Here’s why it’s taking quite a bit longer to build a new home these days.
When I meet with clients to discuss building their new home I hear all sorts of questions:
- Do you have stock floor plans or custom?
- Can we make the closets bigger?
- Can we make it a heated garage?
However, it never fails that at some point during every meeting, everyone (including the Realtors) wants to know…
How long will it take to build?
Unfortunately, the answer right now is that it depends. I know it’s a horrible answer, but it’s the truth. I would love to be able to pinpoint an exact estimate like eight months, 10 days, and three hours. But the reality is that I can’t tell the future.
In a previous video, I predicted a correction in lumber prices and that has occurred in the time since. What hasn’t corrected itself yet is the time it’s taking for lumber delivery, approval of permits, and overall delivery of materials. We were just told that our most recent lumber delivery may take up to 12 weeks and the local permits department is backed up by six weeks. In the past, this would only take one to three weeks.
Another factor is the selections that clients must make. How available are they to pick out tile, carpet, paint, and the other fun things? With more regulations to protect the developers, builders, contractors, and general public, we are seeing an extra three weeks added on new builds for additional “red tape” items.
So what used to take six to eight months is now estimated at nine to 12 months. Based on the projected uptick in construction, I don’t know if that will change anytime soon. So if you are looking to build within the next year, start talking about it now.
I’ve said this before, but it’s worth repeating: The builder you choose should have a great relationship with their suppliers so that they can watch price trends and order your supplies at the correct time. Do not wait to discuss this with a trusted builder. It will be worth it in the long run when looking at the overall cost and time investment of your project.
If you are looking into building or have any real estate-related questions, feel free to reach out and I’d be happy to help. You can call, email, or text me. I look forward to hearing from you soon.