Ways to Stick to Your Budget When Building a New Home
If you’ve made a decision to build instead of buying a home, that’s a great start. Unfortunately, the real work starts when you sit down with your builder to choose a plan, finishes, and overall budget. Of course, the things that make sense on paper don’t always work when it’s time to break ground. Sudden changes and fluctuations in the construction industry, unplanned setbacks, and price fluctuations can all derail even the most thought-through budget. Although many people often assume it’s impossible to stay on budget, here are some proven ways to stick to your budget when building a new home.
Have a Detailed Plan
Many building processes often begin before many decisions regarding the design or interior finishes have been completed. Without a clear plan with blueprints, work schedule, and all the materials required, you’ll find yourself adjusting so much on the fly, which could easily derail your budget. Always put down a solid plan you can commit to so you can keep your budget on track from day one.
Track Your Spending
Always keep your eye on your budget during every phase of your home building by tracking all expenditures and flagging any overruns as early as possible. Consider mapping out your expenses on a monthly basis and noting everything down to help you keep the project organized and on track.
Depending on the size of your project, you can use a notebook or paper planner to keep track of all purchases and costs without spending a fortune. Alternatively, you can download expense-tracking software on your mobile phone, tablet, or desktop computer. You can then upload invoices, receipts, and other essential spending there.
The key to establishing a plan you can stick to is to establish your priorities in terms of style, function, and finishing materials. You need to work with your builder to agree on what aspects of the building you could skimp on when the need arises to accommodate non-negotiable categories. For instance, you may want to skip finishing your basement and keep it for the future and instead focus on more outstanding features like siding and gutter system. Or, you may want to opt for quality laminate or wood-look tile for your flooring, rather than genuine wood in order to cut costs. You may even choose granite countertops rather than marble for your countertops to save even more on spending.
Always hire professional architects, plumbers, electricians, etc., who respect your vision and prioritize your non-negotiables. More often, professionals can work within your budget and will offer you options for cost savings. Work with a reputable building contractor with a solid track record on completing homes of comparable design and budget. With experience in project management, professional builders can help you stay on budget without compromising quality.
Set a Realistic Budget for the Cost of Each Stage
Your final plan should include a breakdown of each stage of the building and line-item costs within each stage. Make things as close as you can get to the last penny. Find the most updated data and material and labor prices based on your location. A good way to do that is to evaluate competing bids, ask around about recent nearby new home buildings, and talk to designers and tradespeople who know real-life costs.
The more you dive into the nitty-gritty of selecting finishes before you start new home construction, the less likely you’ll run into budget overruns. Interior finishes often take the biggest chunk out of the total building budget. So, it’s important to plan for every penny down to your bathroom tile and kitchen faucets. To avoid budget-busting surprises, choose your finishes ahead of time and identify where you can tighten your budget or where you can splurge.
Whether you are looking to build your first home or are ready to purchase the custom home of your dreams, you can trust Experience Homes to make it happen. Our new construction homes offer exceptional energy efficiency, quality craftsmanship, and a home that is uniquely yours! Contact us today to learn about our home trade-in program in Amarillo, TX!
You have made lists, budgets, and spreadsheets and finally settled on the perfect house plan. Your finances are also ready, you have done your due diligence and settled on your builder of choice, and now you are set to start your home building journey.
Be sure to ask the following questions before you commit:
What Financing Plans Do You Offer?
Today, many financing options are available to homeowners who wish to design and build their dream homes. At Experience Homes, we can help you find flexible financing for your project. We can also help pay your closing costs in some instances to reduce your out-of-pocket expenses. We also work with a preferred lender to help resolve credit issues.
Additionally, we offer a home trade-in program where you can swap your old home with a brand new construction one. Our home trade-in options mean we will buy your old home in exchange for a new custom-built one. So you can select your dream home, help design it, and see it take shape. Then, once construction is complete, we will buy your current home.
The program is hassle-free and has no pressure, hidden fees, or realtors. What’s more, we can offer you up to 90% for your old home and save you the hassle of selling, putting your house on the market, multiple showings, and moving twice.
Will I be Actively Involved in the Design Process?
When building your dream home, you deserve a say every step of the way. At Experience Homes, we build long-lasting homes using the latest technology. But all our homes are built to suit the client’s personal needs and wants. We also offer customizable floor plans and can accommodate more upon request.
Additionally, we offer a broad selection of styles, designs, and finishes, including brick color, roof color, window color, exterior trim color, flooring type and color, hardware lighting, plumbing fixture color, and kitchen backsplash, among others.
Can I See Recent Projects You Have Completed and Meet the Owners?
A solid, reputable builder like Experience Homes with satisfied clients will not hesitate to provide a list of past customers. Past customers will tell you their home building experience with the builder and whether they were organized, pleasant to work with, and professional. Ask if they finished their project to their expectations, on time, and within budget. Also, look at the projects and homes to see if they appeal to your taste.
How Often Will I Receive Updates of the Budget and Schedule
Time and money are invaluable commodities during construction. However, a common complaint from homebuyers is they are frequently unsure of how much money they have left, how much the project needs for completion, and how much longer it will take. Timely updates allow you to make informed ongoing decisions on materials and finishes.
What Happens If a Problem Arises?
Home-building is a complex process, and issues often arise throughout the project duration. Ask how the builder guarantees their work, how they handle setbacks, and whether they offer a building maintenance period to fix any problems.
Work With the Best Amarillo Home Builders
Experience Homes is a top Amarillo home builder specializing in custom homes and innovative home-ownership solutions in Texas. We’ve got your back when you’re ready to buy your first home or build one of your dreams.
We build custom dream homes designed to your family’s needs and wants – down to the last detail. With over a decade of building custom homes, we give our clients a smooth and stress-free home building experience from start to finish. Additionally, we can help you finance your new home with our many available financing options. Contact us today.