Can I Successfully Build My Own Home?
As builders, we face this question from many potential customers. The answer, in almost all instances, is NO! Successful building contractors have vast purchasing advantages, expert subcontractors and years of experience that just can’t be matched. This combination makes it almost impossible for the average home owner to compete with a professional home builder.
In many cases, potential clients who began the sales process with Roersma & Wurn and later decided to build their own home have called us during the process, asking for help and expressing their regret for taking on such a daunting task. Here are some key things to consider before deciding to build your own home:
1. It is common in the building industry for a contractor to raise their price above market value to the homeowner/builder.Due to providing contractors with a constant stream of work, builders receive pricing that is not available to the common consumer. Besides not needing to offer a volume discount that builders like Roersma & Wurn earn, contractors also know that they will likely have to deal with problems such as scheduling errors, failed building inspections, changes, etc. that experienced builders have learned to avoid long ago. This affects their profitability and they must price accordingly. The end result is that a homeowner/builder will almost always pay a higher rate for contractor work than a professional builder.
2. Finding a high quality contractor can only be done by experience. We like to say that everyone knows someone who thinks they are a trim carpenter. In reality, referrals often break down and the clients find the workmanship to be poor quality. Builders like Roersma & Wurn have spent the last 20 years filtering out the weak contractors and work with those that have a proven track record for quality. This translates into a tremendous value for our customers. More importantly, some phases of construction are impossible to repair. Any builder would tell you that a bad framing job, poor drywall job, careless foundation pour or messy paint job means your new home will never look the way you expected it to. Living with exposed drywall seams that crack and open up can be frustrating if your dream was a high quality home.
3. Builders are well connected. We can get you the best prices on materials, financing, and building lots. Roersma & Wurn belongs to the BBG buying group that flexes “mighty buying power” on name brand products. The raw cost of construction materials alone for members of our group is 15-20% less than the average small builder, let alone the homeowner/builder. Your savings from building your own home are lost in higher material prices.
4. Financing on homeowner/build jobs can be extremely difficult. Many top lenders shy away from these projects or don’t offer competitive rates. The paperwork involved for novice builders can be extremely difficult and time consuming. Many of Roersma & Wurn projects do not even require construction loan financing. That can be a great advantage to buyer.
5. Poorly completed finished products with an “over budget” end result! At Roersma & Wurn, we estimate that 85-90% of the clients that choose to build their own home wind up with one of these two results. We would recommend that unless you have a strong business background coupled with an extensive construction background, this is not a successful way to go.
While obviously we would like to build your home, Roersma & Wurn truly does not feel that building your own home is a smart decision. Even when a potential homeowner has the skills and experience to “pull it off”, they don’t have the buying power to make it worth their efforts. We think when all is said and done, the savings from avoiding paying a professional builder’s fee will be more than given back by homeowner/builders paying higher material and labor prices, making the mistakes that builders have learned to avoid, and the project taking longer due to inexperience with the process. Not to mention, the quality of our finished product cannot be matched on your first project. Our recommendation would be to hire an experienced contractor with a strong reputation, references and buying power. You’ll end up paying less, be happier with the finished product and avoid all the headaches.
Roersma & Wurn has built over 1,000 homes in the greater Grand Rapids area and has a sterling reputation among our clients, our trade partners and our peers. Roersma & Wurn has incredible buying power and references available to potential clients. So if you decide you want to build a high quality, great value home, call us for a free, no strings consultation. Thanks for reading and have a great day!
Mark R. Wurn