Building a Home Phase 1: Going into contract

Building a home can be overwhelming! I have often heard people say that next to getting married and having kids, building can be one of the most stressful things to do. To make things a little easier I am going to break this down into three phases of the process. The three phases are: Going into Contract, Pre-Construction, and Construction. Over the next 3 weeks I will be writing about each phase and what steps to expect in each phase. This week we will be looking at the Phase 1: Going into Contract.

Step 1 – Pick a real estate agent

Pick a real estate agent. Choose someone with experience helping clients build new homes to make the process as smooth as possible. An expert will help minimize stress by knowing what to expect at every step of the process and helping you make the best decisions.

Step 2 – Meet the builder

Bring your real estate agent along with you to your initial meeting with the builder or builders to harness their expertise and harness. Here you will get an idea of what kind of floor plan you like. Do you want a large dinning room or an office, how many baths, how many bedrooms? The idea is to narrow the layout of the home down to 3-4 homes rather than the 20-30 the builder has. You will also want to narrow down the location you want to live.

Step 4 – Choose a lender

In addition to meeting with the builder it is time to also meet with a lender. Some builders will have preferred lenders that they will ask you to work with, while others will be open to anyone. Consult with your real estate agent on the differences.

Step 5 – Visit model homes

This one is kind of fun as your agent will take you to see the models that are on the maybe list and see if you can narrow your choice down to one. Sounds overwhelming, but it is really enjoyable to see what the builder can do and get an idea of some options you might want. In addition, who doesn’t like to go see a brand new, decorated home!

Step 5 – Meet the builder again

Back to meeting with the builder! This time you are looking to be down to just one builder. You will focus on the floor plan that you have decided to build and what options you want to put into the home. It has always been my suggestion that we want to add in everything that you might want. It is a lot easier to remove an option if the price is too high than it is to try and figure out a price when you are not with the builder. So if you are thinking about the fireplace or an extension to the great room, add it in. You can always see what they are charging and if the price gets too high, take it out at home. This is the time to ask any off the wall questions or make special requests. Some builders are willing to make all the custom options you want, others will make a few. The goal here is to price your home out just the way you want it.

Step 6 – Talk over the options with your real estate agent

Aaaarrrrggggg! This is usually the most stressful step. This is where you will sit down with your real estate agent and talk about what are the best choices for you to make, while considering the future when you will sell your home. Remember your agent’s job is not only to help you make a great decision now, but to help you sell this home down the road when the time comes. As someone who sells homes every day and have been doing this for over 15 years, I know what homebuyers want.

Step 7 – Signing the contract

It is time to go into contract! This may be the easiest step as by now you have already determined the house that you want and all the items that will go into it (except for some color choices which will happen soon). During this step you will head back to the builder with your agent and fill out all the paperwork to get things rolling. It sounds daunting, but if you have completed all the prior steps this is easy, as you have already made all of our choices.

Call Jason Wright of The Ford Group, HER Realtors at (614) 975-2529 to help with your real estate needs today.

New Construction - Part 1