There is also the issue of construction financing. Many customers chose to use a co perm loan. This is a loan that is designed to start as a construction loan and then transform into a regular mortgage once the construction process is complete. This type of loan is popular due to low closing costs that result from one closing that covers both loans. Blue Ridge Custom Homes LLC will receive draws or “progress payments” as various phases of construction are completed.
Generally, turnkey prices start at a cost per square foot (including our overhead and profit) of around $65 per square foot. In the low hundreds per foot we are achieving a more “custom” house design and level of finish. At $150 per square foot we are looking at a very “custom” finish with items like stone floors, high end cabinets, theater rooms, hard surface flooring everywhere, lots of options, basically all the bells and whistles. In a cost-plus pricing scenario (see explanation below), the cost per square foot of construction will start at around $55 and go up from there (with each level of finish being lower than described above). Of course, the lot itself is separate from the costs described herein.
Yet another option is for Blue Ridge Custom Homes LLC to finance the construction of the project and transfer ownership of the house to the customer at the end of the process when a permanent mortgage is used to pay for the home.
There are many different ways to finance building a new home. We are a flexible company and can taylor our approach to the needs of each individual customer, as every situation is different. There is no “one best fit” for construction financing. We can help make sure that your home is financed in the most cost effective, comfortable way for your situation.
