Are you planning to build a home this year? Have you thought about modular construction? The 5 Biggest Lies About Modular Homes: th-cam.com/video/IEEY3GbOy6M/w-d-xo.html
I was looking forward to look into purchasing a Modular home; it seems as if these don't offer specific items we will need/will be needing. That upset me, because those homes are so beautiful.
I'd like to hear your take on the future of private home ownership as the trend shifts to home rental properties. The last 2 homes in my neighborhood were sold to corporations and will become home rentals. This I understand will be the new trend, especially as the government makes it harder for homeowners to purchase private dwellings in future.
I bought 25 acres back in 2012. I drew up a house plan on "Paintbrush". I started building in the fall of 2019 and finished building in the fall of 2021. A buddy of mine, who had built houses in the past, and me took 2 years to build my 1740 sq ft house. Pain in the ass being your own project manager GC and construction crew but was done my way and no one shady people involved. You dont get a warranty when you build your house but if you built it right. You wont need one. Im 1 year into living in my new home. So far, so happy.
I hear ya! I also designed our home. We have about 2 weeks left until finished. Side note: You CAN get a structured warranty. We are getting a 10 year warranty, but it does require 3 inspections: pre-pour for foundation, pre-drywall, and final inspection. You have to send the inspection reports within 30 days of the final inspection. Owner-building is definitely not for the faint-of-heart, but in the end, you will know your house like the back of your hand!
I don't want to come off sounding negative but today's society most people have no morals or integrity no matter where you go whether it's to a car dealer home builder furniture store supermarket whatever even most relationships are built on lies the world has changed much since my father's generation where a man kept his word handshake sealed the deal where marriage vows actually meant something and that the truth thanks for your content have a peaceful evening
@@Drunkenvalley most people haven't changed. The world they grew up in didn't teach them to be honest when no one will ever find out, and to do the right thing even when it hurts. Neither of those are easy things to practice so most people don't. They are just doing what people do who don't believe there is an ultimate moral authority.
You missed we follow building codes. Most of the building codes are half baked.They make building stand straight but not maintain integrity because a small water leak can ruin the building which these codes wont address.
Just absolutely incredible advice here! Kristina you nailed this video! As a builder myself I am very happy for you to be educating people. I want my clients to always be happy and I want to provide them with the best value I possibly can. Bad builders are running amuck of the industry and we need all the help we can get to educate people so we can weed them out. Thanks for being awesome and speaking the truth! I totally agree that any home owner that doesn't have construction knowledge to hire a construction manager to represent them. Perfect way to build!
Would you mind if i asked a question? How do you find a reputable contractor or construction person? what if you don't know anyone that knows anyone? Thank you
@@masonrain9977 The best thing you can do is first search for local listings. Pre qualify contractors based on what work you need done and the reviews you can find about them. Put together a list of at least 3 companies and call them for quotes. If they ask for money up front that is a red flag but some companies just want a small deposit and that is okay but no more than 15%. Get the 3 prices in and drop the bottom one immediately and consider the top 2. The more contractors you can pre-qualify and get prices from the better. Don't feel bad about getting someone out to quote a job that's part of the game. You want to feel comfortable and communication is very important. Depending on how big the job is a contract is recommended. Even if it something that states schedule, cost, warranty and payment conditions is good. You want someone who is clear and not bothered by contracts or disclosure of information in any way. If you live outside a major city and your options seem limited try to find at least 1 outside contractor that services your area! Please if you ever have any questions about finding contractors don't be afraid to ask me! You can find me here on TH-cam pretty easily!
The general rule is, don't EVER get involved with a company/pro from an advertisement, drive by, google search, etc.. As you would expect, the referral system is king here. Also, only referrals from trusted sources who have prior working experience with the company or pro. Most, if not all online reviews aren't real.
If you go through a model home, bring a tape measure. The furniture they use is usually smaller size than most people have. This makes the rooms look bigger, like the smaller beds.
I told my sister to not do this for this very reason. They used that money from the latter buyers to fund the first buyers that bought in. By the time they get to you there is no money left and they keep all monies. It is a scam. Pulte has been in litigation for years for practices like this.Thank you so much for doing a video on this.
@@KristinaSmallhorn they are, and have been, one of the countries largest builders been building junk for 70 years. They had their license revoked in Michigan in the 90’s for 5 years.
That was the Elizabeth Taylor edition. Elizabeth had autographed the warranty papers! The Lowes or Home Depot versions have no autographs, that is why they are cheaper.
A cast iron tub (yes, they still make them) can run that much easily. If you want one, be prepared to spend at least $3k-$4k on the low end unless you get lucky with a salvageable scrapyard find.
@@wwm84 The plastic, cheap tubs take about 5 minutes to clean. We are renting an apartment with an old cast iron porcelain tub. Clean it? You had better have gorilla arms and shoulders (and lots of time on your hands) to scrub that thing clean; especially if you have hard water. I am actually going to have to contract out the cleaning. And don't tell me about all the fancy cleaners...they don't work
How else do you think the plumbers make money? The contract goes to the lowest bidder. If you aren’t ready to cut corners or add extra charges during the job you will be working for free. That’s construction for you
I own a painting contracting company (specializing in homes over 4,000 and up to 28,000 square foot. and can attest that most builders can only be trusted as far as you can throw them
America really needs more concrete and masonry homes. They may be slightly more expensive to build in the short run, but they last a lot longer, they're more fire-resistant, and they don't have as many issues with termites and water damage. Plus, they can survive floods, hurricanes, and other natural disasters with little to no structural damage. Wood construction has its uses (framing interior walls, building decks, etc.), but in places where rain, fire, termites, etc. are an issue, masonry construction may be a better idea. I won't be surprised if these new cookie-cutter houses need to be replaced completely in 30 years, whereas masonry buildings last hundreds of years!
Masonry and/or concrete homes aren't "slightly" more expensive. They are vastly more expensive in all areas of construction. It's not economically feasible for the majority of most potential buyers. A wood framed home that's properly built can last 100 years. They exist now.
We have more wood frame homes in America because wood is what’s plentiful here. In California, and other earthquake-prone areas, wood is best for a house. We also don’t have any hurricanes or many bad, wet storms. Wood flexible and doesn’t hurt quite as much when it falls on you. Termites are a problem, but not with kiln-dried wood. It’s pretty rare to find kiln-dried wood these days. It’d be better if we demand kiln-dried wood. It’s so strong.
I just built a masonry block home. I put in plenty of large energy efficient windows, a metal roof, on demand water heater. My homeowners insurance is much less expensive, my utility bill has never been higher than $70/mo. It has porches on the east side and west side, the sun doesn't beat in. I always built wood frame houses in the past, in Florida, there was no option but masonry in the hurricane zones.
My dad didn't build his own house, but he built his own airplane! From 1966 to 1971. It took him 5 years to build it. He flew it all over the U.S. We moved from CA to TX to MI and back to CA again, & he flew it to each new state. It was an open cockpit EAA biplane. He died 19 months ago & we gave it to the person who owns the airplane hanger where he last stored it.
My sister almost bought a house in a development and I was looking into it. Both of us didn't do it because it just felt off in the negotiations. All I wanted to do was purchase the lot before we started talking about the build, and neither time they were willing to budge. And when I asked why they never gave me a clear answer. So we walked away.
I see 1 mill and over homes being built all the time. One thing I always notice is how poorly they are built, and the quality of the materials they use is shocking.
