builder upgrades price negotiation (wood floors, countertops, new home)

[john2012]

Hello,

I have signed a contract with a builder for a new home to be built. I have come to realize that their upgrade prices are ridiculous. Is it possible to negotiate their upgrade prices?.
Someone who had worked for a builder, please advice how to go about it.

[kbchitown]

The time to negotiate is BEFORE you sign a contract. You may be SOL at this point.

[Idlewile]

This is why it's prudent to review all upgrade lists (with costs) prior to going under contract. If you don't, how do you know what to expect - at least roughly - the final price of your home to be?

We built our last two homes and, no, there was NO negotiation on price(s) after signing a contract. All negotiations happen prior to contract.

[scottsheehan026]

My advice now that you have signed contract would be as follows:

1) Only upgrade the items that go with the foundation of the home. I don't just mean the slab but everything that would be way to hard and exspensive to upgrade later. Examples isulation, framing, slab, plumbing....

2) Upgrade everything else later. Examples: Windows, trim, paint, crown molding, countertops, floor, wood floors.....

But this would be my plan of action anytime. It alway amazes me how people with a budget get upgrades they can add later. Like crown molding but go cheap on the important stuff like insulation.

If I were to spend extra money on a home the first thing I would do is spend it towards making the home more tight. Mainly spray foam insulation, and breaking the thermal bridge by either zip board with the 1" foam or stagered 2X4's on the outside wall framing on a 6" wall.

This all adds to the cost of the home but consider this...

It may add $100 per month to the payment. But payments only last the note of the home. If it saves you on electricity those saving are for the life of the home. Those saving will also save more and more as electricity goes up.

On top of that your home will be cleaner, more healthy, and more comfortable.

[bpvarian]

+1 for spray foam insulation. Insulate the heck out of the home, you cna always gets to the attic, the outer walls are very important.
Also, radiant barrier...

[Austin97]

Originally Posted by john2012

Hello,

I have signed a contract with a builder for a new home to be built. I have come to realize that their upgrade prices are ridiculous. Is it possible to negotiate their upgrade prices?.
Someone who had worked for a builder, please advice how to go about it.

the things that are most important to upgrade are the things that are extremely difficult to change later

1) larger garage- make sure your garage can fit multiple extra large trucks length and widthwise = very difficult to do later and cheap early on. If you can get a 3 car garage do it. Even a four car garage - it will be inexpensive storage space or a workspace

2) wiring - wire up your house with whatever the state of the art is today

3) extra bathrooms - if you can add extra bathrooms as a default option you should (our plan could easily add an extra full bath upstairs and it was worth it)

4) attic framing - if you have lots of attic or dead space try to get them to position the beams in a way that leaves the space open for improvement later. our guys put beams all over the place haphazardly.

5) outside material of house - I regret not paying extra for limestone, make sure you love the exterior. It will be extremely wasteful to replace it later.

6) overhead vent on the stove - we have a bottom draft and it simply cannot compare. The stove is in an island and it would be weird to to put a hood in now. We cant fix this without a major renovation.

7) power outlets everywhere at least every 6 feet or so.

8) make sure you love your front door. It is probably 2K and will last forever so if you replace it later you will be throwing out $$. This goes for anything that doesnt really wear out and is pricey and the labor cost for the upgrade is minimal. You might even be able to buy the door yourself and have them install it. Same goes for windows

[llkltk]

Originally Posted by kbchitown

The time to negotiate is BEFORE you sign a contract. You may be SOL at this point.

So true! You should negotiate getting x amount of dollars in upgrades prior to buying the home.

[Trainwreck20]

There is a whole thread, maybe two, that talks about 'wish' lists for houses, but a couple that are easier to do now rather than later:
- Spigots at all four corners;
- Mop sink in the garage.

Back to topic - upgrades are very expensive, but of course they are easy now compared to later. You have to weigh the cost vs. effort part. Not sure specifically what upgrades you are looking at, but some that might be worth doing yourself (via your actual self or a contractor):
- Flooring;
- Office 'conversion' of a den;
- Any and all fixtures (fans, upgraded hardware, blinds, etc)

Ones that will probably cost you as much or more later (esp if you consider :
- Any plumbing/wiring;
- Wall or foundation revisions.

[john2012]

Thank you all for your replies.