Control Home Building Costs – Here Are Some Tips And Tricks
Home construction costs can often be a challenge to control when there are so many variables in the construction or remodeling project. You can avoid excesses or at least keep them to a minimum if you are armed with some valuable advice.
When planning your construction, top up your budget with a 15 percent Contingency Fund. This fund will allow you to pay for surpluses that you have no control over, such as unknowns behind walls and ceilings and problems encountered once excavation begins.
You may not be able to avoid all of them, but you can certainly keep surpluses under some degree of control by considering the following tips and tricks.
House size, style and shape –
If you are building your dream home, these are three of the most important factors that contribute to your bottom line: size, style, and shape.
* As a general rule of thumb, size your home in two foot increments to reduce material waste. Additionally, industry experts advise that your home be built no higher than 32 feet to eliminate the need for custom trusses. This will also reduce your expenses.
* Generally, the cost of building a multi-story home is less than building a ranch-style home with equivalent square footage. Multi-level homes have smaller roofs and foundations, and plumbing and ventilation are built more compactly. Roofs and foundations can be quite expensive when building a ranch with the same square footage.
* The cost and need for labor and materials will increase the more corners and angles you build in the house, so you will want to consider the shape when building your initial plan. A square or rectangular house costs less to build than houses with other shapes, for example, L-shaped, round, octagonal, etc.
Before you start: plan
* Plan the costs of your buildings. Take the time to put your plan on paper.
* Detail each activity that you think will be involved in the project and each product that you think you will have to buy to complete it.
* Visit home improvement stores and get prices for all the items you think you will need.
* Add up all your projected expenses and include the total in your budget.
Before signing: specify
* Make sure you have an architectural plan or very specific drawing and measurements of your new construction to eliminate as many gray areas as possible.
* If you want specific products to be used in construction, please indicate your requirements to the contractor and make sure they are included in the tender contract before signing.
* If you expect granite countertops, but only high-end state countertops, you cannot expect your contractor to accommodate your request. You must be specific.
* Make sure language is included that reflects that your contractor will obtain all building permits.
* Make sure language is included in the contract that requires the contractor to be responsible for all costs associated with the removal of the demolition performed on the project.
Before work begins –
* If the contractor you use is reputable, you must obtain proper permits from your local authorities.
* Do not allow the project to continue until you know that all permissions have been obtained and that they are posted where they are required.
Contractor Change Orders – Beware
* This is the main reason why projects experience cost overruns.
* A change order generally increases the cost of its construction. If you accept the exchange order and associated costs, you are responsible for paying them.
* If the change order is an expense incurred because the contractor created it, then you should not accept or be responsible for the cost, that is, the contractor accidentally knocks down a wall that is not in the original offer or causes damage to your property. while working on the project.
* Take into account your contract and the condition of your project along the way, so that you will immediately notice problems that arise and for which the contractor should be responsible.
* Please note that some change orders may require local officials to review the project to approve the modifications.
Most common milestones of cost overruns
Historically, there are two most common milestones where your construction project will experience an overflow if you build a new home or add a new room to your existing home.
Project start –
* When digging and installing a well, if necessary, cost overruns are often experienced due to terrain.
* If your contractor hits unusually rocky terrain, it will take longer to dig and cost more out of pocket.
* If a well is drilled, it is not always known how deep it will be necessary to dig before finding water.
End of project –
* Putting the finishing touches on your countertops, cabinets, lighting, plumbing, flooring, electrical and other aspects of the project.
* Again, take the time to compare all of these items, price them, include them in your project cost, and deviate as little as possible.
* If you have an excess of your Contingency Fund, you can always take advantage of it to get extras at the end.
It is almost impossible to avoid all the surpluses in a construction project; However, if you plan early and keep your eyes open along the way, you could cut back and eliminate the most expensive ones.