@@brianjohnson6053 I know, right? Not only is it predatory, it's such a waste of materials, money and land. I feel bad for the buyers because very few people know anything about construction.
It's pretty sad how cheaper the materials have gotten yet people continue to buy these homes at increased prices. Particle board for the roof and walls now being one example. All for increased profits for the builders.
You're right about the upgrades. I compared the builders price with Home Depot's price for the exact same items and the Home Depot was almost half the price the builder was charging. This was for the same make and model. For example $1200 for all upgraded interior door handles. Home Depot had those exact same door handles for $25 each. I didn't look up everything, but after looking at about 5 different items and saw the builder was significantly overcharging I standardized everything with their design center. I will enjoy doing those home projects myself.
A homebuilder did this my parents in Austin, sold the house out from under them and no recourse. The builder used the upfront funds to start the building and after sent them back.
First time buyer, and building, we have a great realtor and it has payed off. Everything is documented via contract addendums and any little change has its own addendum. The most annoying thing has been a lack or slow communication back from the builder on questions after we chose all of our finishes
When we built a semi-custom home in Michigan, we hired a lawyer to go over our contract. We are so glad we did it! You are right there were loop holes! They burnt my tub when the plumber was hooking it up. We were stuck with it! The windows were another story, trying to sell us inferior windows… ugh! I now buy a newer built, less headaches-lol!
Many of the Track home builders are not licensed builders! Ask to see their license! Many of them don't have a clue of what they are doing! I just call them schedulers because all the do is go by a schedule and make calls to make sure your gonna be there!!! I also love it when someone says we built a custom home in so & so subdivision, I tell them nope, you have a track home with upgrades!!!
I laughed at the “custom home” part of your comment because I hear that daily. We do have a lot of custom homes here but they are becoming less common.
Most new home builders don’t care about quality or long term resilience of materials. They are doing the minimum, using the least amount of materials as possible, and in a lot of cases just doing patch work. On top of that they keep raising the prices every 2 weeks.
I am building a new house. The builder had me all my house and give a deposit to start building my house. I held up my end of the bargain but the builder is refusing to build my house. They are building other people house that came after us. It’s been 8 months and we have an empty lot with no progress. They keep making excuses that make no sense we have requested our money back and they are refusing to give me my money back. Things are absolutely crazy.
Excellent video. We built our house 15 years ago and the builder was difficult. Never again. We will act as our general contractor if we try this again.
Hey anyone listening. If your doing a new build go to an area outside the cities or inner city warehousing and go in an ask for clearance stuff. Piece together a kitchen and two bathrooms worth of fixtures. Get cabinets tables chairs trim can all be found at a discount. Remember you can buy blue trim cause your going to paint it anyways. 😉
I learned my lesson with real estate agents. My agent made 18k off a property I paid 300k cash for. The last purchase we made was 240k and we paid 1k for an attorney. We were protected for less money. If you have cash? An attorney will do.
Kristina, I like how you anticipated them rough handling the tub and are proactive about protecting yourself with evidence. I would have done the same. Great content!
"Not all homebuilders do this". My wife and I are in the middle of building the second house we've had built. Of the two "highly reputable" builders we hired for these projects, 2 out of 2 were like this. All of them we've dealt with seem to have the grifter gene.
@@seanm3226 We didn't write the contracts. We didn't bait and switch. If we demanded to have control over these things, what do you think the chances that we could find a builder would be? We've had far more positive experiences buying cars over the years. They've never removed the nice wheels, pearl paint or leather seats and then said that the contract allowed them to do it. They've also never said that we'd have it in 3 weeks and it took two months. And they've never said "we need more money" after signing the contract.
We are trying to build via owner-contractor. We have our land, septic installed, financing in place, and most of all our estimates. We can not get a foundation/excavator so we can get moving. It has been so frustrating during this time. We have to build soon because we have a kid in college and don't want to loose her financial aid because of assets. I love your videos.
Went through that helping a friend with a kitchen remodeling! I told him to contact the state contractor licensing board, and when they did, the contractor made things right !! Contractor was also threatened with a lawsuit!
@Sayin wat just about every state requires the documentation of work done on a house, especially when it gets put on the real estate market, also seller needs to offer a home inspection, in most cases, and have to disclose all problems!
Hey Kristina! Great Video with very useful information. It's really a shame what Coventry Homes did to that couple. Your idea of being the general contractor to build your own home, is what we are going to do. My husband did this before when building his parents home. He's a carpenter and what he doesn't want to do, he will hire that out. The builder with the website on how to do this, is really a great idea. Since houses are just way too expensive, a lot of people are going to have to do it this way. The houses out there right now need a lot of updates too, so if we're going to do all that, why not just build a new house?👍
Being your own GC is not for the faint of heart. It can be a full-time job depending on how big your home will be. How much do you know about the permitting process? Do you know how to schedule your contractors and how to manage them so that when contractor B is scheduled to come the property is ready for them? If it isn't they move on to the next job and you might not get them back for a week or a month, causing a cascading effect on all your other trades. Do you know how to collect the proper lien waivers? Self GC'ing can save money, but do lots of research on the process and think hard about the value of your time and sanity.
What a disaster, the fed/gov is at total fault feeding this mania. Let the market set the rates. Dallas is up over 30% in price and the surrounding area as well. TX has gone nuts period. Rural areas are almost selling for double in some places. These people flooding here need to get we have 3%ish property taxes
Last time this happened, it was a set-up for a huge fall. Be careful, especially with the middle class jobs evaporating and the automation coming in increasingly.
Prices are up all over Arizona and we are figuring it as for the California people taking their insurance money and coming here to buy up property. If you think there's not enough houses then reconsider why there are so many people that possess more than one residence. The wealthy are buying up all the property and keeping it empty, leaving the rest of us to fight for the dregs.
I love that you were onsite taking photos of things as they were being delivered. I wish I was doing that / could have been doing that. COVID lockdowns etc. I think that is very important for anyone building a house. Take photos and document everything because the builder (Most of them) will take no responsibility for things that get damaged or stollen. I would install 4G CCTV camera to watch if I ever built again for sure.
No appliance, that I’ve ever heard of, comes with a 5 year manufacturers warranty. I sold them for years and the longest I’ve ever heard of is 2 years, and even those are rare.
@@DisabledVet317 there are others like Riccar that have longer warranties depndant on product line. And most are built like tanks compared to alot of the box store stuff
@13:52 depending on what the rules are where you live, look for a draftsman to do up a set of custom plans for you. In Canada for example, as long as the build is less than 6,700 sq ft and no more than 3 storeys in height, an architect is not needed at all. Architects get paid off a percentage basis so if you build a $1,000,000 home, that architect is going to take 35-50k or more for that plan set... as a draftsman myself (who also studied Civil Engineering in college and worked for an architect for a time) who runs his own drafting and design business, I have personally designed houses in the 700-850k price range and it costs *maybe* 10% of what an architect would charge. Be smart with your hard earned money!
Built our custom home after years of buying tracts and "fixing" them up. Discovered our builder was cutting corners and passing them off as something else. For example: We paid for oak flooring, what was delivered was cheaper pine to be installed that week. Luckily a savvy relative stopped by the build and called us immediately. We contacted the builder, he said it was an "error" and the delivery address was mixed up with another project. We heard that too many times on this build. Always have photos taken of the progress of your build and never do what we did, built from out of state. It's a license to....ahem...get other projects mixed up with yours.
