Oklahoma City Home Builders | Layers of Classifications
You know there’s basically about four classification of home builders. You’ve got your true custom home builders. You know this builder this ability you’re looking for to build your dream home.
They build it for a certain individual or family on a contract basis with a custom builder a client decides on the design of the home. How much will be spent. What products will be installed specifications of the home etc. etc. you know if the client wants to use a certain subcontractor or do some of the work himself the custom builder is fine with it as long as it is in the contract or a change order for the builder.
And normally your custom home builders just about every one of basically 100 percent home is a cost plus builder. So he prices the home based on what he can get you the material for at his cost. And the labor and his cost. And he manages the job site. For at cost plus.
I’ve seen it depending on the home the time on the home the material and the whole the kind of work it’s got to be done on the whole. It can range from 13 14 percent all the way up to 25 percent. So it just all depends on the House and what they’re going to charge.
Another one words something called a semi custom builder you know another option you might consider as a you know he’s easy. He’s a guy that you know.
He’s he’s a guy that does. Oklahoma City Home Builders
He does you know some of the work himself you know. Oklahoma City Home Builders
You know he’ll take a stock plan that take us to our planet the builder uses it has used before.
Do a few little modifications very small modifications and change things like the floors the floors the colors of the appliances you know little things like that. And.
That kind of thing they don’t really control it in the process. And the homeowner don’t have a right to choose their own subcontractors you know. You know you get to check the house and sometimes see what what’s being done to. But you know in pure pure semi-custom contractor client. Does it have to have the right nerve. You know the you know you have the right to call them on something. But you know the builder is kind of building it his way slash your way. I guess I should say you know it’s not a true custom. You know there’s some very very rare variations from the norm but very very little and these type of builders really don’t. They really don’t exist very much anymore. You get your customer and then you get your spec where you get your spec custom you know with semi-custom.
They just have guys kind of went to the wayside. You know. The next one is going to be your spec builder spec builder you know he’ll build a home with an expense intent of selling it after completion not during or not changing or anything like that. And that’s typically done through a reel to reel true usually sells it unless the builder’s is old you know its own realtor you tend to see a lot of builders being spec builders like college builders and they may have a full time job and build just a couple of houses a year and that B-Spec builder spec houses that they build. And the reason that a guy that’s got a full time job today is to build aspects of it with customers. I can tell I have a whole spec houses tend to build their shelves. Oklahoma City Home Builders
You know you don’t have to you do it the way you want it per the plan. No changes. You hand it to your trades and they go build the house for you.
You just go in there in the evening and look at it when it’s over you know normally a spec builder purchased a lot. Make a plan make all the decisions about how the home is to be built what materials and colors are to be used in the prospect. You’re calling the small volume builders producing less than 10 homes a year. Now
I know of a few spec builders that build more than 10 a year but they you know they’ve got.
Four or five plans and then they will make some changes that they sell during the during the construction period.
The borrower has little or no input in the process. We met with.
Jay London homes in Oklahoma City home builders we’ll give you all the input you want if you get this building a spec house during the during the initial stages. And usually with your spec builder is it’s kind of the house is done take it or leave it. We’re not changing it you know you get what you pay for you get what you see.
So you as a homeowner does maybe try to buy a house. Oklahoma City Home Builders
You know you need to make sure that the house you buy is going to have. Be the one that you need because there’s no change is going to be made. It’s what it is it is what it is. Then you get your production builders and.
Production builders are basically car lights on steroids. They’re more like a factory. You know most of your big national builders operate as a production builder. You get you national builders that build five or ten thousand homes a year. Well most of them come in and they’ve got just a few plans and that’s what they build over and over and over and over and over because they know.
How many studs per wall each house takes. Oklahoma City Home Builders
You know they’ll have several four five six plants and they normally don’t make any changes don’t you know these plants tend to have work for him in the past so if it ain’t broke don’t fix it. They stick to what they know and that’s what they do that most of them offer some upgrades. But they’re very limited in number and scope. You know a typical production builder. He’s he’s also a developer. Most of your production builders. Own the land develop the land and they’re only builder in there. They don’t allow other builders to come in and buy lots they keep all the last of their sales. And the reason being that is they are able to spread the cost of that home. Across the cost of that lot that they built to that house across several lots of the land cost nowadays and so forth here. That is about 25 to 30 percent.
Of the cost of your home. Well what do production builders are able to break that down to 8 to 10 percent because they bought raw land developed it themselves so they’re not needing to make a profit margin on the land like a normal developer is they’re selling it to a spec builder and with Oklahoma City home builders in general of unknowns.
We try to stay out of the spec builder neighborhoods and definitely we don’t get into production building neighborhoods. These guys are worried about going up as much product as possible getting it built getting it sold and getting onto the next one. That.
They build a very.
I hate to say cheap home but it’s not the quality of your builders that go out and build 10 or 15 a year that care about the product. You know.
So. When you’re looking for a builder make sure that he’s a true custom home builder.
And. He’s willing to take the time. To sit down with you and explain every process to everybody the process instead of just.
Pushing you into doing something you don’t want to do. And with Oklahoma City home builders and they live in homes that’s what we do.