A Comprehensive Guide

to

Building Your Dream Home

You have been dreaming of building a custom home

for a long time.

You are now ready to make that dream a reality

and look forward to enjoying your new home.

But how do you get from dreaming about it to enjoying it?

This resource will guide you through the 4-step process

to make your dream home a reality.

DREAMING

ENJOYING

4 Step Process

STEP 1: LOCATING

Choosing a place to live

What is important to you?

• Proximity to family / extended family
  
• Climate (cold/heat, rain/snow, wet/dry, arid/humid)
• Close to larger metropolitan area vs. farther away
• Waterfront / Water views
• Mountain views
• Amenities
• HOA / no HOA (gold course, swimming pool, security, etc...)
• Proximity to amenities (restaurants, grocery, etc...)
• Trees
• Lot size - how many acres do you want?
• Lot density - what is the minimum acreage?
• Topography (steep hill, flat terrain, etc...)

Purchasing a lot

• Find a good realtor who knows the area
  
• see Purchasing a Lot Checklist for important information to consider
• Purchase the lot as soon as you identify where you want to live...values rarely go down!
  

STEP 2: Funding

How will I pay for my dream home?

CASH or LOAN?

Most people need both.

Most lenders have a loan-to-value (LTV) ratio of 80-85%, meaning borrowers need to provide a down payment of 15-20% of the total project cost.

Total Project Cost = Cost of Construction + Cost of Lot

If you are budgeting to build a 3000 sqft home and the cost to build of $500/sqft and you paid $200k for your lot, the total project cost is $1.5M + $200k = $1.7M.

If the project appraises by the lender for that amount, you would need between $255k and $340k.

Your equity in the lot counts towards the down-payment. In this case you would need between $55k and $140k in additional funds in order to secure the construction loan.

NOTE: Design fees are not included in the total project cost. Talk with your lender about opening a line of credit against the equity in your lot in order to pay for the costs of design.

STEP 3: Designing

Who will design my home?

It is important you choose an architect/custom home designer you feel is both competent and creative.

The design process includes you - so make sure you select someone with whom you are comfortable to work with and who comes highly recommended from previous clients.

STEP 4: Constructing

Who will build my home?

It is important you choose a builder with a proven track record of excellence in quality and delivering projects that are on schedule and on budget.

LOCATING

SYNERGISTIC ALLIANCE

FUNDING

A strategic partnership between two or more entities

that possess complementary strengths or resources,

allowing them to achieve greater results together than they could independently.

The collaboration aims to create synergy,

where the combined efforts result in outcomes that exceed the sum of individual contributions.

DESIGNING

BUILDING

We are a Synergistic Alliance of professionals

working together as a team

to help people build their dream homes

serving Greenville, Pickens and Oconee counties

in upstate South Carolina