10 Common Mistakes
Made When Building a Home
1 Purchasing a new home without the right financial approval. (Financing your New Home).
2 Not obtaining Buyer Agent Representation to assist in the purchase of your new home. Real Estate Agents that specialize in New Homes know the procedures in helping you selecting a Builder, Plan, Options and Upgrades. They will ensure you are fully aware of what your money is buying you and act as a liaison between yourself and the Builder’s Agent. (New Home Specialist)
3 Not creating a budget for your new home.
4 Not keeping in mind the total costs associated with building a home. Most builders deliver to the buyer the completed home without appliances, window coverings, landscaping/sod, decks, fencing and central air conditioning.
5 Being unrealistic regarding the time it takes to build and how this corresponds to the sale of their existing home.
6 Not obtaining lawyers approval for form and content of the Builder’s contract.
7 Not upgrading structural components of the home at the time of design approval. Structural upgrades or changes to the footprint of the house usually can not be made after permit has been issued.
8 Making changes after the Builder has received permit. Only some changes are permitted after the permit has been received. Most if not all Builders charge an administration fee for changes after this time frame. Administration fees for changes can range from $250 to $500 per change.
9 Ensuring the Builder offers the appropriate warranties for both the structure and workmanship on the home.
10 Practicing due diligence to ensure the location of the house and development of the neighborhood will offer the purchaser the right amenities (transportation, schools, and shopping) now and into the future. Understanding the long term plans of a neighbourhood will ensure you are making the right decision for both you and your family.
