What is PREconstruction?

The nation is currently seeing a ridiculously low inventory of existing single family homes for sale. In fact, the housing supply has dipped almost 25%. Because inventory is so low, the odds of finding an existing house that meets every single one of your must-haves is unlikely. If the search continually leaves you disappointed, it may be time to look at a preconstructed home. 

Preconstructed is slightly different that plain old new construction because the wheeling and dealing is done before the theoretical home is ever even built. There are a few things to keep in mind when considering a preconstructed home. 

Research the Developer 

Much in the same way you’d look into inspectors and appraisers for an established single family home, it’s important to research developers. Do a deep internet dive to ensure the developer and contractor have impeccable reviews and testimonials. 

Watch Hidden Costs

It’s one thing to have a new construction home made with builder grade materials. A lot of buyers are looking for things like upgraded light fixtures and finishes like light switches and door handles. All of those items can be negotiated to be changed in your building contract. Just be aware that they will likely come with an additional fee! 

Consider a Warranty 

Even though your new home will be brand spanking new, that doesn’t mean things couldn’t go wrong at some point. You’re likely to receive a builder warranty as part of your new construction which covers a lot of the materials used. It is still recommended, however, to purchase an additional warranty that covers major appliances and things like air conditioning. 

For more ideas on what to consider when it comes to preconstrcuction, visit Realtor.com.