Planning your dream custom home is an exciting time, you’ve probably been looking at floor plans and kitchen tile for months trying to plan every detail to a T, but setting a budget that works for you and includes all the beautiful details you imagined can be tough. Understanding your complete budget ahead of time including even the smallest details is best, you don’t want to have a number in mind only to find out the actual cost is far more for your dream home. There are four important aspects to take into consideration when setting your budget:
- Cost of land
- Land improvement costs
- Home building costs
- Cost of upgrades and extras
Your builder can provide a wealth of knowledge in all of these areas to help you set a budget in the early stages before beginning your project. Never be afraid to ask your builder about the budget and expenses throughout the building process to ensure your budget is on track and to adjust spending if necessary.
Cost of Land
Your first major purchase when building your dream home is going to be your dream location, not only will the location have a huge impact on the homes value but also your future lifestyle. It’s best to take into careful consideration the location of your future home. Is it close to your work and a decent school district? How is the neighborhood? Is it close to great amenities, such as a nice shopping/entertainment district? Location is one thing you will want to splurge a little more on as it will impact every aspect of your lifestyle.
Land Improvement Costs
You may find the perfect location but the land itself may need some work and often times buyers forget to calculate this into their budget. Depending on the area your lot may need a lot of maintenance to get it ready for the actual building process. Tree removal, ground resurfacing, and landscaping are all projects that may need to be done. Talk to your builder when looking at properties, and as soon as you purchase your property, to know exactly what will need to be done to create your perfect home.
Home Building Costs
The cost of building your home will generally be rather straight forward once you have chosen a design and materials. The cost can be estimated by your builder as soon as the layout and “must have” features are chosen; but it’s important to give them all details to ensure the most accurate estimate possible. When choosing a design to fit into your budget it’s best to look at overall efficiency of the home. Choose a design that has an open floor plan and more timeless style to avoid needing to remodel as your style and life changes. Plan ahead and know what features to splurge on to best fit your needs, such as a larger garage or kitchen. The more details you have ahead of time the better planned out your budget and estimate will be.
Upgrades and Extras
One of the biggest mistakes home owners make is forgetting to add in the cost of all the little extras they plan to have in their custom home. Upgrades and extras can be everything from energy efficient appliances to custom cabinets and closets. While these basic items are often in the plan, the cost of upgrading to higher priced custom or luxury versions can get overlooked and come as a surprise at the end. Be sure to discuss in fine detail what appliances, features, and custom extras you may wish to add to your home and account them into your final budget.
Planning ahead and working hands on with your builder is the best way to ensure your custom home build meets the budget you set. When deciding on a budget pay close attention to fine details and never hesitate to ask your builder for advice; we at Whitmore Custom Homes are happy to help!