Posted on February 7, 2017 by ParsCo Construction
For those wondering how building a house works, here is an overview of the major steps involved. These may vary somewhat, depending on individual decisions, location and circumstance.
- Budget: From the beginning, homeowners should know how much they can spend. This will serve as a limiting factor for size, build type, interior features and customization. At the start of the project, it will not be possible to itemize, but that should come later.
- Purchase Property: May people begin the process with property on which to build a home. Otherwise, purchasing land will be an integral early step. Choosing the best possible location is crucial because it is one of the few things about the home that cannot readily be changed later.
- Choose Construction Method: When deciding between custom, modular or developer and builder construction projects, budget will play a role in this decision. Multiple estimates are recommended, especially for those who are uncertain what type they would prefer. For modular homes, this can often be done online.
- Plans/Design: Many people neglect to take this into account in budgeting. Plans for building a home and designs are not cheap. For those building a larger or high-end home, the planning stage can be especially expensive. However, this is the part of the process where dreams begin to become reality, allowing people to view their future home in drawings and sketches for the first time.
- Permits and Inspection: This portion may be better handled by permit services or general contractors and builders, as they are aware of what it takes to build a home. Permits are a complicated and time-consuming part of building a home. Inspections can be nerve-rattling for those unaccustomed to them. The home will generally receive several inspections throughout the building process, helping to prevent costly errors later in the life of the home.
- Construction Insurance: Prior to groundbreaking, purchasing construction insurance is a good idea to protect the investment.
- Begin Construction: Construction includes a vast number of steps that range from site preparation to rough plumbing, electrical and roofing tasks. The construction stage will likely involve scores of professionals, each adding their own expertise from building houses previously.
- Final Inspection: This step is a last examination of the home to determine that it matches the submitted plans and that construction is up to local building codes. The inspection is necessary to receive permission to occupy the home.
- Landscaping: After the home is complete, the yard will be landscaped to add to the beauty and appeal of the home. This can include putting down sod, planting trees and shrubs and even adding decorative walkways and other elements. Some of this process may depend on seasonal factors.
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Posted on January 21, 2017 by ParsCo Construction
Generally speaking, investing in pre-construction real estate lets you get in on the “ground floor” of a development – then provides a number of potentially lucrative exit strategies. Best of all, the process requires a minimum amount of cash exposure.
Pre-construction investing also allows the buyer two opportunities at which to “sell out” of the property, as well as the ability to hold the asset for personal use or rental income.
The Process:
Reservation period. Simply put down a small, fully refundable deposit (usually about $10,000), and reserve a home/lot/unit in a planned project. This entitles you to the first right of refusal on a specific property of your choice. While price, square footage and amenities are subject to change, they rarely – if ever – do. Either way, you always retain the right to recover the deposit at any time and walk away with 100% of your cash.
Right of Rescission. Once the developer has worked out the details of the project, then you will receive a package of documents (“docs”) that define your unit/home/lot price, square footage, homeowners’ association dues, and other details. At this point, you have 15 days to review the documents and – once you’re satisfied – prepare to sign and fund a contract on the property.
Hard Contract.
At the time you decide to move forward and sign a contract, you’ll be responsible for 20% of the purchase price. If you choose, you can furnish 10% of that amount in cash – and submit a Letter of Credit (LOC) for the remainder. A Letter of Credit is a document obtained from your bank that certifies your ability to cover the defined amount. It is neither a line of credit nor a secured note – so you won’t have to service it as you would a debt. What’s more, during hard contract there are no other fees or payments due (such as HOA dues, maintenance or interest). You can simply sit back and wait for construction to be completed.
Completion.
At the project’s completion (also known as “CO” for “certificate of occupancy”), the process becomes very much like closing on any other property. Finally, you get to walk through your property for the first time. Once it meets with your approval, you then arrange for your own financing as you see fit. Once you own the property, it’s yours to use as you like. Some people build and/or move right in and start enjoying beach living. Others furnish the property and make them available for rental through a management company. While some manage their rental assets themselves, you may also be able to choose from one of several qualified management companies.
Pre-construction is just that simple.
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Posted on January 12, 2017 by ParsCo Construction
Choosing your architect isn’t a decision you should take lightly. The person you select will be the brains behind your project, an invaluable problem solver, a good listener, and the one keeping your budget on track.
We will work closely with your architect to ensure the design is within budget and feasible. We’ve provided you with 7 questions to ask your architect before you hire them.
Photo Courtesy of Dalyrimple Sallis Architecture & Parsco Construction
Photo Courtesy: Dalyrimple Sallis Architecture & Parsco Construction
Photo Courtesy: Dalyrimple Sallis Architecture & Parsco Construction
1. What Are the Biggest Challenges and Attractions of This Job?
2. Do You Have a Signature Style?
3. Who Will Design My Project?
4. What Project Management Services Do You Provide?
5. How Do You Charge?
6. Can You Provide Three-Dimensional Drawings?
7. Will You Recommend a General Contractors?
Good architects can recommend the best and most reliable general contractors in your area and can help you evaluate portfolios and bids.
That’s awesome for the homeowner, since it means you won’t have to do another big search to find the right contractor.
Check out Dalrymple Sallis Architecture in Pensacola, Florida for additional information regarding the scopes of architecture, or contact us to get started!
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Posted on May 4, 2016 by ParsCo Construction
Waterfront piling home under construction in Gulf Breeze, Florida.
Design. Â Build. Â Transform. Â www.Pars-Co.net
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