Interested in building my own home...

[JavaBrewer]

The wife and I are are starting to think about getting into a home we can retire in. Our current home was great for raising the kids but frankly is too big to maintain as empty nesters and I really want a single level home for our later years. I just turned 50 and have lots of experience with flooring (tile/wood) and simple cabinet making, basic electrical, and some finish work.

My actual career is as a software/systems consultant for various Federal agencies. As you can imagine the industry is being rocked by funding issues and we are being proactive in managing the risk by downscaling on an accelerated schedule. Our original plan was to stay put till the kids were out of High School (another 5 years). We are looking to stay in the area so the kids won't be affected - plus we really like it here.

My thinking here is that the housing market is pretty active and we have good equity in our home. We have looked at many existing homes with the intent finding a fixer that I could oversee but recently stumbled across a nice view lot in a desirable location. It is a remaining lot (of 3) in a community of planned and semi-custom homes. The lot is graded and all utilities are in place - which I hear is 40% of the battle in building a home.

So I have no experience with home building in general or how this is normally done. Our plan is to first sell our existing home and get into a leased property. Once that is accomplished we can start reviewing our options and I have no problems with time schedules - anticipating a 16 month lease if needed.

I'm looking for inputs from folks with actual experience and or good references. Ideally I would like to get a partial GC to handle the primary structure construction leaving me to handle most of the finish work - some of which I can do and others I will contract out. I believe we would be happy with an existing plan from one of the major developers with minimal/no changes - so hopefully that will save costs as well. About costs, we hope to keep that under $140 sq/ft for the construction - land will be already purchased.

So am I insane, dreaming, or sorta on target with this?

Thanks in advance!
David

[Jim Richards]

Originally Posted by JavaBrewer

The wife and I are are starting to think about getting into a home we can retire in.

I really want a single level home for our later years.

We had generally the same thought. We ended up buying an existing single level home that needed to be brought into the 21st century (it was mostly still vintage 1965 inside ). We have been remodeling using various contractors, and our own labor for some of the projects. We have a GC for our kitchen remodel. So far, the project has been going well and we're really looking forward to wrapping it all up and retiring.

[look 171]

the other 50% is getting the actual building permit.

Review plans and talk to an architect
(Make sure the architect gets you approved plans before you make the big chunk of your final
payments especially if you are using a set of existing plan from another builder)

Hill side construction for $140 sq' may not be doable even without finish work this depends on things like foundation, size of the home, and the design and structure itself.

Start interviewing contractors and be specific as to how much of the work you like him to do

My suggestion is to have one person do the following:

Grading
Fondation
Framing
Rough electrical and plumbing
Roofing
Finish the exterior so you can take you time to finish the inside while the place is sealed up.

Oh have them put in a driveway so your men are not walking in mud while finishing the house.

[look 171]

Java,

Have your architect work with his engineer so you are not running back and forth doing his job. Have him be responsible for the whole thing and get plans approved. if not, you will be running around pulling your hair out of your head. The last and easy part is to build the house.

[Jferr006]

What exactly do you plan to do yourself that's worth having to deal with the subs?

Drywall/ flooring/ kitchen and bath fixtures?

Seems like design/build with the builder and architect would make more sense unless you are interested in a huge headache.

[JavaBrewer]

Originally Posted by look 171

the other 50% is getting the actual building permit.

Review plans and talk to an architect
(Make sure the architect gets you approved plans before you make the big chunk of your final
payments especially if you are using a set of existing plan from another builder)

Hill side construction for $140 sq' may not be doable even without finish work this depends on things like foundation, size of the home, and the design and structure itself.

Start interviewing contractors and be specific as to how much of the work you like him to do

My suggestion is to have one person do the following:

Grading
Fondation
Framing
Rough electrical and plumbing
Roofing
Finish the exterior so you can take you time to finish the inside while the place is sealed up.

