Chattanooga home builder Core Homes blog post image house in framingNew Home Move Up Buyer Guide

If you already own a home, condo or townhome and are considering selling and buying something newer, bigger, better for whatever reason, this move-up buyer guide is for you.

How do you know if you are a move-up buyer?

  • Are you relocating and looking to find a home with features you didn’t get in your first home?
  • Do you have a growing family and need more room, a larger yard, a better location?
  • Are you tired of making constant repairs on your existing home and want to buy a new home with new systems and appliances?

If you answered yes to any of the above questions, you would be considered a move-up buyer. These are just a few of the reasons people decide to buy a new home, so whatever the reason, check out this move-up buyer guide and use it as a roadmap for a smooth transition to your next home.

 

Getting Started

  • Which comes first, buying or selling?

    If you can afford to buy a new home before selling your current home, that is usually the best approach. You won’t have much leverage when buying a new home if the sale is contingent on the sale of your current home.
    One determining factor in making that decision would be how quickly homes are selling in your neighborhood. If they are only staying on the market for a few days or weeks, you could be confident in buying you next home first. However, if you live in an area where homes are taking 60-90 days or more to sell, you may need to consider selling first or finding a service such as Zillow Offers to buy your current home. With Zillow Offers, you don’t have to do repairs or painting of your home to sell it. You can even pick the closing and move-out date to fit into your schedule.

 

  • What is driving you to buy a new home?

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How much does it cost to build a house?

Or –  A Home Builder’s Most Challenging Question

 

Chattanooga home builder Core Homes blog post image house in framingHow much does it cost to build a house? Followed quickly by, “How much per square foot does this home cost to build?

A good home builder winces when a prospective home buyer inevitably asks this question. Not because they don’t want to be transparent or try to hide anything with their client, it’s just not a good way to look at the cost of building a new home. Confused? Let us explain.

 

Could we give you a per square foot cost? Of course, we could. But that cost would be for a bare bone home, floating in the air. Cool idea, but Core Homes does not – at this point – build homes that float. Even if we did, it would have to float above something, and that something would have a cost involved. But we digress.

 

Here is a great analogy: Let’s say your daughter is getting married. Your neighbor’s daughter is also getting married.
Both young ladies want their weddings to be held at the elegant Edwin Hotel downtown. Both weddings will have approximately 100 guests attend. 

Your daughter has 6 attendants, wants a wedding room full of fresh flowers, a sit-down dinner at the reception with a live band, and a dove release as she and her new husband leave in a horse-drawn carriage. 

See where we’re going with this?

Your neighbor’s daughter has 3 attendants, wants fresh flowers at the altar, will have a delicious buffet reception with a popular DJ. She and her new husband will leave the hotel in his shoe polish and balloon decorated car with guests holding sparklers.

Both ladies will have beautiful weddings at The Edwin Hotel. But did both events cost the same per guest? No, obviously.

 
So, what are the variables that go into the cost to build a new house?

 

So many variables go into determining the cost of a home, any home for sale, but more specifically, new construction homes.

First of all, the area the home will be built in is the first variable to consider. What are similar homes selling for? What is the current average home value of a home in the neighborhood you are considering building your new home? Is this neighborhood a highly sought-after community? Does it have nice amenities, good schools, a good HOA?
Location, Location, Location is not just a cliché!

 

Secondly, the actual homesite your home will be built on, is it nice and flat? Will the builder need to grade a great deal to make it buildable? Will there need to be a retaining wall built? Does the slope necessitate a basement or crawl space?

Is it a premium site within the community? Is it on the water, or does it have a great view of the mountains?

All these things will put a site premium on a piece of land.

Consider that two identical homes built on different sites, even within the same community, on the same road, could vary a good deal in price because of site conditions.

 

Chattanooga home builder Core Homes blog post kitchen

Now we come to your lovely new home.
You’ve picked the perfect home plan – you love it. Of course, you want it to reflect your unique tastes and lifestyle.

Will this be a forever home? You will want to consider widening doorways and having zero entry showers. Everyone needs a home office or “Zoom room” these days. Adding glass, double french doors to the plan’s formal dining room to add privacy will be an added cost. Perhaps a boomerang child or an elderly parent will be living with you so you need a closet added to a study downstairs. Or you just fell in love with quartz countertops instead of granite. The list goes on. Rarely do home buyers make no upgraded selections or structural changes to existing floor plans. Getting your new home perfect for you, comes with some costs.

 

But does every home buyer pick the same changes or upgrades? No, of course not. And that is why, along with the other above-mentioned situations, will always factor into the total cost of building a home.

And that is why it is nearly impossible for a reputable home builder to quote a square foot cost upfront.

 

So, where does that leave a home buyer when considering building a new home?

