11 Jan Pros and Cons to Buying a Lot Before Consulting a Luxury Home Builder
Wondering about the pros and cons to buying a lot before hiring a luxury home builder?
When you’re planning to build your dream home, its easy to understand why locating the right lot is important and we understand that you might choose to do that before consulting with a builder. At Devonshire Custom Homes, we purchase lots in some the the finest neighborhoods in Tampa Bay, but we will also build on your lot. With that in mind, we want to tell you about the pros and cons of buying a lot, before consulting a builder .
Pro: It puts you in charge.
When you have researched the market, found the perfect location for your new custom luxury home, and bought the land to build your home, it puts you in charge of everything. It is a great feeling, knowing that your home’s location is truly yours. Now you are on your way to designing your dream home with a builder.
Con: It costs more upfront.
When purchasing land then securing a luxury builder, you are going to need a lot more equity upfront. You might not even be on an ideal piece of property for a builder to use to realize all the things you want in your dream home. In addition, there are lots of questions when buying land that a real estate agent may not have the answers to. What is the lot size and is it conforming? Do you need variances for the size & type of home you want to build? Are there any restrictions to building on the lot you have selected? Can you fully demolish the home that is currently on the property? These are all questions that a builder will be able to answer and guide you in when selecting your property and building your custom home.
Pro: Better loan terms.
Once you purchase your land and head to the bank for a loan, you may, be able to secure a loan that covers your full building expenses, ie a construction loan. This is because you have already made the commitment by purchasing the land. Also, because you will be working on the home over time, this comes with loan advantages. We recommend speaking with a bank, attorney, or a loan officer prior to making a land purchase so that you are aware of how land and construction loans work.
Con: Material values fluctuate.
A builder will know how to get the best materials for the best price, however, if you are working solo, you will be at the mercy of retail price fluctuations. In addition, a custom home builder will have relationships with suppliers and contractors that are advantageous to the overall cost and process of building a home.
When it comes right down to it, it is easier and more efficient to work with a custom home builder throughout the process of building your dream home. We are here to walk you through the stages of buying land, thinking about materials, and helping you design your dream home. With a team of building experts with more than 100 years of experience dedicated to building your home to match your personality and vision, we know how to help you achieve exactly what your family needs and how to meet (and exceed) those needs.
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