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Old 07-14-2015, 07:23 PM
 
1 posts, read 1,408 times
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If I buy land and ask a builder to construct a house for me, what are the difficulties need to face?
Is it a complex process? Will that be cheaper? Please advice.

The reason I am asking this is most of the new single homes are above $300K. My budget is only 200K.
Most of the new homes are located around 25 miles to 30 miles distance, which I don't prefer to travel every day two times. I live in edina. My office is in eden prairie.
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Old 07-14-2015, 07:44 PM
 
Location: Prior Lake, MN
67 posts, read 59,729 times
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Currently looking into a VERY similar situation as this, so I am following as well!
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Old 07-14-2015, 08:48 PM
 
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I'm no expert, but I don't think most people build new homes because they can't afford to build an existing one. Any time you start to get involved in renovation or construction it's always more money than you expect, and it sounds like you're on a tight budget. Instead of (I assume) renting while you wait for a house to be built, why not save that money and buy a place when you can afford it? Or look for a cheaper home -- it may be smaller and older, but you should be able to find something under 200k. This link, although not totally current, says local bare-basic building costs in this area start at $80/sqf, not including the land. or, I would suspect, many other related start-up costs.

Cost of New Homes in the Twin Cities Minnesota
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Old 07-15-2015, 11:59 AM
 
Location: Bel Air, California
23,766 posts, read 29,041,688 times
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one advantage that I can think of, is a chance to wear a hard hat backwards with the word "OWNER" largely displayed on it and walk around the construction site annoying all the workers with endless inane questions, change requests and suggestions on how they could be doing their jobs better....at long last, Revenge would be MINE!
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Old 07-15-2015, 01:21 PM
 
Location: Twin Cities
5,831 posts, read 7,708,200 times
Reputation: 8867
Quote:
Originally Posted by svaitla View Post
If I buy land and ask a builder to construct a house for me, what are the difficulties need to face?
Is it a complex process? Will that be cheaper? Please advice.

The reason I am asking this is most of the new single homes are above $300K. My budget is only 200K.
Most of the new homes are located around 25 miles to 30 miles distance, which I don't prefer to travel every day two times. I live in edina. My office is in eden prairie.
It could be cheaper than a low end new SF home if you somehow pay less for the lot and/ or make the house significantly smaller. You can't save money by cutting corners because they already cut as many corners as they can in the low end market by using cheap materials and fixtures.

You could potentially save money by having a builder erect a shell and finishing off the interior yourself, but that is going to require some building skills and expertise.

Good luck.
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Old 07-15-2015, 02:55 PM
 
44 posts, read 63,475 times
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The price of land in the Minneapolis, St Paul proper is going to take up a third of that 200K.
Doesn't leave you much to build A home. You will have to head out to the smaller towns to find decent priced land.
Also the cost of building is going up real fast.
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Old 07-15-2015, 03:00 PM
 
379 posts, read 359,273 times
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I have read stories of people who have built those "Dwell Magazine" pre-fab homes as an option to expensive 'traditional' builders. I think one of the designers of such homes is based in Minneapolis. I stayed in one in Arizona (LV Home) and I thought it was really cool. I would rather live in a house like that than in most of the inexpensive but severely outdated homes available in the MSP area (including the one I currently live in). Take a look at Wee House and LV Home. I think there are others too...

Alchemy Architects | Home of the weeHouse
Rocio Romero, modern design and prefab architecture
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Old 07-15-2015, 09:26 PM
 
10,624 posts, read 26,728,110 times
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Quote:
Originally Posted by Arne Bjornson View Post
I have read stories of people who have built those "Dwell Magazine" pre-fab homes as an option to expensive 'traditional' builders. I think one of the designers of such homes is based in Minneapolis. I stayed in one in Arizona (LV Home) and I thought it was really cool. I would rather live in a house like that than in most of the inexpensive but severely outdated homes available in the MSP area (including the one I currently live in). Take a look at Wee House and LV Home. I think there are others too...

Alchemy Architects | Home of the weeHouse
Rocio Romero, modern design and prefab architecture
Some of those homes are really nice, but when we looked into them -- mostly out of curiosity, admittedly, not because we were going to be building one -- they can still pretty expensive. Tumbleweed is another option, and has some really nice options (both more traditional and modern) that include some quite spacious places (not huge, but big enough for a small family). But not necessarily the cheapest option available. could be doable if they get a really good deal on the land.
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Old 07-16-2015, 06:49 AM
 
Location: Twin Cities
5,831 posts, read 7,708,200 times
Reputation: 8867
Manufactured housing is another low cost option if you can find a cheap lot somewhere.
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Old 07-16-2015, 09:29 AM
 
Location: MSP
442 posts, read 593,362 times
Reputation: 575
You'll be hard-pressed to build new for $200k or less, unless you get the lot for free. I know people love brand new shiny things, but a previously owned home is a much better value. And you might be surprised with a little creativity what you can find within your budget.
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