I really appreciate your honesty, and your videos are very informative and helpful. I would add this one piece of advice, get both a real Estate agent, and an attorney! Make sure that you share all the information with them.
My windows are under warranty for 25 years (Cascade Windows)! Crazy. Wished someone told me about taking a photo of things before they were installed, so many things in my house came in fresh & ended up installed dented & scrapped up before I use it myself.
On the flip side, as a builder, I get clients all the time that scratch things as they move in, and then claim that it was like that before-hand. This is why we walk the homes with them before closing, fix all the dings, and then let them move in.
Very informative. This is the type of information everyone that’s buying a new home needs to know. Lately I have been seeing a lot of unlicensed new home reps. That’s something to watch out for.
We got ripped off by D.R Horton . Two years ago , they said we had to sell our home immediately in January and wanted us to drop our price from $250,000 to $229,000 . The winter market was slow at that time and we knew the house would sell for much more in the spring. So , they stole $4,000 from us and gave us a bunch of nonsense. The house we were building was immediately sold for an extra $15,000 and didn't get finished until May .
My builder just told me I have no options on paint for a 900k house. I get an off white like it's the 80s. They are blaming Sherwin-Williams on not having supply
Can you share more details of building a house on your own...Loved the interview with Mike, would love to see a in-depth review of his home building process.
The builder has a warehouse where they buy in bulk the regular and upgrade styles of cabinets, flooring, appliances and any other finishes. They’ve already purchased them because these upgrades are considered in stock items.
having a semi-custom home build now and not happy with the builder who makes us feel like we're bothering him whenever we ask questions or have requests. Had I known about the Open Book source, I would've gone with it.
most people don't read contracts or have legal documents reviewed...you need to know what legal remedies are available and how well they'll hold up if you're forced to pursue them.
Do these builders not realize the damage to their reputation they're doing? Throw people under the bus for greed, okay... and if/ when it becomes a buyer's market again? What will they do when they're begging for homebuyers to trust them? They're thinking too short term and not about the future.
Knockdown texture is one of the cheaper ways to finish drywall. Home builders upsell it making more money on a cheaper finish. The smooth Wall when done right is the most expensive. Think about it bumps and irregularities on the wall will hide a lot of imperfections. To make a knockdown finish you first spray mud on the wall as if you were making an orange peel finish. Let the orange peel set for a while then drag a knife over it at a flat angle knocking down the high points. Very little extra cost.
House Appliances has a one year limited lifetime warranty from the manufacturer unless you buy an extended warranty then you can buy 3 to 5 years warranty but then the one year warranties will be voided, 5 years. Not 5years + 1 I explained, once you buy extended protection plan you give up the rights of that one year manufacturer warranty that was given for free.
It's really interesting that realtors encourage home sellers to gouge buyers with overpriced inflated incidentals as well. The more money the home seller gets the higher the realtor commission. Gee Mr. Smith I see you have a new fridge with an ice maker you should ask for an extra 10,000 for the house. When my parents bought their home in 1989 before the gouging begin, they bought the house without major appliances saved a bunch of money and bought newer better appliances then what the seller had.
This is not accurate as a Licensed realtor I can assure you that used appliances do not Really affect the price of an existing home. Because some appliances aren’t staying with the home also they are available on the used market for a fraction of the price. In addition as realtor over pricing a home does not benefit us because if the home doesn’t sell in the first 60 days it can lose up to 20 percent average days on the market right now is about 12 days . Our job is to get the best price and conditions for our sellers. We are often dealing with sellers who have unrealistic ideas of what their home is worth. It’s our job to show them where their home sits in today’s market .
If you think a seller is asking too much offer less. When I sell my home I am going to ask as much as I can and maximize my net proceeds to allow me a bigger budget for my next home or a bigger down payment so my mortgage is smaller. I don't owe you or any other buyer squat pricing wise. I don't have to price my home to be more affordable for you, I am not a charity. If you don't like the price, go elsewhere and stop whining about my 'greed.'
@@RandomGuyDan you will see the effect when go to buy the new house and a bidding war starts. Or when your kids have to move out of state to buy a house. It is fun to be a grandparent who only sees the grandkids twice a year.
@@RandomGuyDan as usual, your blind greed assumes that your "next home" will stay at same price.... Have you considered the seller of your "next home" will jack up the price on you? And the the domino effect continues ..... And soon you can't find your "dream home" either?
The big lesson is - get everything in writing. It isn't just the Contractors, it's the realtors they hire to peddle their homes. Don't rely on what they tell you, You have the right to modify contracts, and make sure that all changes are initialed. And remember: yes, the Contractor can charge outrageous prices for appliances and bathroom fixtures, but he is also paying a premium right now for shipping. And beware of being your own contractor. It's a pitfall. But if you do, get an architect to guide you the process, set a budget and a contingency amount. You'll get in trouble if you add extras without considering the cost - before you know it, you've blown your budget. Caveat emptor!
Honestly this is why I cant do things traditionally, never did, never could. I like unusual things, and doing thing my own way. That way...seems to always work for me. People feel more responsible for how they behave when theyre at the edge of things, strangely enough. Also, pretend to be really broke.
This happened to a friend of mine, 6 month down the line getting ready to move in..and they hit them with a wood shortage and the raised the price of the home and told them to either pay the new price or they would return their earnest money plus $500 dollars...
Question: when building a modular, do you have to use their appliances / bathtubs, etc? Or can you purchase your own seperately? My son works for Home Depot & we'd like to purchase our appliances using his discount.
Thanks for the advice Kristina and Mike and just in time. Looking at buying spec's for AVRame A-Frame home, but don't want to hassle with getting a permit from the county. I called them and could not get an answer on whether or not a person can build an A-Frame house within a community. However, with the spec's of an actual house, this should not be a problem. So, thank you both for providing an alternative to the housing market debacle.
Among the things I am aware of is the proclivity of home contractors' houses to have elaborate additions provided by the "overages" that you paid for when they built your home, that they "adjust" into the job.
Thanks Kristina! Your advice is pure gold and greatly appreciated! And your guest was super cool! What a great resource and fantastic way to save money building a home!
This has been an issue with home builders since the beginning of home building. Be real, if its human beings involved the probability of corruption is ten fold. But thanks for sharing what the majority already know so you can get paid for sharing on social media. Best wishes.
Worst of all they talk you into using them for your mortgage without telling you that A) It's not required B) They can't lock your rate long enough to protect you in the event rates increase and they don't complete your home within that rate lock window. I'm a mortgage loan officer and see this all the time and consumer's monthly payment are $200-400 more by the time the build is complete. Dont finance through the builder. Find a bank or lender that can lock your rate up to a year! Especially in today's market.
Building your house is very stressful. Two of my friend got divorced during the process because of problems with the builder that then trickled into their relationship. Also, builder tend not to be completely honest. It's a shady business whether you are building in Thailand or USA. Try to find one already built.
If I had my druthers,my first choice would be to buy a house that's already built on the amount of land that I wanted. The second choice would be to buy the land that I wanted and have a modular home set on it. The third choice would be just to rent something, since I'd never want to go through the building process. 🤣🤣
@@esmeraldagreen1992 Yeah...that happens, but the tenant also has the option of leaving after the yearly lease is up. Once you get involved with a builder, there are all sorts of legal problems if you have trouble with the construction. Older people should buy a house that's already built instead of getting involved with contractors and builders...unless they can absolutely trust who they hire or have plenty of experience in dealing with the construction trade.
