Saturday 30 April 2011

Reducing Your Mortgage By Owner-Building

Let's start by saying that finances are subjective and what's a good saving or level of affordability for one person may not be for another, and that anything said after this is not proffessional financial advice.

People choose Owner-Building for a few reasons. The "House that ........... built" sense of achievement, the freedom to make their home exactly the way they want it, and the ability to make substantial savings getting the home they truly desire.



Owner-building a steel framed home is a great way to get more home for less. Yes it may take longer...or not, and yes it will require some hard work, but with a great prefabricated frame system it won't be difficult. A good wall and roof frame system like the clients of Statewide Building Solutions recieve will be numbered and labelled with clear plans showing where everything goes. How does this save you money? Well if you employ subcontractors then speed of construction will create the savings, and if you do it yourself, then the savings are obvious. Two qualified tradesman (carpenters are most popular) can set you back $4000 to $4400 per week assuming an eight hour day in a five day working week. So the message here is the more you do the more you save.

The big saving comes from purchasing your own building materials. Once you buy a kit home you own it. Once you buy your tiles, cabinets, carpets, timber floors, plumbing and electrical fittings and so on, you own them. The budget for these things is yours to set and follow, and as a result you're not locked into a plan or package that may at best, mostly please you.

Location location location! Owner-Building gives you the opportunity (depending on your finances of course) to put a little more into the land purchase. If you're the kind of person who is willing to get their hands dirty and save on labour costs, then getting yourself a block that appeals to you more is very possible. Saving a couple of weeks labour can add about $8000 to your war chest for land purchase.



My personal plan of attack in building a steel framed home would be as follows. Assuming I am building on a concrete slab the components I would assemble or install myself are as follows.
- Wall and roof frames. It's hardwork and requires diligence, but it's not actually difficult.
- Wrapping the house in Aircell. Really...it's a bubble paper and silver tape. I am not paying my hardearned to someone to giftwrap my house in silver bubblewrap.
- Install my windows and sliding doors. The frames are made with a tolerance to fit the windows, so armed with a spirit level, a screw gun, confidence and bribed friend you'll have no trouble.
- For my external cladding I would hire one professional and work as his offsider if he allowed it. Cladding like Roof sheeting makes a home and I'd want it to look as good as can be.
- Install my own insulation batts. I recomment a dust suit and mask. You can install them the day before the plasterboard is fixed and hold the insulation batts in place by running some tape across the frames.
- Second fix items such as internal door frames, skirting boards, and hanging doors are all very doable.

The things to pay for;
- Earthworks and concrete slab.
- Installation of gutters, fascias, eaves linings, and the roof sheeting. A bad roof kills dreams and it's worth paying someone who can make it look great.
- Installing my external cladding as mentioned.
- The licenced trades that take care of your plumbing and electrical work.
- Fitting and flushing of plasterboard. A good fit and flush makes the home look great. I recommend running a vacuum cleaner over the walls after it's all dried to get the dust off.



Most clients will have floor covering and tiling professionally done, but a few have opted to go down the DIY route for cabinets.

As you can see there are quite a few things that you can do yourself if you have the time and inclination, and there's no doubt doing these things will save you dollars. Maybe you'll want to put those dollars into other parts of the home, and maybe you'll want to save for the sake of saving and keep your mortage at a level you're comfortable with.

Owner-Building your new home using a high quality Steel Framed Kit Home , and taking advantage of owning your materials outright from day one, and the speed of construction will certainly give you that opportunity.

1 comment:

  1. Indeed, owner-building is a money-saving option for homeowners. Only that many homeowners do not have the time and capability to carry out a full blast owner-building scheme.
    mortgage Adelaide

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