjoyed for years, I thought it would be helpful to offer insight to those home buyers who might consider contracting with a builder to construct their new home.

Brodie Tucker (brodie@jeffclickhomes.com) represents Jeff Click Homes and we sat down together for a chat that should prove helpful to anyone thinking about working with a home builder for their next home.

Q: What are the main questions people ask when contracting with a builder?

Tucker: “Some of the most common questions are, ‘What will my final purchase price be? How long will it take to build my home?’ Answers to both of these questions depend on variables like the options the buyers select and how much the weather cooperates with the building process. But in all cases we strive to keep our customers informed of all their options and we provide regular updates on the building timeline.”

Q: What seem to be the primary sticking points when people work with a builder?

Tucker: “Primarily it’s a trust thing. We learned a long time ago, that people do business with people they trust. It’s important to follow up with phone calls and to make only the promises you know you can keep. Then when those things come up that you can’t control, you have a relationship that can withstand the bumps in the road.”

Q: Provide some insight as to why the prices for lots are different from one neighborhood to another.

Tucker: “First of all you need to understand that the builder has already purchased the lot from the subdivision developer. And the developer has invested large piles of cash to get the subdivision ready for building. There are the raw land costs, the expenses to survey and grade the land and then install sewer, as well as all the utilities and then put in the roads. All of these costs go into the cost for the lot the house will sit on.”

Q: If you were going to coach me in the best way to work with a builder, what would you tell me?

Tucker: “First of all I would tell you to be as organized as possible by knowing what you want before going to see the builder. I call this, the ‘wish list’. That way you can ask the representative to price out all the options you want before drawing up the contract.

“After all the options are chosen and a price is established for the new home, both the home buyer and the builder can step into the building process with proper expectations and fewer surprises and/or questions.

“The first phase of construction consists of site preparation, ground installation of the plumbing and electrical and the slab is poured. After that the house is framed and the windows and shingles are installed. This is called the ‘dried in’ phase. After inspections of this phase are completed, the next phase can begin. This includes work on the inside and the outside of the home. Electrical, HVAC and plumbing are done inside and brick/stone work goes on outside followed by another round of inspections. The next phase includes insulation and drywall, followed by the flooring (except carpeting). Then the woodworking and trim carpentry starts. And finally the painting, staining, countertops and carpeting are installed. And then another round of inspections before the house is ready to be occupied.”

Building a home can be a challenging process, but with the right builder and the adequate pre-planning, the entire experience can be exciting and rewarding. One additional benefit; for about the same money as you would invest in a “spec home,” you can build one that fits your specifications. If you are ready to buy a home, consider the benefits of working with a builder.

TREY BOWDEN is a licensed mortgage professional in Edmond. To read more, go to http://homeownergonemad.blogspot.com.