Could You Build Your Own House?
At some point in our lives most of us consider the idea of building our own house. This sounds like a fantastic idea but maybe the thought of it being such a big undertaking has put you put off doing it. What are the main factors you need to take into account?
Clearly, one of the big reasons for choosing to build your own property is the cash saving you will make. The more jobs you can do on it yourself the more you will save, which means that it is impossible to give an exact figure on how much you can expect to save. In fact, one of the biggest issues of all when building your own dream home is that it can be really difficult to know exactly how much it is all going to cost. Another point to bear in mind is getting access to the finance you will need. When you buy a property which is already built it is a straightforward home loan you need. When you are building a property, you might find it more difficult to get hold of the money required. As the costs aren’t fixed you could also find that you need to borrow more money than you had originally asked for, which could be a problem. Having said all that, the cost of the place you build on your own is likely to be substantially lower than its market value leaving you with a big chunk of equity when the house is finished. This could make all of the possible cash issues worthwhile in your view.
This is another point in which your experience could vary wildly. In the best case, you might live in a comfortable property and just go along to check out the work for a couple of hours a day. In this situation, it will feel a lot like just buying an existing house. If things don’t go quite as smoothly then you could end living badly on the building site while the work is being carried out and having to work long hours on the property after your normal working day is over. If you are seriously considering building your own property then you would be best expecting that it isn’t going to be as comfortable as you might like. As long as you go into the project with the right attitude you should find that you can cope with just about anything which is thrown at you.
You might have heard people saying that buying a piece of real estate is one of the most stressful things ever. That’s just buying a house which is already built and which you can just walk straight into. It is easy to imagine, therefore, that a self build project could heap a lot of stress on you. A lot of them go fairly smoothly but there is no denying that things can go wrong along the way that can leave you feeling pretty stressed. This is why it probably isn’t a great task to take on if you have other difficult things in your life now, like a demanding job, young children or financial problems. Even if your situation is pretty laid back, you should consider before going ahead how you are likely to handle a lot of hassle and stress if it comes your way. If you really want to do this but don’t handle stress very well you should look to take a hands off role and let the building professionals get on with the day to day running of the project. Provided you handle the difficult parts of the project it could turn out to be a wonderful investment which gives you the perfect home to live in.
On another note, I just wanted to say thanks to the following blog carnivals for mentioning Money Rebound’s posts recently. Really appreciate it guys!
Carnival of Retirement #88 – Frugal Rules
Carnival of Financial Camaraderie – October 5, 2013 | Save And Conquer
The Carnival Of Financial Independence – Party On Edition! | Stacking Benjamins 2x mentioned
Earn More, Spens Less: Volume 5 – The Student Loan Sherpa
Aspiring Blogger – Personal Finance Carnival #16 – October 4, 2013 | Aspiring Blogger