"To build, or not to build", that is the question, Part I

There are lots of points that you need to consider when making the decision to buy a resale or to work with an area builder. In this two part series we will uncover some of the most important things to be aware of. There are a lot of benefits to building, but those benefits can come with some sacrifices, some of which you may not have thought of yet. I am going to put together a "considerations" list that you can use in your decision making process. I will be restating the obvious (for the sake of being thorough - bare with me here) as well as digging into some situations that I have personally experienced when working with new home clients that will hopefully provide some valuable foresight (at the expense of some others' hindsight).

On to the list...

1. Time - Obviously everyone's situation is different so you need to consider how much of a factor time will be in your process. We all know the saying "Time is money" so this should be one of your very first considerations. Within the "time" slot on this list we will bring up 3 important factors with regards to time. The first consideration is how long it will take to build your house. Some builders can finish a house (or townhouse) in as little as 90 days. Other builders take up to 6 months or more to complete a home and if you opt-in for full custom home your build time could stretch to a year and beyond. The timing brings up other things to think about like where you will live while you are building and where and how to store all your furniture during the building process. The second consideration is how much time you have to devote to making decisions about how your house will be built. This could be as little as a couple of appointments to pick out your carpet and hardwood colors and possibly some interior options such as light fixture packages and counter-tops.  On the flip side you could create another full time job for yourself by building a custom home and have to make every decision down to the door stops and selecting every single light fixture in the house (trust me - I know). The third consideration is the interest rate timing. You generally cannot lock in an interest rate until 30-60 days before you close depending on the type of loan you are getting.  With that being true, sometimes your budget can become a moving target based on what the rates are doing closer to your closing date.  However, many lenders offer extended rate locks to give you more time to close.  You may want to find out what kind of locks different mortgage companies are offering and how much they cost to help with your decision.  With regards to timing, purchasing a resale is often the faster route to take, but there are many benefits to building new that could outweigh timing as you will read in the next section.

2. Selections and Warranties - As I see it there are two big advantages that new homes have versus resales.  The first one is having the ability to make your own choices.  When you build a home you will have the ability to choose things like what type of cabinets will be installed, the color and type of countertops you'll have, what kind of flooring will be in different rooms and more.  It will all be installed and done by the time you move in.  When looking at resales of course anything in the home can be changed, but it will often be done after you have already moved in which could potentially be a headache.  The other big advantage is the builder's and manufacturer's warranties.  Most builder's offer warranties on workmanship, mechanical items and structural items.  The length of time for these will vary from builder to builder.  It is important to find out the details of your builder's warranties.  Additionally, there are often warranties given by the manufacturers on items such as appliances, windows, roof shingles, etc.

That's all for now.  Please check back soon to learn more in Part 2 of this series.  You can also become a follower on Twitter at http://www.twitter.com/StephMcCaskill where I announce updates to my blog and more.  For more information about buying a home, check out my website at http://www.NewHomeProInCharlotte.com

What's in a name?

Hello, and welcome to my Blog. As you might have guessed from the name of the Blog, the main topic being discussed is new home building in the greater Charlotte area. I will be covering everything from the builders that build in this area, to the great neighborhoods that we have near by as well as a multitude of items that will help you get the most out of your new home buying experience.  The next question that you may ask is "Who are you and what makes you think that you are qualified to write anything in a Blog about any of these items?", so I may want to get to the introduction quickly...

Let's start with my background. I have worked here in Charlotte for more than a decade in the real estate industry. Over eight of those years have been spent working as a sales representative for the largest builder in the Charlotte area. During my tenure there (I have made the shift to general brokerage working as a new home sales specialist - more about this later) I had the pleasure of selling homes in many neighborhoods across the Charlotte area, so my knowledge of the South Charlotte building scene is very good and growing on a daily basis. I have sold more than 40 floor plans covering everything from $130K townhomes up to $1,000,000 single family homes and have sold against pretty much every other builder in the area as well. With the in depth competitive analysis that I used to do on a weekly basis, I mastered not only my products, but most of my competitions products as well.

I hope to cover a lot of my experiences in this Blog and make it educational as well as a little entertaining. I hope you will subscribe and become a follower. Feel free to ask questions through the comments section and if you find yourself interested in what the Charlotte area new home market has to offer, give me a call!

I thought I would wrap this up by giving you some insight as to what to expect in the future:

Builder Spotlights - In these segments I will try to give you some back ground information on what kinds of products they build, where they build them and how they build them. I will probably try to do an interview with the management of each company to give you their personal insights on the industry.

Neighborhood Spotlights - In these segments I will review the location, amenities, types of floor-plans available and offer a link to a photo-album via Google Picasa so that you can check the neighborhood out for yourself. I may even get some quotes from the sales representative on location about what makes their neighborhood great.

Home Building 101 - This segment will provide general information to make your new home buying experience the best it can be. This will include things like what questions to ask the sales representative, what types of things to look out for in the neighborhood, what floor-plan options are really worth it and things to put you at ease from contract to closing. 

Thanks for reading and don't forget to subscribe!