Building your dream home can be exciting! But there’s a lot that goes into it. We’re here to help guide you home, step by step.
Whether it’s your first time building a home or you’ve built before, there are key steps to take to help make sure the process goes smoothly and the final result is everything you want.
7 Steps for Building Your Dream Home:
Set a realistic budget
Before you set out to build your dream home, it’s important to know how much you can spend – but don’t forget to have a little fun along the way! Start by making a wish list of all the features you’d love, from that gourmet kitchen to a spacious home office and everything in between. Next, talk with different builders to get an idea of how much materials, workers and permits would cost to make that wish list a reality.
As you go, think about simple ways to save money, like choosing a smaller floor plan and finding good deals on appliances, fixtures and other supplies. Also, check if there are any local tax credits for energy-efficient appliances, water heaters and HVAC systems. When it’s time to move, you can even save by comparing moving companies, packing yourself or using your own vehicle or a rental truck.
Consider setting aside funds to cover unexpected costs related to delays, material shortages, weather events and similar situations. A good rule of thumb is to reserve 10% of your budget.
Be deliberate about design
Once you know your budget, it’s time to separate the need-to-haves from the nice-to-haves! Staying within your price range, prioritize the design elements that matter most to you. Don’t rush – it’s important to get it right. Take your time, think about every detail and make sure the design meets your needs and budget.
Want lots of natural light? Consider adding big windows that let in the sun all day. Live in a hot or cold climate? Be sure to include energy-efficient temperature controls, such as smart thermostats. Planning to grow your family? Make sure there’s enough space with extra rooms. You get the idea! At the end of the day, your design should be a balance of beauty, comfort and function.
When designing your dream home, it also doesn’t hurt to think about resale value. Even if you don’t plan to sell, your choices can impact the home’s future marketability. Timeless designs and quality materials can make your home more appealing to potential buyers down the line.
Get pre-approved for a loan
While nailing down budget and design are key steps for building your dream home, getting pre-approved for a construction loan is the foundation of the process. Your project can’t begin without it!
Contact a mortgage lender for a free consultation. Getting pre-approved comes with no obligation, and it helps you know how much you can borrow, so you can move forward with confidence.
When looking for a loan, watch for unique perks. (Psst. We offer rate locks for up to 18 months and the chance to borrow up to 90% of your lot’s value while you prepare to build!)
Pick a location
Aside from getting pre-approved, choosing the right spot for your home is one of the most important decisions you’ll make. Consider things like the lot size, neighborhood, schools, work commute, zoning laws and safety ratings. For example, if you live in a border community like Fargo, ND, West Fargo, ND, or Moorhead, MN, these factors can vary quite a bit across city and state lines. Be sure to research your options to find the best fit for you!
Choose a builder
Next, it’s time to select the right contractor to bring your dream home to life. When comparing builders, make sure they’re licensed and accredited by the Better Business Bureau. It’s also a good idea to look into their reputation – Google reviews are a great place to start!
As you narrow down potential builders, ask for references and check their past work to be sure they can meet your needs. And when you eventually choose one, it’s important to set a clear timeline for the project. Ultimately, you want someone who understands your vision and can make it happen.
Communicate during construction
Staying in close contact with your builder during construction is key to making sure the project meets your needs and timeline. Clear communication helps you address concerns, confirm design details and make decisions quickly, which can prevent mistakes or delays. Regular updates and feedback also help you stay within budget as certain milestones are met and the bank distributes more funds for the project.
Once construction is done, it’s important for you and the builder to do a final walk-through of your home. This is your chance to make sure everything is finished as planned and meets your expectations. Check all the details – like the quality of the work and how the appliances and fixtures function. It’s also a time to find any problems, like unfinished areas or small repairs that might have been missed.
Move in!
When you step into your dream home for the first time, it might be tough to contain your excitement – all your hard work, planning and patience will have finally paid off! This marks the beginning of a rewarding new chapter, one where you can truly make the home your own. From decorating the rooms to creating lasting memories, it will be the start of something special.
Building your dream home can be a complex process. But by following these steps, you’ll be on your way to creating a space that fits your lifestyle and lasts for years to come.
We’re with you every step! Contact one of our helpful mortgage lenders to get pre-approved today.
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