 

First – and most importantly – talk to your mortgage lender partner first. If you don’t have one you do business with already and trust, ask builders. We work with many lenders, local and otherwise. We can give you some options to shop.

Once you know what loan amount you are pre-approved for, you can start looking at areas you want to be in and which builders are building in that area.
Know your timeframe. When do you want or need to be in your new home?
There are many variables that go into build time. Some variables a builder has no control over, like 3 months of rain and below-freezing temper atures. Sounds extreme, but it happens. The current supply chain shortage is another example. Who knew it would ever take 6 months lead time to get garage doors? Know your timeframe but realize you’ll probably need to have at least some flexibility.

Chattanooga home builder Core Homes blog post design center

Also, take time to make a list of your “must-haves” versus your “would likes”. Sitting down with a designer in a Design Center can be a little overwhelming. Thereare a lot of choices, a lot of beautiful choices. You’ll want EVERYTHING! Know what you’re willing to spend money on, and what you aren’t willing to increase your budget over. But don’t panic. Communicate with your Realtor, builder, and designer and we’ll help stay within your comfort zone. We’re here to make building your new home a great experience.

 

To Wrap Up – What does it cost to build a house?

If a builder gives you a square footage cost to build one of their homes, be wary. It will always be a bare-bones cost. If a builder sells with square footage cost, they see their homes as simply a commodity – a product. Price is the only thing they can compete on with other builders.

That is not how Core Homes views their homes. We create living spaces. The foundation and heart of your life.

Talk to our people. Visit our Design Center. Look around our website and social media pages. Get to know us and how we do business. You’ll find we want to build your home with you. We will work with you to create a home that you absolutely love and is within your investment comfort zone.

 

We believe in Home & Life – Well Lived!

 

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Why 2022 is the Year to Buy New

Choose Chattanooga home builder core homes blog pic  choose chattanooga home builder blog pic  choose chattanooga home builder blog pic

The 2022 Choose Chattanooga Relocation Guide just hit shelves last week. You don’t have to be a Realtor or a home builder to know that the Scenic City has become a mecca for folks escaping the high costs of living, cold-weather, or impossible traffic.
The pandemic has changed how people live in their homes – and a lot have found their current homes can’t provide the flexibility and livability home life now demands. This blog, published on a fellow home builders site, emphasizes why building now is the best option to get the most function, enjoyment, and return on investment in a new home. Give it a read.

this post was originally published on dreamfindershomes.com
If you’ve been on the fence about buying a new construction home, there are plenty of good reasons to finalize your decision sooner rather than later. The main motivating factor should be that home prices are not expected to decrease any time soon; they are, in fact, projected to increase for the foreseeable future. Interest rates are also still low compared to pre-pandemic rates, though these, too, will begin to rise (as they have already).

Prices and Rates Expected to Climb

Going into the new year, there is certainly less volatility in the real estate market than we saw in 2020 and 2021. Then, prices were increasing at breakneck speed as demand shot up. All we heard were stories about bidding wars, waved inspections, and even waved appraisals as buyers brought cash to the closing table. Now, as demand cools, home prices are, too. But if you think they’ll start decreasing anytime soon, you may want to re-evaluate.

Zillow predicts home prices will rise 14.3% in the next year, and much of that has to do with the cost of building products and supplies. Lumber, while much more available than it was a year ago, continues to cost well above what it did pre-pandemic, and those costs continue to creep up. The same is true for just about every component of a home — from flooring to HVAC systems to paint. As with housing in general, the demand is just too high as manufacturers struggle to keep up, and prices reflect that.

Demand for new houses isn’t letting up anytime soon. The U.S. currently has under built housing by at least 5.5 million homes. Even as the pace of building picks back up, it will take five or six more years before supply and demand level out, continuing to buoy the price of homes.

Still-low interest rates are also a great reason to buy a new home now. Even with higher home prices, today’s low rates help to keep monthly mortgage payments reasonable for home buyers. And if you have a certain budget that you must stick to, the ability to afford a larger home is an added perk of low interest rates. But they won’t stay low forever, and are predicted to rise substantially in 2022.

Now is the RIGHT Time to Build

Chattanooga home builder custom home builder Core Homes home plan image Chattanooga home builder custom home builder Core Homes home plan image Chattanooga home builder custom home builder Core Homes home plan image

If you’ve been in “wait and see” mode for the last few years, you’ve probably looked extensively at floor plans and chosen one or two that would be perfect for you and your family. And chances are you’ve identified exactly where you would build your new home. Now is the RIGHT time to start the process, while the communities you like still have availability and the interest rates are still low.

Connect with us to learn all about new home financing, our proven process, and how you can start building your dream home today.

 

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