Financing the construction of your new house has always been an essential part of the entire construction process. It’s especially true when you consider the climate of today’s market. People who have saved enough money to fund construction are lucky because they do not need a construction loan.
Those who need a loan may find that banks and the general market conditions make it hard to obtain the necessary financing. Of course, you can get a construction loan if you meet their requirements.
This article will discuss the cheapest way to build a house and other tips to ensure that you aren’t spending more than you have to. Even if you’re looking to build something affordable, there are still various features that you may want to consider.
Summary
The cheapest way to build a house is by buying a simple-to-build stock house plan and finding a good and reliable contractor to work with. By choosing a simple design, you’re spending less money on the smaller details and saving 10-30% compared to more intricate designs.
In this article, we’ll also take a look at the following topics:
- The benefits of these designs
- The process checklist you need to go through
- The various types of framing
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Here’s everything on the cheapest way to build a house.
How to save money when building a house
We’ve compiled 15 useful tips on keeping your budget down to a minimum in your quest to find the cheapest way to build a house. You can still avoid sacrificing the types of features that are extremely important to you. Talk to your architect or contractor and see if they agree with these tips.
How to save money when building a house
- Buy a large piece of land and share the cost with someone else looking to build.
It’s always nice to have a large piece of real estate. However, your financial situation may not always make that possible. While this may be a perplexing problem, there is a way to get around it. You’ll be able to get a great building site at an affordable price. How? You get someone to share the cost to pay for the lot. A close friend or a family member whose friendship you value may be a good option. More importantly, someone whom you wouldn’t mind having as a neighbor.
- Get a cheap waterfront property.
If you desire to build a house that overlooks the water while still on a budget, opt for a canal instead of an ocean property. This option helps you save a lot and help allocate the funds to other parts of the project.
- Buy low-maintenance materials
Clay and concrete tiles, architectural asphalt shingles, and galvanized steel and aluminum are good examples of this. Their cost may indeed be high when you initially install them. Their long-term benefits will justify the initial cost, which gives you a lot of advantages in the long run.
- Use salvaged materials from demolition sites to supplement parts of your home.
Quality hardwood doors using bricks and old barn wood from demolished buildings have surprising benefits. They’re cheap to acquire. Some are even given away for free, but they can last long if you refurbish them. Talk to the owner first before you haul them away.
- Prioritize your expenditures.
It’s okay to spend on things you absolutely cannot live without. However, don’t neglect the important structural components of your home or the windows and doors. Safety and security are paramount. You must never sacrifice these aspects to save a little bit of money – it’s just not advisable.
- Keep an eye out for construction allowances and make sure that you stick to the initial budget.
In some cases, you may have to spend more than planned on the actual budget. It includes structural elements and decorative details. For example, you and the contractor agreed to use a particular brand for the insulation because of its quality. Don’t settle for a different brand, especially if he didn’t inform you of the changes and cost adjustments.
- Only hire a licensed contractor.
A licensed professional contractor is worth the money when it comes to building. Their skills are invaluable to the construction process. Their connections with suppliers and subcontractors will help you stick to your budget. They often get discounts and rebates that they have previously negotiated.
- Avoid site preparation expenses if you can.
You’re going to want to choose a site with the least amount of trees and boulders. Find one where none of these exist in the land, if possible. It needs less in-fill dirt and grading, so you won’t have to haul it. These things are expensive and might even cause cost overruns, and are time-consuming.
- Say no to change orders.
Whether the contractor’s architect asks this from you, always say no. Change orders will add more to your projected budget. It can also be frustrating changing things in the blueprint. Plan everything out and stick to that plan, so you’ll have no regrets later.
- Vinyl floors work too.
It’s safe to say that everyone loves to have ceramic tile or hardwood flooring. They’re quite expensive, so you may want to use vinyl flooring in the meantime. That is, at least until you can afford to install hardwood or marble flooring.
- Improve the stock plan instead of asking your architect to make a custom design.
Don’t worry about building a house that may not be unique. You can still make the space unique by how you choose to decorate it. If you buy an existing house plan and the AutoCAD files, you can also use design software to alter them. We have listed several good ones to make your desired changes.
- Use your floor space wisely.
You may think that building a garage with extra space for storage is good, but there are other parts where you can get that space for storage. You can also use other spaces in the house for any purpose, such as attic space or space under a stairwell.