One thing about what Micheal is saying about that 25% profit margin. Is when you look for foundation to Eletric Those subs will charge you more for one build. So for instants, say a builder that builds 25 homes a year pays 20k for a foundation. As a single time no experience will get charged I’ve see double if not triple that. So that savings you think you are saving isn’t there and you probably actually spend more, let alone the extra length of time that the interest on your construction loan. Please make sure that you put these details in your conversations. Benefits of doing your self is you can customize what ever you want and the pride of saying you did it yourself. But it will come at a cost.
We will be building a home in NC; we will be converting our Land Loan into a Construction Loan; I have researched that the construction Lender will pay directly to the contractor as the home is being build and inspected every step of the way...Do you recommend to get a realtor attorney regardless of how detailed and specific the Lender will be during the home construction?
Usually they won't even let you bring your own products, if you don't want their upgrades, you'll have to wait till they finish, then change it yourself.
What happened to Capp homes? In 1978 my husband and I built a pre-cut home in in Auke Bay Alaska that was shipped out of Seattle. Everything including appliances was shipped to us. Cost about $65,000 with labor to prepare the lot and foundation. Only one set of items was incorrect - roof beams had the wrong angle cut.
Builders mark up upgrades, say what? It all depends on what you want. I didn’t pay for a lot of the finish upgrades. I work as a remodeler and can do a lot of the upgrades myself. Some people don’t think they can do this, but it’s not true. Go pick out your own faucets, lighting, hardware, etc… and hop on TH-cam to learn how to install it. You will feel great and your neighbors will notice the difference. On building your own home… there is a lot of stuff to do, and if you don’t have the knowledge, expect to spend time learning it. Home builders cut that time down with expertise and should be allowed profit to do so. Oh, they’re making a 25% gross profit margin? And… what’s your point? They are accumulating the risk/liability too. They don’t get paid until the home gets the C.O. after inspection, and the bank sends them a check. They have losses too, and that profit covers those situations. All and all, if you want a home there are many options, and you can have whatever you want, it just costs money.
I wish I had known you 14 years ago when we were searching for the home we currently live in, which was a brand new build. I had no idea about the separate warranties being on windows and appliances in the home. Do you happen to know how I would go about finding what the warranty is on the windows in our home? This is such invaluable information. I am saving this video. Thank you! ♥♥♥
open then window and look for labels on the inside, then look on line for the name, address, phone number. the window will have model number for info and warrantys
@@redlikewineagain697 your welcome I had the same situation, and that is how I did it and it work builders name was there and two windows were replace free.
When you purchase at a big box store, you are getting a cheaper product, for example Delta facets are plastic inside from HD when you buy from a reputable supplier they Delta are brass and copper a big difference
I just had my house built (closed in January). I locked in price right before lumber shortage and my builder (Taylor Morrison) had every right to jack the price up but they didn't!!!!!! Taylor Morrison for the WIN!!!!!
Just bought a SPEC house... not built yet... 20,000.oo worthbof preselected upgrades so buying it as is... but again, it isn't built yet. Closing is Jan 2022. I HOPE
Are you planning to build a home this year? Have you thought about modular construction? The 5 Biggest Lies About Modular Homes: th-cam.com/video/IEEY3GbOy6M/w-d-xo.html
Hello just on Business Insider News as the chilling housing cooling down has started as people are refusing these prices.
I was looking forward to look into purchasing a Modular home; it seems as if these don't offer specific items we will need/will be needing. That upset me, because those homes are so beautiful.
It's easy to sum up this video: "don't trust people."
And that's not a criticism. People should tell themselves that every day when they wake up.
I'd like to hear your take on the future of private home ownership as the trend shifts to home rental properties. The last 2 homes in my neighborhood were sold to corporations and will become home rentals. This I understand will be the new trend, especially as the government makes it harder for homeowners to purchase private dwellings in future.
@@crforfreedom7407 I actually did a video about this “Corporate GREED Is Causing Homes To Be Unaffordable” th-cam.com/video/ZHilgfybzDg/w-d-xo.html
Sadly doing business in general today is a war. You cannot trust anyone anymore.
i know, right.
That’s what happens when people replace morality with money.
Agreed
Unfortunately 😩
@Mike: My response was to "Peter." I think your response would be better suited to him.
Thank you for exposing an industry that has needed more scrutiny forever.
Thank you.
I bought 25 acres back in 2012. I drew up a house plan on "Paintbrush". I started building in the fall of 2019 and finished building in the fall of 2021. A buddy of mine, who had built houses in the past, and me took 2 years to build my 1740 sq ft house. Pain in the ass being your own project manager GC and construction crew but was done my way and no one shady people involved. You dont get a warranty when you build your house but if you built it right. You wont need one. Im 1 year into living in my new home. So far, so happy.
You finished your home in the fall of 2021?
He’s from the fuuuuuuuuture
@@TRAZ4004 he might mean 2020 😂😭
@@jbnbdar3528 Could be, but then he said he had already lived in the house for a year. He clearly perceives space-time differently than humans.
I hear ya! I also designed our home. We have about 2 weeks left until finished. Side note: You CAN get a structured warranty. We are getting a 10 year warranty, but it does require 3 inspections: pre-pour for foundation, pre-drywall, and final inspection. You have to send the inspection reports within 30 days of the final inspection. Owner-building is definitely not for the faint-of-heart, but in the end, you will know your house like the back of your hand!
I don't want to come off sounding negative but today's society most people have no morals or integrity no matter where you go whether it's to a car dealer home builder furniture store supermarket whatever even most relationships are built on lies the world has changed much since my father's generation where a man kept his word handshake sealed the deal where marriage vows actually meant something and that the truth thanks for your content have a peaceful evening
Message realtor Madison for guidance
Beautifully said. So true and thank you.
go innovative and sustainable, the community is better
It's painfully naive to think "most people" have changed.
@@Drunkenvalley most people haven't changed. The world they grew up in didn't teach them to be honest when no one will ever find out, and to do the right thing even when it hurts. Neither of those are easy things to practice so most people don't. They are just doing what people do who don't believe there is an ultimate moral authority.
Biggest Lies:
We don't take shortcuts
Our plumbers are competent
The appliances are top-end
The drainage is up to code
We stand by our home warranty
@@ShadyD365 Probably end up costing less over the long run.
@@ShadyD365 o
You missed we follow building codes. Most of the building codes are half baked.They make building stand straight but not maintain integrity because a small water leak can ruin the building which these codes wont address.
Just absolutely incredible advice here! Kristina you nailed this video! As a builder myself I am very happy for you to be educating people. I want my clients to always be happy and I want to provide them with the best value I possibly can. Bad builders are running amuck of the industry and we need all the help we can get to educate people so we can weed them out. Thanks for being awesome and speaking the truth! I totally agree that any home owner that doesn't have construction knowledge to hire a construction manager to represent them. Perfect way to build!
@Savior Structures So what do you think a reasonable net profit is for you? 15%? 25%? 100%?
@Savior Structures So reasonable for YOU specifically is above 25%?
@@OU81TWO it really depends on the job. If it's a long and hard job, best believe I will charge more.
