Build a Custom House

[asingh70]

Hi Guys,
Thinking to buy land to build custom house. I need to clarify following questions before take any further steps and I really appreciate if you guys help me here:

1. Can Bank provide mortgage to buy land?
2. Where can I find reputed company who do end to end work (from design to finish build)
3. Do you guys think this is good idea or just buy home from builder?

Thanks

[BuildingHomes]

1. Contact your financial lender. Different lenders have different options.

2. And you are located where exactly?

3. Custom home is just that.. custom built. It will cost you more, but you will overall get a better quality workmanship since you get to interact and approve of everything during the process. Just make sure you contact me for doing all the low voltage in the home and don't use the electrician :)

[TheFuteballer]

Hi Guys,
Thinking to buy land to build custom house. I need to clarify following questions before take any further steps and I really appreciate if you guys help me here:

1. Can Bank provide mortgage to buy land?
2. Where can I find reputed company who do end to end work (from design to finish build)
3. Do you guys think this is good idea or just buy home from builder?

Thanks

I actually just designed a website for a custom home builder. I dealt with them and they are very honest and thorough in everything they do, and actually visited some of their houses and they are absolutely amazing!

Have a look: www.parkhillhomesinc.com

[synaptech]

A friend of mine looked into building his own place and he had found it easier to obtain financing for land that already contained a dwelling. With a big enough property you could live in the current house while building your custom. It was something we considered too, but instead opted for an older home that needed some maintenance. It's been slow, and there have been a couple unforessne expenses but we're slowing restoring and adding our touch to it.

I have seen several recent properties add major extensions to smaller homes with decent property. The end results are impressive and give you a large custom section.

[john_ertw]

Why are you considering a custom home? Are you trying to get something that is unavailable through a subdivision? There's no doubt that a custom home will be nicer in the end since everything was to your specification, but it's a bigger headache. So answer my first question and that will determine if a custom home is right for you.

[asingh70]

Why are you considering a custom home? Are you trying to get something that is unavailable through a subdivision? There's no doubt that a custom home will be nicer in the end since everything was to your specification, but it's a bigger headache. So answer my first question and that will determine if a custom home is right for you.

I am looking to buy land in mississauga and building house. While googling some people posted you save 30% if you buy land and build custom home. Example:If builder price is 500000 and if you build by yourself (Land+build) save 30%. But i don't know this is true.

[BuildingHomes]

Have you actually found a lot in Mississauga? Because there isn't a whole lot of empty space there.

What many people do is buy an existing crapshack, knock it down and rebuild on top.

[dlhunter]

It's NOT cheaper to go custom route! Hint: it's CUSTOM, meaning you pay architect to design single home (vs builder reusing same design e.g. saving money), hire supervisor (again, single home; if you don't, then you must know building code or else get burned badly as contractors love shortcuts), finance in stages etc.

Moreover, if you don't HAVE substantial capital, how would you come up with payments??? Your land is mortgaged and just to demolish old dwelling you'll need close to 10K. Do you honestly believe bank will keep giving you money for something that already has loan?

Going custom only makes sense if you already own or can purchase outright land with old building. Let's say, in North York, 30 years old bungalow will cost you around 600K. If you have close to 500K, then it's doable, but the end result will be 600K new mortgage for 1 million dollar home (and property tax on top). Do the math.

P.S. In simpler terms, building custom costs from $90 to $200 per sq ft.

[speedyforme]

My friend's dad'd boss custom built his home. I think he has connections but basically he built a castle in Brampton with high end materials and it cost him LESS than a McMansion in Brampton which is about half the size in lot and home.

When I mean castle, I mean brick stone wall + gate etc.

[King James]

I guess it depends on location as well and if it is a hot area. I am not sure if Mississauga or Brampton as mentioned by the person above are worth it. I know friends that custom build their houses in Yonge & Finch/Sheppard area to fully use their lot and they are probably worth 1-2 mil now.