Building the custom home of your dreams is an exciting journey. With the right approach and planning, you’ll have a solid foundation to ensure the end result is beautiful and realistic for your finances. Here are some of the considerations to keep in mind when planning a budget for this major endeavor.
Land and Site Development Costs
The first step in building your custom home is selecting the perfect piece of land. Consider the purchase price and the costs associated with site preparation and excavation. This may involve clearing trees, leveling the land and removing rocks or other obstacles. Also, remember to factor in the costs of connecting your new home to utilities such as water, sewer, gas and electricity.
Design and Permit Fees
Your custom home requires a design plan created by architects and engineers. It also involves obtaining building permits and paying for inspections throughout the construction process to ensure your home meets local regulations.
Construction Costs
Construction costs can vary significantly depending on the materials, finishes and systems you choose for your custom home. Some of the major components to consider include the following:
- Foundation and framing
- Professional contractors to install components with full material warranties.
- Exterior finishes
- Interior finishes
- HVAC, plumbing and electrical systems
Contingency Fund
In any construction project, there’s always the possibility of unexpected expenses. Make sure your custom home building budget has a contingency fund to address these added costs without derailing the project’s finances. Designate up to at least 10% of your total budget.
Financing Options
Custom home building may involve taking out construction loans during the building process, which can be converted to a traditional mortgage upon completion. Speak with your financial institution or mortgage broker to explore available financing options and determine the best solution for you.
For your custom home needs, turn to Nuss Construction Company. Whether your project involves tearing down your current property to build a new one or building one on a newly-purchased lot, you can count on our team to put up a plan, a design, and a project in place that will result in the home of your dreams. Our team of experts can handle every aspect of your custom home, covering every aspect of the interiors and exteriors. To learn more about what we can do for you, give us a call at (856) 988-9982, or fill out our contact form to get started.