Oh have them put in a driveway so your men are not walking in mud while finishing the house.

The lot already has a level pad graded. All utilities on site. The home will be completely on the level pad - no piers or suspended construction.

Your list pretty much sums up what I am looking for. I would want the exterior finished and the interior to be completed minus flooring, paint, moulding, and possibly cabinetry. Hardscape (driveway and backyard) I will contract out separately (if that saves money).

In my initial web searches I discovered that single level home construction appears to cost more than multi-level - guessing due to the additional slab. We are hoping for a 3 bdrm/2.5 bath - no formal dining or living room. Total about 2500 sq/ft. Tile roof spanish style motif.

I was hoping to avoid hiring an architect by using a plan from one of the larger home builders in the area. Hire a GC to handle the permits and the list above. This would not be a time critical venture as far as completion for final approval and move-in. The actual construction would be done mostly with a construction loan - hoping also to secure that outside the GC but again I'm a total novice when it comes to those sort of matters.

My concerns are about buying the land but then not getting approvals/permits. Is there a way to verify those things before committing to buying the actual land?

Thanks for the inputs so far!

[javadog]

I have no knowledge of the geology in the area of this lot, nor what it looks like. Still, I wouldn't assume that the level pad has been done correctly or that piers would not be needed. You need to do a little more investigation before making those assumptions.

Consider waiting until the kids are gone and then maybe scale down to a 1 bedroom. It would be mostly sale-proof, but then no living and dining room puts it in that same category. If you're going to live out your days there, build what you need for your lifestyle. You can always buy the lot now and build on it later.

A two story house may be cheaper than a one story house of the same size, for a lot of reasons other than just the slab area. You also have the roof area, plumbing considerations, etc.

A tile roof is expensive. Ditto for plaster work.

If you wait for the kids to be gone, you might be able to move in before the house is completely finished and work on it as you go. That might save a little money.

JR

[Jferr006]

Don't hold me to this and I'm sure others will chime in with more exact info but, I think in order to know 100% if you'll get your permits is to apply for them once you own and plan to build. I cannot speak for your area but, around here the only thing there is really to worry about is whether a site perks and the soil conditions, those are the things you have to know before you buy land you plan to put a house on. If your utilities are already there I doubt any of that is a problem. Who ever is selling the site should be able to comfirm whether or not it is able to be built on and its not a bad thing to get in writing. I'm assuming the jurisdictions going to want plans submitted with permit apps so it'd be good to already have that infomation together and readt for the GC building the structure.

[motion]

I wish you luck in your endeavor, but last I heard, about 10 years ago, custom residential was running 350-450 a foot minimum. I'm not sure how you could get it done that cheaply. Its expensive to build custom in SoCal.

[JavaBrewer]

Originally Posted by motion

I wish you luck in your endeavor, but last I heard, about 10 years ago, custom residential was running 350-450 a foot minimum. I'm not sure how you could get it done that cheaply. Its expensive to build custom in SoCal.

I have read similar prices but for totally custom homes - Rancho Santa Fe type expectations. The neighborhood was completed in 2005 and the homes are all 2 story in the 3700 sq/ft range currently valued ~ $800K. The nearest cross street has many custom homes valued at $1M.

Everything is spendy here for sure Richard.

[dennis in se pa]

Buy a fixer and do it. No way you can build new as cheaply. If cost is not an issue then that is a different matter. I have years of experience as a builder and real estate agent. Especially now while prices are depressed. FWIW I have built a lot of, but never bought or lived in a new home. Wat too expensive AND the taxes will eat you up.

[RWebb]

no DIY a new home at 50 - no way

now, if you plan to hire a contractor, then see post #11

[onewhippedpuppy]

If you hire a GC you will be under schedule constraints, usually some amount of payment to the GC is based on the permit closeout, essentially approving the house for occupancy. The stuff that you want to do is required for occupancy. Remember as well that most work requires inspection, and some specific work requires you to be licensed to do it. There are generally homeowner level licenses to be had but that varies by area and requires you to attend training classes and take tests. I would strongly suggest sitting down with your local code office to discuss the ins and outs, it's a convoluted process. I suspect you will have a hard time finding any decent GC that will sign up to this arrangement, it's a hassle for them. That leaves you with the shady guys that are hungry for work, not good.

