In this article, we would like to present some different types of new constructions:
National (Large) builders
National builders generally have a set number of floorplans and features to choose from in their own designe center, without too much flexibility. You will typically find them building an entire neighborhood, with a model home/sales center. Some of these builders only build “spec homes”, where the homes are already completed. Economies of scales typically allow for the best price for a new construction home
Local(smaller) builders
Smaller builders typically have a similar business model as national builders, however, they usually build just a few homes at a time-almost like a cluster of homes, rather than an entire neighborhood. Sometimes they have more flexibility in customizing your home and may allow you to pick from a larger variety of floorplants or options/upgrades.
Custom builders
With a custom builder, you can have anything you want, because you’re paying for it.. custom homes are built one at a time to fit an individual buyer’s unique needs and desires. They typically build with many higher-end products and finishes and allow you to customize pretty much anything, limited only by your budget, imagination, and local building or neighborhood regulations. It is important to note, that customes builders sometimes require that you buy your own land first.
Spot lot builds
This type of new construction can be done by outsourcing architects, engineers, and builders, or can be paired with a custom builder. This process requires you to find a purchase your own land first (the “spot” lot), and either pay a builder to do the lot testing, engineering, and permitting, or you can hire out all of the testing and site engineering individually. You could then work with an architect to design your home, and a builder to build it. The more cost-effective option would be to partner with a local or custom builder to take care of the entire process for your start to finish.
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