Money Saving Questions to Ask When Building a Home
Having a Home Building budget shouldn’t feel like an insurmountable obstacle. Yes, it’s a challenge. Yes, it can be frustrating and discouraging at times, but- repeat after me- EVERYTHING IS FIGUREOUTABLE. Make that your home building motto and you’ll do just fine.
I’m going to start this post off with a parable. Don’t skip reading this part. It’s good stuff that you’re going to want to tell your kids. AND Jesus spoke in parables…Enough said.
There was a little girl at her Grandmother’s house playing with a bouncy ball in the play room. Also in this play room was a beautiful doll house that her grandmother had always told her was very old and very valuable and to be very careful when playing with it. The little girl adored the doll house! Suddenly her bouncy ball bounced right into the doll house. She reached her little hand through the tiny window to get the ball, but when she tried to pull her hand out it was stuck. She screamed for her grandmother to help. No matter how hard they tried, they could not free the little hand. Ultimately, the grandmother had to break the doll house to pull her hand loose. When the little girl pulled her hand out, she was clutching tightly to the bouncy ball in her fist, which had made it impossible to fit her hand back through the opening. If she had just momentarily let go of the 25 cent ball, the valuable doll house could have been spared and the little girl would have enjoyed it for years to come, maybe even her children too.
So these next questions are designed to help you decide if you’re clutching to a quarter machine bouncy ball, which could lead to you not being able to afford your dream house.
Questions to Ask yourselves:
What is most Important to me/us?
Make a list of ALL of your wishes, wants, and needs, and pie in the sky dreams. Then order and prioritize your list. What can you NOT live without and what CAN you live without? Keep this list handy and let it guide your decisions when some sacrifices need to be made. What will bring you the most joy/value over the years, a bouncy ball or doll house?
Can it be added later when the budget allows?
Remember the bouncy ball? If she had just let it go for a moment, she could have had both. Maybe you could put off finishing the basement or bonus room until later. Maybe you could add a barn door or interior french doors later, these are easy to add later once you have the cased opening built during construction. Landscaping, lawn sprinklers, built-ins, fences and glass shower doors/enclosures are all easy to add later with little to no demo. Could you live with a shower curtain for awhile until your wallet recovers? Do you really want to be paying interest for 30 years on these items?
Are we able to do any of the work ourselves?
This is a time, talent, and tools question. DIYing is NOT for everybody. Many times a well-intentioned money-saver ends up costing him or herself more money in the long run than if they’d hired a professional in the first place. So be honest with yourself on this one…Do you have the time? Do you have the know-how? Do you have the tools? Or will buying/renting the tools make it not such a good cost-saving project? One area, you may be able to take on and save significantly is by being your own General Contractor (We have done this twice!). To learn more about that, CLICK HERE.
Can I get the look for less?
Brand name items cost more and there are often identical or similar items to be found. That Pottery Barn light fixture you love probably has a twin on Overstock or Wayfair. Also, check Facebook Marketplace, local shops, flea markets for items that could add history and character to your home. All new everything can be beautiful, but a house with historic charm is beautiful and unique. We used a FB Marketplace antique dresser in our Guest Bath as a vanity. It adds so much warmth and character to the space.
Will this still be important to me 5 years from now? 10 years from now?
Styles, trends, even personal needs change over time. It’s important to consider if something will stand the test of time when determining it’s value.
Does the cost outweigh the value?
This is a personal question you need to ask yourself and it may come down to evaluating your reasons for wanting something. This might be a good time to consider if others value it as much as you do, and if not, why not?
What is the long term cost and or maintenance cost?
Remember that some items continue to have costs down the line. It’s often a good choice to choose the most efficient option if you plan to use it long term. Water heaters, appliances, and air conditioners are examples. But also some exterior materials may require more maintenance. It’s important to consider both the upfront cost and maintenance costs. Often the items that last longer or run more efficiently cost more up front, but less over time.
Questions to ask you builder:
Can we do some of the work ourselves?
You may recognize this question from above. If you decided that you DO have the time, talent and tools, now you need to ask your builder. Depending on your builder, this may not be an option. If it is and you feel confident, you need to ask yourself one more question, will doing it yourself delay or slow down the build? If you have a construction loan, time is money. Maybe choose jobs that wont interfere with other trades getting their jobs done even if your tasks are not complete. My husband and I chose to do some of the additional trim work and shiplap in our home to offset the cost of the additonal trim materials. This can easily done after the fact, and even after you move in. We also did some tiling. Additionally we screened in a porch, and did all the landscaping after the home was completed (and we paid for these item out of pocket instead of having them on our mortgage, therefore saving interest over 30 years.).
Ask your builder if there are any rebates available with the lumber company.
Manufacturers often have programs and rebates for their products. We asked our Lumber company directly since we were self-contracting. We found we could save a lot by using one brand of subfloor vs the other and one brand of exterior fiber board vs another due to rebates offered.
Ask your builder if there are certain items or elements of the design that are causing the cost to be higher.
Things like lots of corners and ins and outs on exterior walls add to the cost. It’s more steel in the foundation because all of those corners need reinforcement, but every in and out means more surface area for drywall, and exterior materials. This may be an important part of the design and if it is, keep it! The last thing I want to see as a home designer is boring rectangle houses everywhere. Don’t throw out the baby with the bathwater. An example for how we saved: We wanted a big double oven range as the focal point of our kitchen. However, those huge ranges are crazy expensive. We opted instead to 2 individual 30″ ranges side by side. I have 10 burners, 2 full size oven and the look I was going for AND I saved between $5000-$10,000! Bonus: if I decide later on that I REALLY want to spend the extra $ and have one big range, I can do that without any demo, and it will fit in my space.
Most builders will say to cut square footage. That’s kind of tricky because not all square footage is created equal, but lets go with that. Remember, that square footage is not easily added later, so you really don’t want to cut anything you may miss. That said, some plans do have some areas that you may not need. I had a client who was certain they needed their closet to be a certain square footage. But with a little reconfiguration of the use of the space, I was able to get them MORE hanging and drawer space in a much smaller space.
Ask your builder if you can provide your appliances, lighting, mirrors, and other fixtures.
They may say no, but they may say yes. Some builders pay retail and then charge you an extra fee on top of that. There are a lot of great ways to save on these items. You could shop big sale days like Labor Day Sales, go to Outlets, shop and compare online prices, use Rakuten for cash back, and all the while earn credit card points too! For appliances, you’ll need to make sure to order correct sizes and/or inform your contractors of exact dimensions. For plumbing fixtures, freestanding tubs need to ordered/decided prior to pouring a concrete slab foundation (if you have one). Showers sets and faucets will need to include trim kits and valves, in other words, not a replacement set.
Ask your builder if you can be the cleaning crew.
Builders usually pay someone to come in a clean up periodically. Offer to do this job in exchange for the cost cut from your building cost.