While the builds are not yet up to the 2006 highs new home construction is still very strong in the Austin area. Lots of new homes lots of new subdivisions. There are several things to consider in purchasing a new construction homes. Today I will cover the types of homes available.
1. Total custom build: You with your agent find land or a lot, you find your floor plan and work with a builder to complete your home. The options are totally up to you, at the leisure of your pocket book. Build time can be between 4 months to over a year. Building a home this way can get you exactly what you want. And is usually a more costly way to purchase a new construction home. You will likely have to deal with building or construction loans and then transfer to a conventional loan. We have experienced agents that can help with this process. We also have access to lenders that can facilitate this with out two sets of closing costs (saves you a few thousand dollars). Most folks don't know there is a VA loan for this type of build. We can help with right connections for that as well.
2. Spec home: a home pre built by a builder in speculation that he/she can sell it as it is being completed or shortly after. Often this can be way to get more home for your money especially if it is finished and has not sold. The builder does not want to carry a home. You also will get the fewest choices in the home. In most cases the flooring, cabinets and counters will already be chosen an you simply take what is there.
3. To Be Built: refers to a home built by a builder in a Track/ Row subdivision. This is a subdivision that has a single builder or several builders with pre set floor plans available and you get a range of choices on options. The choices can be pretty broad like a Jimmy Jacobs build or in DR Horton's new approach, much more limited. The build time can vary from 4 months to over a year. You will spend some time in their Design Center to choose your options, which will require discipline to stay in budget. There will be limits to the changes you can do, the types of finishes you can choose, and usually no real changes in the floor plan.
2 and 3 are the most common ways people in this area purchase new construction homes. There is a wide range in the type and quality of amenities and build quality between builders.
Costs, it is very difficult to find a new construction home under 225k in our area. One exception is a Tiny Home, (yes we can help you with that). The cost of land to build has increased steadily for the last several year and construction costs have increased as well.
Buying a new construction home is an exciting life experience, it can test a marriage or it can be a lot of fun... a great agent can make it more fun!!!