Would you mind if i asked a question? How do you find a reputable contractor or construction person? what if you don't know anyone that knows anyone? Thank you
@@masonrain9977 The best thing you can do is first search for local listings. Pre qualify contractors based on what work you need done and the reviews you can find about them. Put together a list of at least 3 companies and call them for quotes. If they ask for money up front that is a red flag but some companies just want a small deposit and that is okay but no more than 15%. Get the 3 prices in and drop the bottom one immediately and consider the top 2. The more contractors you can pre-qualify and get prices from the better. Don't feel bad about getting someone out to quote a job that's part of the game. You want to feel comfortable and communication is very important. Depending on how big the job is a contract is recommended. Even if it something that states schedule, cost, warranty and payment conditions is good. You want someone who is clear and not bothered by contracts or disclosure of information in any way. If you live outside a major city and your options seem limited try to find at least 1 outside contractor that services your area! Please if you ever have any questions about finding contractors don't be afraid to ask me! You can find me here on TH-cam pretty easily!
The general rule is, don't EVER get involved with a company/pro from an advertisement, drive by, google search, etc.. As you would expect, the referral system is king here. Also, only referrals from trusted sources who have prior working experience with the company or pro. Most, if not all online reviews aren't real.
So True! Google "reviews" are fraught with self-reviews or unsubstantiated reviews that grossly inflate the caliber of service being offered.
Never buy a new home. Besides causing deforestation there are other environmental issues and other issues as well.
If you go through a model home, bring a tape measure. The furniture they use is usually smaller size than most people have. This makes the rooms look bigger, like the smaller beds.
Heather?
Great advice
I told my sister to not do this for this very reason. They used that money from the latter buyers to fund the first buyers that bought in. By the time they get to you there is no money left and they keep all monies. It is a scam. Pulte has been in litigation for years for practices like this.Thank you so much for doing a video on this.
I have heard that about that specific builder several times. I’ve even seen TikTok posts and TH-cam videos on them. So crazy.
Can you explain that again please? Fund the first buyers from the later ones? How can the money be kept? Thank you for the info.
Basically, ALL Businesses in the USA are Scams.
@@jenniferlorence185 that is not even close to being true. Stop with the lies!
@@KristinaSmallhorn they are, and have been, one of the countries largest builders been building junk for 70 years. They had their license revoked in Michigan in the 90’s for 5 years.
$6500 for a tub? It better be made of gold and signed by Elvis for that much.
Exactly!!!!
That was the Elizabeth Taylor edition. Elizabeth had autographed the warranty papers! The Lowes or Home Depot versions have no autographs, that is why they are cheaper.
A cast iron tub (yes, they still make them) can run that much easily. If you want one, be prepared to spend at least $3k-$4k on the low end unless you get lucky with a salvageable scrapyard find.
@@wwm84 The plastic, cheap tubs take about 5 minutes to clean. We are renting an apartment with an old cast iron porcelain tub. Clean it? You had better have gorilla arms and shoulders (and lots of time on your hands) to scrub that thing clean; especially if you have hard water. I am actually going to have to contract out the cleaning. And don't tell me about all the fancy cleaners...they don't work
How else do you think the plumbers make money? The contract goes to the lowest bidder. If you aren’t ready to cut corners or add extra charges during the job you will be working for free. That’s construction for you
I am fortunate to live in an all brick home built in 1928. Hope to be here when it turns 100 in just a handful of years. Old homes are best!
I own a painting contracting company (specializing in homes over 4,000 and up to 28,000 square foot. and can attest that most builders can only be trusted as far as you can throw them
America really needs more concrete and masonry homes. They may be slightly more expensive to build in the short run, but they last a lot longer, they're more fire-resistant, and they don't have as many issues with termites and water damage. Plus, they can survive floods, hurricanes, and other natural disasters with little to no structural damage. Wood construction has its uses (framing interior walls, building decks, etc.), but in places where rain, fire, termites, etc. are an issue, masonry construction may be a better idea. I won't be surprised if these new cookie-cutter houses need to be replaced completely in 30 years, whereas masonry buildings last hundreds of years!
Masonry and/or concrete homes aren't "slightly" more expensive. They are vastly more expensive in all areas of construction. It's not economically feasible for the majority of most potential buyers. A wood framed home that's properly built can last 100 years. They exist now.
We have more wood frame homes in America because wood is what’s plentiful here. In California, and other earthquake-prone areas, wood is best for a house. We also don’t have any hurricanes or many bad, wet storms. Wood flexible and doesn’t hurt quite as much when it falls on you. Termites are a problem, but not with kiln-dried wood. It’s pretty rare to find kiln-dried wood these days. It’d be better if we demand kiln-dried wood. It’s so strong.
I just built a masonry block home. I put in plenty of large energy efficient windows, a metal roof, on demand water heater.
My homeowners insurance is much less expensive, my utility bill has never been higher than $70/mo.
It has porches on the east side and west side, the sun doesn't beat in.
I always built wood frame houses in the past, in Florida, there was no option but masonry in the hurricane zones.
@@jupiter1217 stick houses are jokes
That’s Mexico for you they mostly build houses with cement
My dad didn't build his own house, but he built his own airplane! From 1966 to 1971. It took him 5 years to build it. He flew it all over the U.S. We moved from CA to TX to MI and back to CA again, & he flew it to each new state. It was an open cockpit EAA biplane. He died 19 months ago & we gave it to the person who owns the airplane hanger where he last stored it.
That's so cool
Sorry to hear your father passing
You’re dad sounds amazing. So sorry for your loss.
@@KristinaSmallhorn Thank you!
@@crowhomestead7552 Wow! He was an impressive guy ad a hero to boot! So sorry the war took him from you ad your family.
My sister almost bought a house in a development and I was looking into it. Both of us didn't do it because it just felt off in the negotiations. All I wanted to do was purchase the lot before we started talking about the build, and neither time they were willing to budge. And when I asked why they never gave me a clear answer. So we walked away.
I see 1 mill and over homes being built all the time. One thing I always notice is how poorly they are built, and the quality of the materials they use is shocking.
Saw dust and glue are acceptable building materials. Twenty years look out they will be unlivable slums
Have you ever seen any that aren’t?
@@brianjohnson6053 I know, right? Not only is it predatory, it's such a waste of materials, money and land. I feel bad for the buyers because very few people know anything about construction.
It's pretty sad how cheaper the materials have gotten yet people continue to buy these homes at increased prices. Particle board for the roof and walls now being one example. All for increased profits for the builders.
You're right about the upgrades. I compared the builders price with Home Depot's price for the exact same items and the Home Depot was almost half the price the builder was charging. This was for the same make and model. For example $1200 for all upgraded interior door handles. Home Depot had those exact same door handles for $25 each. I didn't look up everything, but after looking at about 5 different items and saw the builder was significantly overcharging I standardized everything with their design center. I will enjoy doing those home projects myself.
A homebuilder did this my parents in Austin, sold the house out from under them and no recourse. The builder used the upfront funds to start the building and after sent them back.
That’s awful. I’m telling you, in a year we are going to hear a lot more horror stories of builders being greedy and how it’s biting them back.
Bait n switch!!!
It’s your parents fault for signing a contract that is less than ironclad. I doubt the builder did anything that wasn’t allowed contractually.
They are getting away with the scam because many people don't read the contract
The world needs more people like you, thank you.
