Realistic Budgeting When Building a Custom Home

So you’ve decided to build a custom home in Warman – congratulations!  The most obvious question to ask is how much will this cost?  Like most things in life, there are many ways to answer this question and most of them are correct on some level.

As a plant controller for a large multi-national company, I learned very quickly that financial surprises were a great way to become known for all the wrong things! “Under-promise and over-deliver” was my preferred way of managing a project.  I have carried this philosophy over into my house building business.  I would rather lose a job because my price is too high than advertise a low-ball price only to tell you later about cost over-runs.

I prefer that you take a complete project view.  That way, you are realistic when deciding how much house you can afford to build.  This also eliminates future surprises on things like finishing the yard.  Spending too much up front can create many years eating rice and beans to save cash for the driveway and fence !

Here is a list of what you should include when considering a custom house in Warman:

Direct Costs

Land Cost – cost of the lot from the developer + GST
House Construction Cost – should be a firm quoted price + GST
Extras & Upgrades – You will add things as you go.  Assume 3% of the house cost
Closing Costs – Legal fees, title registration, mortgage registration costs
Appliances

Costs after you move in

Blinds
Driveway
Fence
Landscaping
Furniture

The goal is to be as realistic as possible with your expectations and get as much of this cost as possible into your mortgage up front.  That way you can add the occasional steak to your meager diet !

At Cherry Creek Homes we will make sure you are realistic with your plans.  Our goal is to build the right home for you so you can enjoy life rather than be stressed about money. 
Happy planning !