[quote=bearishgurl][quote=AN] . . . I don’t buy for one bit that it cost 2-5 times to build a custom homes vs a tract home. The cost of permit can’t possibly be that expensive.[/quote]
It’s not just the permit, AN. It’s the finishes and hardscape/landscape you will have to use in order to conform (and compete) with the immediate area. And the finishes you will use on the inside to conform with your individual taste and also area values.
Who in their right mind would go thru the “custom build” process in CA on an inferior lot? Owners could just get a “spec” builder to build one of their 5-6 “stock” plans on an inferior lot or a lot in a “working class” area. There is no need to go through this bureaucratic hell if the lot isn’t “worth it.”
I think Nor-LA-SD-GUY2 is correct in his assertion that it costs two to five times as much to build a (quality) custom home over a tract home. It all depends on WHERE it is being built.[/quote]
Not just that…a custom home builder doesn’t have the benefit of economies of scale that a tract builder does, so it will usually cost more to build a custom home.
Additionally, someone who builds a custom home designs them to live in, not profit from (assuming it’s a true custom, built for the owner, not a spec house). They are more likely to include features that really improve the quality and function of a home.
Personally, I prefer customs because they give buyers more options. If one doesn’t like the layout that most tract homes have, good luck getting something different in the area — and almost all new home builders seem to have similar layouts, which are totally dysfunctional, IMHO. The fit and finish of a custom home is often far superior to that of a tract. We would absolutely pay a premium for a custom home vs. a tract house.
