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The average build timeline for a home is between six and 12 months, with timelines pushing toward the upper end of that range if you’re creating a custom design or need a lot of land preparation before getting started. Hiring a general contractor or a custom homebuilder will help speed up the process, as you’ll see fewer delays between different parts of the build process getting done.
Framing is often the most expensive phase of building a house because it’s time-consuming and requires a lot of materials. It costs between $20,000 and $50,000 on average, depending on materials and labor costs. Before construction begins, it’s possible that purchasing land is the priciest step in the process. Some plots of land sell for $3,000, while others cost upwards of $150,000.
Yes, you can finance new construction, though the process often requires a different type of loan than one for an existing property. There are several financing options available:
Construction-to-Permanent Loan: This is a common option where a single loan covers the building costs and then converts into a traditional mortgage once construction is complete and you move in.
Construction Loan (Stand-Alone): This type of loan provides funding only for the duration of the construction project. Once the house is built, you will need to pay the loan in full, typically by securing a separate, standard mortgage.
Builder Financing: Some custom homebuilders offer their own financing options, which may only require a down payment to begin the building process.
Bridge Loan: This can be a useful short-term loan to fund your new construction while you are in the process of selling your old home.
Home Equity Options: If you are building a second home, you might be able to use a home equity line of credit (HELOC) or a cash-out refinance on your current property.
It's also important to be aware that some lenders may have restrictions on financing for DIY house builds, so be sure to verify that you can secure financing before starting your project.
Hiring a reliable home builder is an essential task, but there are a few questions you can ask a potential builder to ensure you they are trustworthy and up to the task:
How long do you expect the process to take?
Are you fully licensed and insured?
How much of the work will you subcontract?
Will you pull all of the necessary permits for the job?
How long is the builder’s warranty you include with your work?
How do you handle resolution for issues I might have with the finished product?
How much experience do you have?
A contractor can install your shipping container home in as little as 90 days. This is notably quick compared to a traditional home build, which can take more than a year (providing there aren’t permitting or construction delays that make the wait even longer). For the quickest installation, choose a prefab container home.
The Dillingham, AK homeowners’ guide to home building services
From average costs to expert advice, get all the answers you need to get your job done.
When building a home, going custom gives you the freedom to create your dream house. Learn about the cost to build a custom home and the factors to consider.
Building a home and looking to go as green as possible? Learn about the cost to build a green home and how energy-efficient features will affect the total.
When dealing with new construction, many different delays can pop up. While some of them are unavoidable, it doesn’t make them any less frustrating. This guide breaks down some common home building delays and what to do about them.
Are you considering building your next home? This guide explains the difference between a spec home vs. custom home so you can make an informed decision.
Planning and construction takes longer when you don’t follow pre-set plans. Learn how long it takes to build a custom home so that you know what to expect.