Absolutely!!! 🙏🏻
I build and flip houses for a while now and I can say that everything this woman said is true be careful especially with plumbers the most.
You Let's Play Apex Legends and this is the very first comment you've ever made.
@@awesomemantroll1088 ?
First time buyer, and building, we have a great realtor and it has payed off. Everything is documented via contract addendums and any little change has its own addendum. The most annoying thing has been a lack or slow communication back from the builder on questions after we chose all of our finishes
When we built a semi-custom home in Michigan, we hired a lawyer to go over our contract. We are so glad we did it! You are right there were loop holes! They burnt my tub when the plumber was hooking it up. We were stuck with it! The windows were another story, trying to sell us inferior windows… ugh! I now buy a newer built, less headaches-lol!
Was your lawyer able to do anything other than point out the loopholes? My builder’s contract was non-negotiable.
Many of the Track home builders are not licensed builders! Ask to see their license! Many of them don't have a clue of what they are doing! I just call them schedulers because all the do is go by a schedule and make calls to make sure your gonna be there!!! I also love it when someone says we built a custom home in so & so subdivision, I tell them nope, you have a track home with upgrades!!!
I laughed at the “custom home” part of your comment because I hear that daily. We do have a lot of custom homes here but they are becoming less common.
@@KristinaSmallhorn people don’t understand the difference
Most new home builders don’t care about quality or long term resilience of materials. They are doing the minimum, using the least amount of materials as possible, and in a lot of cases just doing patch work. On top of that they keep raising the prices every 2 weeks.
I am building a new house. The builder had me all my house and give a deposit to start building my house. I held up my end of the bargain but the builder is refusing to build my house. They are building other people house that came after us. It’s been 8 months and we have an empty lot with no progress. They keep making excuses that make no sense we have requested our money back and they are refusing to give me my money back. Things are absolutely crazy.
Sue them
Excellent video. We built our house 15 years ago and the builder was difficult. Never again. We will act as our general contractor if we try this again.
It is very doable. You'll save tens of thousands contracting it out yourself.
Saving 30 grand is worth some headaches.
Hey anyone listening. If your doing a new build go to an area outside the cities or inner city warehousing and go in an ask for clearance stuff. Piece together a kitchen and two bathrooms worth of fixtures. Get cabinets tables chairs trim can all be found at a discount. Remember you can buy blue trim cause your going to paint it anyways. 😉
I'm a home inspector and considering charging extra for new home construction because there are so many issues
I was A sub contractor for 8 years and she is speaking the truth I got out because it got so bad.
I learned my lesson with real estate agents. My agent made 18k off a property I paid 300k cash for. The last purchase we made was 240k and we paid 1k for an attorney. We were protected for less money. If you have cash? An attorney will do.
Yeah...they thought they were going to get us just a week ago. Today, was suppose to be our closing day.
Yea dude
Kristina, I like how you anticipated them rough handling the tub and are proactive about protecting yourself with evidence. I would have done the same. Great content!
"Not all homebuilders do this". My wife and I are in the middle of building the second house we've had built. Of the two "highly reputable" builders we hired for these projects, 2 out of 2 were like this. All of them we've dealt with seem to have the grifter gene.
Perhaps your next home should be a previously owned house, not a new one. Maybe you and your wife are the problem.
@@seanm3226 that's the dumbest thing I've heard today. They're the problem for building instead of buying used?
@@seanm3226 We didn't write the contracts. We didn't bait and switch. If we demanded to have control over these things, what do you think the chances that we could find a builder would be? We've had far more positive experiences buying cars over the years. They've never removed the nice wheels, pearl paint or leather seats and then said that the contract allowed them to do it. They've also never said that we'd have it in 3 weeks and it took two months. And they've never said "we need more money" after signing the contract.
Sean M You must be just another crooked contractor.
@@seanm3226 We've owned many of those as well. And never had any problems. Nope, the builders are the problem.
We are trying to build via owner-contractor. We have our land, septic installed, financing in place, and most of all our estimates. We can not get a foundation/excavator so we can get moving. It has been so frustrating during this time. We have to build soon because we have a kid in college and don't want to loose her financial aid because of assets. I love your videos.
Went through that helping a friend with a kitchen remodeling! I told him to contact the state contractor licensing board, and when they did, the contractor made things right !! Contractor was also threatened with a lawsuit!
@Sayin wat just about every state requires the documentation of work done on a house, especially when it gets put on the real estate market, also seller needs to offer a home inspection, in most cases, and have to disclose all problems!
Hey Kristina! Great Video with very useful information. It's really a shame what Coventry Homes did to that couple. Your idea of being the general contractor to build your own home, is what we are going to do. My husband did this before when building his parents home. He's a carpenter and what he doesn't want to do, he will hire that out. The builder with the website on how to do this, is really a great idea. Since houses are just way too expensive, a lot of people are going to have to do it this way. The houses out there right now need a lot of updates too, so if we're going to do all that, why not just build a new house?👍
I’d kill my husband if he attempted this but for a super handy person I definitely think it’s the way to go.
Being your own GC is not for the faint of heart. It can be a full-time job depending on how big your home will be. How much do you know about the permitting process? Do you know how to schedule your contractors and how to manage them so that when contractor B is scheduled to come the property is ready for them? If it isn't they move on to the next job and you might not get them back for a week or a month, causing a cascading effect on all your other trades. Do you know how to collect the proper lien waivers? Self GC'ing can save money, but do lots of research on the process and think hard about the value of your time and sanity.
2:57 thank you for speaking facts! 🥂
Thank you for watching. I appreciate you.
What a disaster, the fed/gov is at total fault feeding this mania. Let the market set the rates. Dallas is up over 30% in price and the surrounding area as well. TX has gone nuts period. Rural areas are almost selling for double in some places. These people flooding here need to get we have 3%ish property taxes
Yes. A lot of people don't realize how ridiculous the property rates are here in North Texas.
I think Austin is up nearly 40%. So crazy.
@@KristinaSmallhorn Dallas is only 5% behind.
Last time this happened, it was a set-up for a huge fall. Be careful, especially with the middle class jobs evaporating and the automation coming in increasingly.
Prices are up all over Arizona and we are figuring it as for the California people taking their insurance money and coming here to buy up property. If you think there's not enough houses then reconsider why there are so many people that possess more than one residence. The wealthy are buying up all the property and keeping it empty, leaving the rest of us to fight for the dregs.
I love that you were onsite taking photos of things as they were being delivered. I wish I was doing that / could have been doing that. COVID lockdowns etc. I think that is very important for anyone building a house. Take photos and document everything because the builder (Most of them) will take no responsibility for things that get damaged or stollen. I would install 4G CCTV camera to watch if I ever built again for sure.
No appliance, that I’ve ever heard of, comes with a 5 year manufacturers warranty. I sold them for years and the longest I’ve ever heard of is 2 years, and even those are rare.
Speedqueen 3/5/7yr they have had a 10yr
@@chadz2143 just looked and you’re right. We never sold them at Lowe’s or Home Depot.
@@DisabledVet317 there are others like Riccar that have longer warranties depndant on product line. And most are built like tanks compared to alot of the box store stuff
Now, I see why some people build themselves.
@13:52 depending on what the rules are where you live, look for a draftsman to do up a set of custom plans for you. In Canada for example, as long as the build is less than 6,700 sq ft and no more than 3 storeys in height, an architect is not needed at all.