You lose most of your cost benefit by hiring a GC because they will still mark up EVERYTHING. Changes, subcontract labor, materials, all will get marked up. Why wouldn't you just operate as the GC? That way you can pick your subs, shop around for material, set your own schedule, and save the GC markup. The subs are responsible for inspections but operate under the permit that you pay for. That arrangement would also allow you to choose what you want to DIY vs what you want to sub. If you have the time (big if) and assuming that you are construction savvy, it can save you some real money. I just did a garage addition in this way, I paid to have concrete and electrical done by subs and went DIY on the framing, siding, windows, paint, roof, etc.

[ckissick]

I'm currently doing what you are thinking of. We sold our house, rented a house, and are now just starting construction. The foundation will be finished this week. I'm the GC. It will keep you very busy juggling subs, materials, inspections, etc. But I'm enjoying it. I'm a geotechnical engineer, so I'm well versed in construction. I have many GC friends who are offering advice as I go. $140/SF may be hard to achieve, but $200/SF is doable. You should PM me and then we can talk on the phone. This can't be covered easily in this format.

[RWebb]

Everything whipped says is true, but...

Originally Posted by onewhippedpuppy

Why wouldn't you just operate as the GC? ...

b/c it takes a lot of time and hassle, and "mindshare"

also, you will not have the same relationship with any subs that a real GC does (they have no expectation of you hiring them again), and they will not treat you well - that might be mitigated a bit if your area is still in a big housing bust

and.. you do not have the experience that a real GC does in terms of permitting, who to select as a sub, or materials cost

but, yes, you will save money

[look 171]

Java,

I will get back to this a little later in more detail. Find out who did the soils report from the developer that build the home next door or just talk to him about the foundation. View lots are almost always more money to build because its on a hill side. Equip. access, engineering, and the type of soil and the requirement to build on top of that will get you. Get hold of the guys that build near the lots and they can give you a wealth of info and that will save you lots of leg work and unnecessary money.

[look 171]

Originally Posted by JavaBrewer

I have read similar prices but for totally custom homes - Rancho Santa Fe type expectations. The neighborhood was completed in 2005 and the homes are all 2 story in the 3700 sq/ft range currently valued ~ $800K. The nearest cross street has many custom homes valued at $1M.

Everything is spendy here for sure Richard.

There's custom (off the shelve) and there "CUSTOM" where they make everything.

[on2wheels52]

For myself, I would have to be insane for an undertaking such as that.
That said, I was the GQ for a commercial building I put up 20 years ago. I think it cost $31/sq ft (not counting the lot), but it was just a plain concrete block structure. I remember having to blow $900 to have an architect say the plans were earthquake approved (like that's a big concern in Arkansas). Unfortunately the property was condemned shortly before it was finished (but that's another story).
Jim

[onewhippedpuppy]

Webb is correct, it's a royal PITA. But you'll save money. I suppose it's all about what value you put on your time. Frankly any building of a new home is a royal pain.

[johnsjmc]

My wife and I built a house about 10 yrs ago. It turned out really well but took much longer than expected. I worked as a high school shop teacher at the time and had all the skills needed to build but acted as the GC instead. My wife now likes to remind me "my best work is done by cutting checks".
We only lived there about 3 yrs as we had built in the wrong location.
Today we are deep in a major renovation of a small 1904 brick cottage ,so we can move from our 4 br 2 storey and retire to a one floor..
D
A previous post points out the cost benefit of reno of an existing structure and I agree it,s probably a good plan if you get almost what you want in the location you want.