Generally, building a house is quite expensive. But, after all the expensive and stressful process, you’ll have a home that’s designed to your own likeness. With proper planning and making informed decisions, you’ll be able to build your dream home without breaking the bank. There’s so much that goes into building a home, offering countless opportunities to save money. Here are some of the areas to save:
Find a Good Banker
Having a good banker is key to saving tons of money over the course of your mortgage life. Bankers are exposed to several different economic environments, and as such, are capable of providing a great deal of support in form of economic information and data. As is the case with any relationship, good communication is key.
Hire The Right Builder
The right builder is able to deliver a well-built home on an agreed budget, within a specified time frame, and without several problems and overages. Bad builders often focus on several jobs at the same time, underestimate/overestimate costs, ignore construction safety, and don’t work well with others, all of which can cost you money. The best ways to find the right builder is through referrals and doing your own research. Before hiring a builder, get a list of their references and go through their work.
Negotiate the Construction Loan
When building a home, you may or may not be required to get a construction loan to help finance the process. Most builders will require a sizable down payment, usually around 10%. Finding the right home loan at a good rate is an important step in the home building process. For instance, a 0.25% rate difference could cost or save you a considerable amount over the course of a 30-year mortgage. Everything is negotiable; therefore, ensure you shop around for the best deal. If you already have a mortgage, you can always re-mortgage using a free online service.
Find a Good Architect
You have a vision of what your dream home should look like. An architect is meant to guide you through the design, planning, and construction process of home building, thereby turning your dreams into reality. You want one who’s thoughtful, competent, and most importantly takes time to listen to your ideas. Make appointments with several architects to ensure you get the best deal.
Know All Your Tax Credits
With all the emphasis on Eco-friendliness, there are several laws that are favorable for many homeowners. For starters, there are quite a few tax credits for energy-efficient home upgrades that you can take advantage of. During your home building process, find out if any appliances or building materials that you purchase are eligible for tax credits, and save more.