How to Budget for a Custom Home

How to Budget for a Custom Home

If you’re reading this, odds are you’ve decided it’s time to build a home. But simply building “a home” isn’t enough. You’re in the market for a truly unique and luxurious custom home. But how do you budget for a custom home? There’s no easy answer. Thankfully, folks here at J.W. Neathery have been building custom homes for over forty years. Read on for some tips from our experts about how to budget for a custom home.


Identify What You Want

As custom home builders, we work with all sorts of clients. By and large, the customers we work with who have the easiest time navigating the custom home building process are customers who have taken the time to set their budget ahead of time. In order to budget for a custom home, you’ll want to ask yourself (and your spouse or family) some of the following questions:

  1. How many bedrooms and bathrooms would you like?
  2. How many square feet would you like your new home to have?
  3. Where would you like to build?
  4. And what special features would you like to add to your home?

It’s important to spend some time thinking about your current living space during this stage of the process. There are probably elements of your home that you like, but there’s also probably some things that drive you crazy. Taking the time to come up with a prioritized list of needs and wants will make planning out your budget that much easier. With this information in mind, your custom home builder can give you a better idea of what to expect to spend.

If you’re looking to save money, there are a few different methods to consider. Of course, building a smaller home can cut down on costs. A simple floor plan and less square footage can save you money in the long run. If you have a larger family and downsizing isn’t an option, then you might consider using reclaimed building materials or energy-efficient elements to cut down on cost instead. If this sounds like something you want, then make sure to talk to your builder about the possibilities.


Choose the Right Builder

Most builders estimate that you’ll spend $100-200 per square foot of your new custom home. If you’re trying to stay within the confines of a tight budget, this is a reasonable amount. However, here at J.W. Neathery, we build true luxurious custom homes. As a result, our prices are often higher than other builders, usually starting at $245 per square foot. We’re not ashamed to admit it. We are custom home builders with over forty years of experience in the industry. People come to us for grand homes built with authentic Texas craftsmanship. No matter who you choose to build and design your home, make sure that the builder you’re working with fits your budget and your needs.

Every builder is going to be a little different. Some specialize in eco-friendly homes, while others build nothing but Victorian or Mediterranean-style houses. When you’re looking for a custom home builder, spend some time checking out the work they do and making sure they match the style of home you want.


Stay Flexible

When it comes to building your custom home, a plan will only take you so far. As custom home builders, we know that issues can arise with even the best-laid plans. The finishes for the kitchen might be back-ordered, your job site could be hit with torrential rain, or you could change your mind about the number of bathrooms you want, sending us back to the planning table. We recommend communicating with your builder and designer frequently and clearly. The budget that you set at the start of your project may change as time goes on. However, a good custom home builder will keep you updated and always communicate costs with you as they arise. Whatever your budget for a custom home, it’s a good idea to mentally add about 10% extra to it for these sorts of unseen complications. In other words, if you’re hoping to spend $300,000 on your custom home, you might want to have an extra $30,000 set aside just in case.

While building your own house can be rewarding, it’s not something to take lightly. The process of building a custom home is both expensive and time-consuming. You need to think seriously about whether you’re able to give a project of this magnitude the time and attention it deserves to do everything right. No matter what your dream home looks like, it’s important to set the right budget and choose the best builder for the job. If you’re planning to build your new custom home in the area around Magnolia, Texas, J.W. Neathery is here to help. Our extensive experience as a custom home builder speaks for itself. With over forty years building custom homes in Washington, Montgomery, and Walker counties, we’re here to deliver spectacular custom homes built with faith, honesty, and authentic Texas craftsmanship.

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