Architects get paid off a percentage basis so if you build a $1,000,000 home, that architect is going to take 35-50k or more for that plan set... as a draftsman myself (who also studied Civil Engineering in college and worked for an architect for a time) who runs his own drafting and design business, I have personally designed houses in the 700-850k price range and it costs *maybe* 10% of what an architect would charge.
Be smart with your hard earned money!
Built our custom home after years of buying tracts and "fixing" them up. Discovered our builder was cutting corners and passing them off as something else. For example: We paid for oak flooring, what was delivered was cheaper pine to be installed that week. Luckily a savvy relative stopped by the build and called us immediately. We contacted the builder, he said it was an "error" and the delivery address was mixed up with another project. We heard that too many times on this build. Always have photos taken of the progress of your build and never do what we did, built from out of state. It's a license to....ahem...get other projects mixed up with yours.
How about the lies Realtor's tell?
Exactly.
I really appreciate your honesty, and your videos are very informative and helpful. I would add this one piece of advice, get both a real Estate agent, and an attorney! Make sure that you share all the information with them.
Good advice!
Can you please tell me what an attorney can do other than point out the one-sidedness aspects of the contract?
My windows are under warranty for 25 years (Cascade Windows)! Crazy. Wished someone told me about taking a photo of things before they were installed, so many things in my house came in fresh & ended up installed dented & scrapped up before I use it myself.
That was something I will never forget after what happened. Those plumbers were not happy.
On the flip side, as a builder, I get clients all the time that scratch things as they move in, and then claim that it was like that before-hand. This is why we walk the homes with them before closing, fix all the dings, and then let them move in.
My real estate attorney was worthless with the contract, live and learn!
You should have hired a lawyer who specializes in contract and construction law.
@@peteyou2325 thank you
Very informative. This is the type of information everyone that’s buying a new home needs to know. Lately I have been seeing a lot of unlicensed new home reps. That’s something to watch out for.
We got ripped off by D.R Horton . Two years ago , they said we had to sell our home immediately in January and wanted us to drop our price from $250,000 to $229,000 . The winter market was slow at that time and we knew the house would sell for much more in the spring. So , they stole $4,000 from us and gave us a bunch of nonsense. The house we were building was immediately sold for an extra $15,000 and didn't get finished until May .
My builder just told me I have no options on paint for a 900k house. I get an off white like it's the 80s. They are blaming Sherwin-Williams on not having supply
That's a crock of shit. Talk to a lawyer and read your contract. Better yet dony buy the house until your demands are met.
Can you share more details of building a house on your own...Loved the interview with Mike, would love to see a in-depth review of his home building process.
Nice to know about warranties. I am planning for a remodel. It'll be like building my own home from scratch.
Glad it was helpful information.
Thank you so much for connecting real resources and advocating for folks.
The builder has a warehouse where they buy in bulk the regular and upgrade styles of cabinets, flooring, appliances and any other finishes. They’ve already purchased them because these upgrades are considered in stock items.
having a semi-custom home build now and not happy with the builder who makes us feel like we're bothering him whenever we ask questions or have requests. Had I known about the Open Book source, I would've gone with it.
Hes doing it on purpose trying to intimidate you! Show up unannounced.
most people don't read contracts or have legal documents reviewed...you need to know what legal remedies are available and how well they'll hold up if you're forced to pursue them.
Bingo! And if you’re not familiar with legal verbiage.
Do these builders not realize the damage to their reputation they're doing? Throw people under the bus for greed, okay... and if/ when it becomes a buyer's market again? What will they do when they're begging for homebuyers to trust them? They're thinking too short term and not about the future.
I know, I dont get it either.
They’ll probably close down and then open again under a new name.
@@suzyjohnson2974 yep
They don’t care. They will cash in, watch the market implode, then start back up under a new name.
it's bizarre, how the F#@$#@$ does someone runa business this way LOLOLOLOLOLOL
Knockdown texture is one of the cheaper ways to finish drywall. Home builders upsell it making more money on a cheaper finish. The smooth Wall when done right is the most expensive. Think about it bumps and irregularities on the wall will hide a lot of imperfections. To make a knockdown finish you first spray mud on the wall as if you were making an orange peel finish. Let the orange peel set for a while then drag a knife over it at a flat angle knocking down the high points. Very little extra cost.
House Appliances has a one year limited lifetime warranty from the manufacturer unless you buy an extended warranty then you can buy 3 to 5 years warranty but then the one year warranties will be voided, 5 years. Not 5years + 1
I explained, once you buy extended protection plan you give up the rights of that one year manufacturer warranty that was given for free.
It's really interesting that realtors encourage home sellers to gouge buyers with overpriced inflated incidentals as well. The more money the home seller gets the higher the realtor commission. Gee Mr. Smith I see you have a new fridge with an ice maker you should ask for an extra 10,000 for the house. When my parents bought their home in 1989 before the gouging begin, they bought the house without major appliances saved a bunch of money and bought newer better appliances then what the seller had.
This is not accurate as a Licensed realtor I can assure you that used appliances do not Really affect the price of an existing home. Because some appliances aren’t staying with the home also they are available on the used market for a fraction of the price.
In addition as realtor over pricing a home does not benefit us because if the home doesn’t sell in the first 60 days it can lose up to 20 percent average days on the market right now is about 12 days .
Our job is to get the best price and conditions for our sellers.
We are often dealing with sellers who have unrealistic ideas of what their home is worth. It’s our job to show them where their home sits in today’s market .
Agree realtors are bottom feeders driving the market and raising property taxes by obscene pricing for shabby products
If you think a seller is asking too much offer less. When I sell my home I am going to ask as much as I can and maximize my net proceeds to allow me a bigger budget for my next home or a bigger down payment so my mortgage is smaller. I don't owe you or any other buyer squat pricing wise. I don't have to price my home to be more affordable for you, I am not a charity. If you don't like the price, go elsewhere and stop whining about my 'greed.'
@@RandomGuyDan you will see the effect when go to buy the new house and a bidding war starts. Or when your kids have to move out of state to buy a house. It is fun to be a grandparent who only sees the grandkids twice a year.
@@RandomGuyDan as usual, your blind greed assumes that your "next home" will stay at same price.... Have you considered the seller of your "next home" will jack up the price on you? And the the domino effect continues ..... And soon you can't find your "dream home" either?
The big lesson is - get everything in writing. It isn't just the Contractors, it's the realtors they hire to peddle their homes. Don't rely on what they tell you, You have the right to modify contracts, and make sure that all changes are initialed. And remember: yes, the Contractor can charge outrageous prices for appliances and bathroom fixtures, but he is also paying a premium right now for shipping. And beware of being your own contractor. It's a pitfall. But if you do, get an architect to guide you the process, set a budget and a contingency amount. You'll get in trouble if you add extras without considering the cost - before you know it, you've blown your budget. Caveat emptor!
I have been building for 40 years ...in Texas .......my fee has been 8% to 10 % ......never made what they are saying
Honestly this is why I cant do things traditionally, never did, never could. I like unusual things, and doing thing my own way. That way...seems to always work for me. People feel more responsible for how they behave when theyre at the edge of things, strangely enough.
Also, pretend to be really broke.
This happened to a friend of mine, 6 month down the line getting ready to move in..and they hit them with a wood shortage and the raised the price of the home and told them to either pay the new price or they would return their earnest money plus $500 dollars...
