7 Ways to Save Money When Building a New Home

Building a new home is an exciting proposition. Taking steps to manage your budget will help ensure a positive experience. These tips can help Denver Metro home buyers save money on semi-custom and new home building.

1. Figure Out What’s Important Early On

Setting your priorities at the start of the process lets your builder know where you’re willing to splurge and where you can cut back. Do some research. Explore model homes, browse in home stores, look through magazines and websites, and consult your builder for ideas. Then come to an agreement with your significant other on what is most important to you. Also consider what will give you the best return on your investment.

2. Select a Home Builder Wisely

Your new home is a substantial investment, most of which is held in the builder’s hands. Be certain you are working with someone reliable, capable and trustworthy. Interview several home builders. See their work. Get–and check–references (ask references how their job went, how problems were handled, what communication was like, and if they are satisfied with their home). Get everything in writing. Be sure to hire someone with whom you will be comfortable working for the duration of the project.

3. Communicate with Your Builder

Make sure your builder understands your priorities and preferences. Make any changes as early in the process as possible and communicate them with your builder to be sure everyone is on the same page. Ask your builder for cost-saving ideas. An experienced builder has done this many times and will be able to advise you on both ways to save on materials and on efficient building practices.

4. Choose a Smaller Home

A smaller home will save you money on materials and labor when you build, and on energy and maintenance costs after you move in. Work with your builder to design a floor plan that makes the most of the space where you need it, without incorporating extra space that you don’t need.

5. Find a Good Banker

Your banker can save you significant money up front as well as over the life of your loan. Stay in contact, keeping an eye on interest rates, so that you lock in your rate at the right time.

6. Negotiate the Construction Loan

Some bigger builders will finance construction themselves, but if you need a loan, shop around for the best rate and terms.

7. Know Your Tax Credits

Tax credits may be available for first-time home buyers, as well as for energy efficient systems (such as geothermal and solar), windows, insulation and appliances. Find out what is available in your area.

Sheffield Homes is your partner when it comes to saving on your new home. Contact us today for a free consultation!