Please take part in our Reader Survey!
Northshore Living: A Builder for Your Dream Home 
by Betsy Mattox Tarkington
Those of us with older homes often fantasize about owning a never-lived-in, brand new home all our own. Everything in this dream home will be in perfect working order. There will be abundant storage, every imaginable amenity, and style to suit even Martha Stewart’s taste. Some of us fantasize about a production or spec house already built. Others imagine creating a custom home to specification, from the ground up.
While a new home can be a dream-come-true, the process of finding that home, or of building it, can be lengthy and difficult. And the outcome can be brutal if the home buyer chooses an unethical or careless builder. For anyone considering turning a new-home fantasy into a reality, some basic guidelines may make the process more productive and positive.
Your primary decision will be whether to build a custom home or to buy a spec (or production) home. If you are able to afford the time and dollar investment to build a custom home, you will likely end up feeling that the professional builder-client relationship has turned into a marriage by the time the job is complete. If you buy a spec home, the relationship will be less intense, but your choice of contractor will be no less meaningful. In some cases, builders offer spec homes for sale prior to completion, allowing buyers to choose certain features such as colors, flooring, fixtures and appliances. In this environment, the builder-buyer relationship can become very close and constant.
The first step in being certain that you are choosing a good builder is to qualify him or her professionally. According to Randy Meyer of Conbeth Incorporated, who was the 2005-2006 president of the St. Tammany Home Builders Association, a good builder will have a current state license, which means he will have passed a professional exam. Meyer notes that better builders carry three types of insurance: general liability, worker’s compensation, and builder’s risk. It is important to determine if your builder is a member in good standing of your local homebuilders’ association. In addition to licensing and professional alliances, you can ask to speak to your builder’s banker to check his financial viability. The Better Business Bureau is a great resource in determining if there have been complaints filed against a builder.
It is always wise to do research on your builder’s reputation and work practices. Statistics show that the average homebuilder is in (and out of) the business in five years. Certainly, you will want a builder who will be around after your dishwasher warranty has expired! Jerry Glover of Glover Construction suggests that a homebuyer ask how long a builder has been in business in the area since a builder with a bad reputation will not have staying power in a community. Does the builder have long-time relationships with his sub-contractors and are those sub-contractors well-respected? Does he have superintendents routinely on-site? Glover firmly believes that a builder is “only as good as his sub-contractors, and only a good contractor can hang onto excellent subs over an extended period of time.” Glover makes a point of being on the worksite regularly, often on a daily basis, as he wants to know first-hand what is happening on his jobs. Smart homebuyers often ask to speak to families who have lived for two or more years in homes built by a prospective contractor. Granted, those named by the builder are likely to be satisfied customers, but a builder with a list of several happy homeowners is likely to have earned bragging rights.
A contractor’s workmanship should be an issue of major concern. Cliff Hughes of Brackley Hughes Construction advises homebuyers to “kick the tires” of homes. Hughes warns buyers, “You need to look beyond the glitz and examine the infrastructure since that is the indicator of how the home will age over the years.” He recommends going into the attic to check the quality of framing, duct work, electrical and plumbing installation. If this “under the hood” checkup comes out fine, then look at the materials and finishes. It is always wise to hire a licensed home inspector to examine a new home, as well. Some relocation companies require that two inspections take place: one before the walls are closed and another when the house is complete. Such holistic examination of a home should give you confidence that your builder is doing the job correctly and thoroughly.
No two contractors are alike, and it is important to know how your builder likes to do business. It will be important to understand your builder’s procedures and processes before the actual work begins. Ask about change orders: there should be a procedure in place for handling changes you may choose to make. Ask your builder about his or her warranty. While the state mandates that contractors agree to a basic new home warranty, some builders offer an extended warranty geared to new construction. Generally, an extended warranty becomes effective when the state warranty expires, continuing for a proscribed period. It is always a good sign when a builder is willing to go the extra distance to warrant his product.
Having a competent and committed real estate agent on your side can add to your protection and help make your new home purchase more satisfying. No longer do these professionals simply deliver a buyer to a builder and get out of the way. Agents today have the ability to help analyze a purchase from an investment perspective; he or she will know the reputation of builders, market trends, the resale value of neighborhoods and the design features that are most valued when you resell. A good agent will help negotiate the deal, creating documents that work well for both buyer and seller; facilitate the inspection, punch list and final walkthrough process; work with closing companies, banks and lenders; and guide the process from beginning to end. As Ron and Nancy Lee of Hearthstone Homes by Ron Lee put it, “[Agents] help create a win-win relationship between buyers and builders, and they make everyone’s job easier.” When a builder, buyer and agent work together synergistically, the path to the closing table can be a genuine pleasure.
Genuine pleasure, of course, is the way you should feel when you spend the first night in your new home, when you cook your first meal in your new kitchen, when you show the finished product to friends and family. The path that takes you from the dream to move-in day can be exciting and happy, as well, if you have done the proper groundwork and gotten good advice and support along the way.
Betsy Mattox Tarkington is a Realtor with Coldwell Banker TEC. She can be reached either online at betsyt@coldwellbankertec.com or by phone at 985-373-6186.