Terrible. Strange times for new home builds and terrible for home buyers.
Thank you so much. Perfect AUDIO.
Wow! Thank you.
You really give such excellent advice Kristina. Thank you!!
I can’t wait for the class action lawsuits to start! And they will…
doubt
Doubt it, just like when the bankers all went to jail for the 2007 crash. These people have lots of money and lots of lawyers
Class action deez nuts
Pffft try building your own house then
Lawsuits??? Why?
Lennar did this to me in North Carolinia. They canceled my contact 2 days before closing and sold my home for 40,000 more then what I would have paid.
We are starting this process in November with a custom home builder. Have never done this and a bit overwhelmed right now with it all.
Question: when building a modular, do you have to use their appliances / bathtubs, etc? Or can you purchase your own seperately? My son works for Home Depot & we'd like to purchase our appliances using his discount.
Thanks for the advice Kristina and Mike and just in time. Looking at buying spec's for AVRame A-Frame home, but don't want to hassle with getting a permit from the county. I called them and could not get an answer on whether or not a person can build an A-Frame house within a community. However, with the spec's of an actual house, this should not be a problem. So, thank you both for providing an alternative to the housing market debacle.
I've learned so much watching your channel, and you are such a joy!👍
Among the things I am aware of is the proclivity of home contractors' houses to have elaborate additions provided by the "overages" that you paid for when they built your home, that they "adjust" into the job.
Thanks Kristina! Your advice is pure gold and greatly appreciated! And your guest was super cool! What a great resource and fantastic way to save money building a home!
This has been an issue with home builders since the beginning of home building. Be real, if its human beings involved the probability of corruption is ten fold.
But thanks for sharing what the majority already know so you can get paid for sharing on social media. Best wishes.
Worst of all they talk you into using them for your mortgage without telling you that
A) It's not required
B) They can't lock your rate long enough to protect you in the event rates increase and they don't complete your home within that rate lock window.
I'm a mortgage loan officer and see this all the time and consumer's monthly payment are $200-400 more by the time the build is complete.
Dont finance through the builder. Find a bank or lender that can lock your rate up to a year! Especially in today's market.
Thank you I want to build a cabin in Gatlinburg Tn , but its so hard
Building your house is very stressful. Two of my friend got divorced during the process because of problems with the builder that then trickled into their relationship. Also, builder tend not to be completely honest. It's a shady business whether you are building in Thailand or USA. Try to find one already built.
If I had my druthers,my first choice would be to buy a house that's already built on the amount of land that I wanted. The second choice would be to buy the land that I wanted and have a modular home set on it.
The third choice would be just to rent something, since I'd never want to go through the building process. 🤣🤣
Lol, I’m still leaning towards modular homes for my next home build.
I would never rent. An old lady I know was just thrown out by her landlord who is selling the house
@@esmeraldagreen1992 Yeah...that happens, but the tenant also has the option of leaving after the yearly lease is up. Once you get involved with a builder, there are all sorts of legal problems if you have trouble with the construction.
Older people should buy a house that's already built instead of getting involved with contractors and builders...unless they can absolutely trust who they hire or have plenty of experience in dealing with the construction trade.
One thing about what Micheal is saying about that 25% profit margin. Is when you look for foundation to Eletric
Those subs will charge you more for one build. So for instants, say a builder that builds 25 homes a year pays 20k for a foundation. As a single time no experience will get charged I’ve see double if not triple that. So that savings you think you are saving isn’t there and you probably actually spend more, let alone the extra length of time that the interest on your construction loan. Please make sure that you put these details in your conversations. Benefits of doing your self is you can customize what ever you want and the pride of saying you did it yourself. But it will come at a cost.
Going through this right now. The builder just stopped building on our home because they want us to pay more.
That’s awful.
We will be building a home in NC; we will be converting our Land Loan into a Construction Loan; I have researched that the construction Lender will pay directly to the contractor as the home is being build and inspected every step of the way...Do you recommend to get a realtor attorney regardless of how detailed and specific the Lender will be during the home construction?
Usually they won't even let you bring your own products, if you don't want their upgrades, you'll have to wait till they finish, then change it yourself.
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What happened to Capp homes? In 1978 my husband and I built a pre-cut home in in Auke Bay Alaska that was shipped out of Seattle. Everything including appliances was shipped to us. Cost about $65,000 with labor to prepare the lot and foundation. Only one set of items was incorrect - roof beams had the wrong angle cut.
CONGRATS ON YOUR PLAYBUTTON!!! You are absolutely AMAZING!!! Still watching the video I am sure I will have another comment!!
Builders mark up upgrades, say what? It all depends on what you want. I didn’t pay for a lot of the finish upgrades. I work as a remodeler and can do a lot of the upgrades myself. Some people don’t think they can do this, but it’s not true. Go pick out your own faucets, lighting, hardware, etc… and hop on TH-cam to learn how to install it. You will feel great and your neighbors will notice the difference.
On building your own home… there is a lot of stuff to do, and if you don’t have the knowledge, expect to spend time learning it. Home builders cut that time down with expertise and should be allowed profit to do so. Oh, they’re making a 25% gross profit margin? And… what’s your point? They are accumulating the risk/liability too. They don’t get paid until the home gets the C.O. after inspection, and the bank sends them a check. They have losses too, and that profit covers those situations.
All and all, if you want a home there are many options, and you can have whatever you want, it just costs money.
This was awesome info! Thanks Kristina
Thank you, I appreciate you. :)
I wish I had known you 14 years ago when we were searching for the home we currently live in, which was a brand new build. I had no idea about the separate warranties being on windows and appliances in the home. Do you happen to know how I would go about finding what the warranty is on the windows in our home? This is such invaluable information. I am saving this video. Thank you! ♥♥♥
open then window and look for labels on the inside, then look on line for the name, address, phone number. the window will have model number for info and warrantys
@@TonyTundra5.7 thank you so much for replying!!! I will do this! Appreciate all your help! ❤👍
@@redlikewineagain697 your welcome I had the same situation, and that is how I did it and it work builders name was there and two windows were replace free.
Ty Kristina for blowing the whistle.
Be cool if you had plans that were 1800, 2500, 3500 sq ft. I have thought about building my own place but 1300 sq ft is too small for my needs.
I’m hoping he will have more plans soon. It’s such a cool concept.
Tell him to add a modern home style house.
There are books of plans you can buy.
When you build with us we have a 16% margin on top of costs plus some agreed upon sequence operations.
Wonderfully informative.
Love the idea of Open Book build for building a new house.
Home builders now are like used car salesman... you know you know
She’s right 100% folks these builders will try to play you like a fool don’t let it happen stand your ground!
When you purchase at a big box store, you are getting a cheaper product, for example Delta facets are plastic inside from HD when you buy from a reputable supplier they Delta are brass and copper a big difference
I just had my house built (closed in January). I locked in price right before lumber shortage and my builder (Taylor Morrison) had every right to jack the price up but they didn't!!!!!! Taylor Morrison for the WIN!!!!!
That is amazing, congrats!!
Thanks so much for this info on building your house! Keep'em coming please!❤
Just bought a SPEC house... not built yet... 20,000.oo worthbof preselected upgrades so buying it as is... but again, it isn't built yet. Closing is Jan 2022. I HOPE
That tub story made me really upset for her. Most people wouldn’t know to do that.