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Old 11-09-2014, 05:34 PM
 
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I'm in the process of building a home with Standard Pacific in the Chapel Cove community in Southwest Charlotte off Shopton Road. Some of the upgrade prices seem extreme. For example, adding a handshower to the owner's shower is priced at $2400. The component, a moen fixture is approximately $350. Adding it requires approximately 26 inches of blocking and a t-fitting. The price they're asking seems extreme and unsupported by the work involved. For that price I can have the entire shower tiled.

Is such a markup the norm with them and similar builders? I can appreciate a company making a profit, but I'm left feeling as though they're gouging. It makes me question the pricing of other items. In the case of appliances, I can beat the builders pricing, by comparing retail pricing available through Home Depot, Best Buy, HHGreg, etc., by approximately 39% or $1900. That doesn't include installation; however, I doubt it equates to that amount.

Just curious if others have had similar or differing experiences with them.
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Old 11-09-2014, 06:50 PM
 
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It does seem high, worst part is you cant shop around as the builder will not allow you to send in your own plumber for items like that.
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Old 11-10-2014, 05:14 AM
 
Location: NC
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New construction always has huge markup and is one of the reasons why many find themselves with equity problems in a few years.
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Old 11-10-2014, 07:18 AM
 
Location: Charlotte, NC
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My wife and I were similarly shocked by some of the prices our builder was asking for certain things. We decided to purchase the upgrades that were more than a weekend project. For $2400, I'd get the basic shower and then have a contractor rip it out and make it what you want rather than what was offered. That's just my opinion. Our builder wanted $2500 to install Home Depot contractor pack-grade crown molding downstairs only. No thanks. I'll get what I want and not finance that $2500 for 30 years.
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Old 11-10-2014, 08:45 AM
 
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They make the base price low but get you on any upgrades. Same old story and has been for years and years. Buyers often justify it by saying that at least it's rolled into the loan (if the builder allows it) vs having to come up with more money after closing to put everything in.

I do agree with adding upgrades BUT only if they are priced well. Have you tried negotiating those prices down? We did with our builder.

ETA: What we did was picked out what upgrades we wanted etc. Then we put in our offer with the upgrades. For an example: Base price $210K, Upgrades $15K bringing it to a total of $225K. We offered $219K.
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Old 11-10-2014, 09:00 AM
 
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When I bought a new home a year ago, the sales agent told me flat out that I was better off getting appliances on my own. The oven and dishwasher were pre-installed as part of the kitchen package, but the fridge and washer/dryer were full retail (plus installation) through the builder. I got them on sale at Lowes with free installation.

The only upgrade I bought that seemed out of line was pendant lights in the kitchen. It was like $700 per light. But I paid to get it done, rather than have an electrician go through the ceiling after the fact.

If you can get the bathroom done for cheaper after moving in, you should consider it. But if it's a little more expensive to go through the builder, sometimes it's easier to just get it done up front and not have to worry about it.
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Old 11-10-2014, 09:28 AM
 
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Put your money into electrical and wiring (including pre-wires for lighting fixtures like pendants that you can just then go buy a light you like and put it in) that you can't do yourself, and finishes you know you won't or can't easily change out, like flooring and tiling. Cabinets and countertops in the kitchens, and the sink and faucets (how many holes are they going to need to drill into the countertop and do you want 4 holes with the standard faucet when the faucet you really like and intend to put in after the fact is a sleek, all in one, one hole faucet that would then have to have an ugly deck plate to cover the extra holes. It's difficult to cut granite (which I'm presuming is standard for the counters) after the fact so you want to ensure you have a sink and faucet layout you will be happy with.

Don't waste money on molding and trim and upgrading lighting and fixtures beyond that because it will be cheaper to replace or add them yourself later. Don't bother with appliances other than the cooktop/ovens, and dishwasher they are required to have in there for you. Buy the fridge and washer/dryer yourself and get exactly what you want.
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Old 11-16-2014, 08:22 PM
 
18 posts, read 23,965 times
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Quote:
Originally Posted by momtothree View Post
They make the base price low but get you on any upgrades. Same old story and has been for years and years. Buyers often justify it by saying that at least it's rolled into the loan (if the builder allows it) vs having to come up with more money after closing to put everything in.

I do agree with adding upgrades BUT only if they are priced well. Have you tried negotiating those prices down? We did with our builder.

ETA: What we did was picked out what upgrades we wanted etc. Then we put in our offer with the upgrades. For an example: Base price $210K, Upgrades $15K bringing it to a total of $225K. We offered $219K.
I have been in contact with the VP of Sales and Marketing regarding the pricing of the appliance suite and cabinetry options. I'm expecting a return call. I can purchase builder upgrade appliance for approx. $1900 cheaper from Home Depot. Their markup is ridiculous in those areas I can easily compare. I have a design appointment tomorrow and will bring up the handshower. I could have the entire shower re-tiled for the price the builder's asking.
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Old 11-16-2014, 08:29 PM
 
18 posts, read 23,965 times
Reputation: 12
Quote:
Originally Posted by unthought_known View Post
When I bought a new home a year ago, the sales agent told me flat out that I was better off getting appliances on my own. The oven and dishwasher were pre-installed as part of the kitchen package, but the fridge and washer/dryer were full retail (plus installation) through the builder. I got them on sale at Lowes with free installation.

The only upgrade I bought that seemed out of line was pendant lights in the kitchen. It was like $700 per light. But I paid to get it done, rather than have an electrician go through the ceiling after the fact.

If you can get the bathroom done for cheaper after moving in, you should consider it. But if it's a little more expensive to go through the builder, sometimes it's easier to just get it done up front and not have to worry about it.
My thought is to get those things done that would be difficult to do afterwards. I'd prefer not to break into the shower wall after it's tiled; although, I realize it isn't a difficult task to accomplish. The install is straightforward. A little blocking, a diverter, and a small amount of flexible tubing behind the wall. Easy to do in new construction which has me so peeved at the pricing.
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Old 11-16-2014, 08:44 PM
 
18 posts, read 23,965 times
Reputation: 12
Quote:
Originally Posted by ozgal View Post
Put your money into electrical and wiring (including pre-wires for lighting fixtures like pendants that you can just then go buy a light you like and put it in) that you can't do yourself, and finishes you know you won't or can't easily change out, like flooring and tiling. Cabinets and countertops in the kitchens, and the sink and faucets (how many holes are they going to need to drill into the countertop and do you want 4 holes with the standard faucet when the faucet you really like and intend to put in after the fact is a sleek, all in one, one hole faucet that would then have to have an ugly deck plate to cover the extra holes. It's difficult to cut granite (which I'm presuming is standard for the counters) after the fact so you want to ensure you have a sink and faucet layout you will be happy with.

Don't waste money on molding and trim and upgrading lighting and fixtures beyond that because it will be cheaper to replace or add them yourself later. Don't bother with appliances other than the cooktop/ovens, and dishwasher they are required to have in there for you. Buy the fridge and washer/dryer yourself and get exactly what you want.
Ozgal,

Good advice. This is my plan - to do now what will be difficult later. The standard countertops are granite. I can appreciate a builder making a profit but Standard Pacific seems outrageous for some items. You don't believe its worthwhile to upgrade appliances? Perhaps, they'll entertain an appliance allowance for the standard suite affording me opportunity to purchase what I want from Home Depot. (They and others are having big appliance sales this time of year.)
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