We’re currently going through a very strong seller’s market, and that’s led to a lot of very frustrated buyers. Multiple-offer situations and bidding wars are commonplace – there’s fierce competition around every corner.
A growing wave of buyers is getting fed up enough that they’re considering building their own homes instead of battling it out on the market. In theory, that sounds like a great idea: who wouldn’t want a brand-new house that perfectly suits their vision? In practice, however, it’s an entirely different story.
Here are four things you should consider before moving forward with your plan.
First of all, the island of Montreal – and even the Greater Montreal area – doesn’t have that much land left to give, and the plots that are left are quite expensive. So, even if the cost of a new build or prefab might be lower than what’s out there, the cost of the land itself will likely be prohibitive.
Financing is a tough sell for most banks when it comes to new builds. They don’t usually want to take a risk on somebody that’s never done something like this before. Unless you’re buying from a developer or a new development that already has a reputable builder, they may not lend you the amount of capital you were hoping for.
Are you ready to quarterback the construction of an entire home? Do you have the contractors in mind, the engineers, the architects, the permits? Do you want to take on all of the associated tasks that come along with it? It’s a lot to put on your plate, and some people find they’ve bitten off more than they can chew.
Are you ready to wait a year and a half before you can actually move into this home? That’s usually how long it takes to end up with a finished product that’s built to your specs.
While the idea of building your own home sounds like an attractive workaround to a hot market, it’s not necessarily all it’s cracked up to be. It’s undeniable that the market is an aggressive place to be right now, and it’s tough out there for buyers. But please, don’t get discouraged!
If you’re feeling spent and need a helping hand, the entire LJ Realties team is here to help. Reach out today and let’s start planning out a path to your dream home.