Is it less expensive to build your own house or have someone build it for you?

Question

I thought about building a house myself, but some individuals on this site discourage it, because of the time and work that goes into it. I am still undecided. Does anyone out there have examples of money that they saved by building the house themselves. I may just end up buying a pre-owned house, but it is almost impossible to tell 100% what you are getting when you do that. Where I live, some of the houses that are listed at $100,000.00 are only worth about $60,000.00 to $70,000.00. I would really like to build a house, but I would rather spend a year building it myself and save the money that I would pay for someone else to do it for me. Give me any examples or advice that you may have. I would appreciate it.

I think that I should clarify that I am not going to build a modular home. I want to build a steel frame home. I am considering going with Kodiak Steel Homes.

Answer 1

I have built my own house, Acted as the general contractor and had them built for me, and also purchased a few. If you know what your doing you can be pofitable no matter which avenue you take.

Building your own is hard work and takes knowledge, skill and time. You will instantly build sweat equity. Providing you know what your doing.

Acting as a general contractor and hiring all the sub-contractors is much less work and usually saves about 20% over turn-key (new) construction. But again you must know the market, reputable sub-contractors and have at least a basic knowledge of codes, zoning restrictions, required permits etc.

I have also purchased older homes at great prices, remodeled and built quick equity as well. The opportunities are there, just do your homework. Compare costs/sq ft, get multiple bids, talk with city and state officials about your projects BEFORE your comitted. When it's a slam dunk, no brainer then your ready to throw some cash and hard work into it.

Good luck.

Answer 2

Wiseone hit it on the nose. I am a builder who builds custom stick built and modular homes. Modular arent better your reading too much on modular websites.They are faster. They are only less expensive if the home is one of the simplest homes they make or in a expensive area. Where I live we sell modular homes for the same price as a stick built. The quality isnt exactly the same. A stick built home is much more true. But we set alot of modular homes that are very nice. If you go with a modular home you need someone who is approved from a manufact. to buy the home and the builder will mark up his % into that cost so your best bet is to be your own G.C. if you have no idea about construction then good luck..

Answer 3

When others have expertise and tools for it they can build things better and cheaper than you could. Consider ballpoint pens. If you had to build your own, you might pay $20 each.

Often there is significant markup above cost. Consider the burger. What is the cost of making it at home vs. the cost of buying it made at McBurgers Restaurant?

Answer 4

Have you considered a pre-fabricated house? You can get ANYTHING you want and they are much better made, since they are built in a factory, not out in the weather. And they are less expensive too.

If I were ever going to get a new house, I'd DEFINITELY go pre-fab.