Constrution (San Marcos, Cedar Park, Leander: real estate market, loans, custom home)

[Jenny280]

Hello,

For several months I try to buy a house but the real estate market drives me crazy. I’m thinking more and more about buying land and building on it, but I’m wondering about the costs....

Do you think it’s worth it?

[Austin97]

it is so dependent on too many variables to say if it is worth it.

In the past you could do a david weekley build on your lot for about 150/sq ft. But if you did a custom house it would be tough to do it for less than 250/sq ft.

From a purely economics point of view many areas in austin are at 450+ per square ft which makes it much more economical than it used to be.

One challenge with lots is that loans are not very common and are hard to get. You often need at least 30% down and I have had to pay cash or get owner financing in the past.

[CarnivalGal]

Depends on where you're buying. But there are bidding wars on land here too. Not to mention the lumber costs and materials scarcity driving up the cost of construction. So building probably won't save you much money.

[ashbeeigh]

My parents had an inside connection to one of (if not the last) last lots in a great area in San Marcos. They're looking at about 75k on the lot and then want to spend anywhere between $150 and $180 a square foot to stay within their 400k-450k budget.
Like others says there are so many different variables that you'll have to give us some more insight into your headspace and what you need/want to be able to help you in your decision making process.

[DMChicago]

Interior lots in my neighborhood (Villa Montana) have jumped from the 200’s to the 400’s in 6 months.

[Trainwreck20]

You have to find people to actually build the house, as well. I have a friend that bought a lot in Rim Rock (off of 1826) and is having a custom home built. They are HOPING to have it finished by the end of NEXT summer, with the delays due to the inability to find workers as well as material.

[austinnerd]

Another thing to consider other than outright cost, is the quality of construction. I've noticed in the last year that the quality of things like wall studs has gone down dramatically, and even the increased use of 2x3 interior studs. With the trades in such high demand, there are also stories of rushed work, a much higher percentage of folks with less experience and, again, utilization of cheaper/inferior materials.


I'd be super cautious about getting anything built right now, that $200 sq/ft doesn't seem to be getting you the same today as it did even just a few years ago.


As an edit, I'm not trying to dissuade OP (or anyone else) from building, I'm just saying that now more than ever it is important to be on top of the details and to have a GC you can really trust.

[Jenny280]

Thanks for all of your answers.

The size of the land is 1 acre and I wish to have a house of 5000 sqft. We would like to have a house built with the help of an architect.

[Trainwreck20]

Where are you looking for a house/land?

[Jenny280]

Originally Posted by Trainwreck20

Where are you looking for a house/land?

Leander, Cedar Park, River place