Home Construction Cost
Before you dive right ahead and get in way over your head, you need to make sure your budget can cover the cost of building your home.
Building a house is a worthy investment but the costs to be incurred are no joke. Whether you are newlyweds starting to build your own family, or a retiree who wants to have a second home, the first question you should ask yourself is, “Can I afford this kind of house?” Thus, it is important that you conduct your own research in order to make a guesstimate on how much the whole project would cost you. Settling down in a Vermont house would give you the luxury of combined contemporary and old world feel plus the convenience of urban dwelling in semi-rural areas. If the price is right, home construction could be very well attainable. Learn how you can get the best deals out of Vermont home builders.
Search and call local home builders
Simply start off by doing prior research. A simple Google search will do. Look for local home builders in Vermont and make calls to schedule an appointment. Ask the contractor important questions such as their quotation on the cost of the whole project, the breakdown of expenses, the number of laborers, and insurance matters. Make sure that the insurance is already inclusive of the whole project estimate because this will protect you from any damages caused by calamities or any accidents that may occur on the site.
Learn how to calculate per square foot
Most, if not all, contractors set their price on the basis of the overall square foot size of your house. The measurement starts from the floor plan and not the lot area. To get the cost estimate, deduct the lot’s value and divide the result with the house’s total square foot measurement and then multiply the number with the rate of your home builder. However, when you choose to make some adjustments and alterations to the original floor plan, expect that the contract price will increase to as much as 60% depending on your preferences. If you opt to just download a generic floor plan design from the internet, discuss any necessary and preferable alterations with your Vermont house builder and find out how much it would cost you to do this. Some of the factors to be considered are the construction materials to be used and the duration of the project.
Size and shape matters
Whether you believe it or not, the size and shape of the house are significant considerations in terms of estimating the cost. The usual rectangular or square-shaped house may be less expensive than with other designs primarily due to labor factors. The consumption of construction materials also differs when there is a change in size and shape of the house.
Inflation rate and market value
When the market value for Vermont houses increases, expect that the rate of home builders also rises. But this does not necessarily equate to the value of your house at the present, and even future, time because it will only be determined through fair market assessment. However, expect that there is a 3% to 6% annual increase for home builder’s rates.