Summary: Obtaining Builders Risk Insurance as an Owner Builder has always been difficult. It has gotten even more difficult.
Hello Carl,
You may want to mention on your web site that Course of Construction or Builders Risk Insurance is very difficult to obtain when you are acting as an "owner builder".
We have been turned down by five insurance companies, and still have no insurance. Cindy
Hi Cindy,
Let a professional independent insurance agency/broker do the job you are trying to do.
Here is a quote from such an independent agency’s web site...continued.
Carl Heldmann, byoh.com
Luxury Custom Homes
Summary: The cost to build a house increases as the quality of materials and the complexity of the home design increases.
Carl, I recently ran across your site and am looking at building my own home in Bokeelia, Florida (just outside of Fort Myers.)
I am trying to get some rough costs on a home plan called the Santa Rosa, from Slater Design Collection. However, I am having some issues using the building cost calculator.
I am confused on how I should plug in the 1,978 square footage as I will have a full open garage downstairs out of block and then be building off of that a wood framed structure.
I am trying to get a rough idea on cost before purchasing the plans as I want to make sure I fall in my budget area.
I will be doing all framing, interior finish work, building my own kitchen and bathroom cabinets. I will be getting some additional labor to frame the house, as well as will be sub contracting Rough Electrical and Rough Plumbing with hopes to complete these two pieces on my own.
Do you have any thoughts or pointers you could send my way so I could get some rough costs on this particular plan? I am hoping to come in under $200,000 completed with a pool and a $10,000 lot.
Do you think that is doable or should I begin looking at smaller plans? Any help would be greatly appreciated.
Jason
Hi Jason,
This is an expensive home design to build. It is in fact, a luxury custom home. It is extremely hard to estimate the cost on luxury custom homes just using estimating software. Here are a few reasons why:
Using the cost estimating software, I came up with an approximate (rough) cost to build of $187,817, Included in that figure are the following:
Carl Heldmann, byoh.com
Carl, I recently ran across your site and am looking at building my own home in Bokeelia, Florida (just outside of Fort Myers.)
I am trying to get some rough costs on a home plan called the Santa Rosa, from Slater Design Collection. However, I am having some issues using the building cost calculator.
I am confused on how I should plug in the 1,978 square footage as I will have a full open garage downstairs out of block and then be building off of that a wood framed structure.
I am trying to get a rough idea on cost before purchasing the plans as I want to make sure I fall in my budget area.
I will be doing all framing, interior finish work, building my own kitchen and bathroom cabinets. I will be getting some additional labor to frame the house, as well as will be sub contracting Rough Electrical and Rough Plumbing with hopes to complete these two pieces on my own.
Do you have any thoughts or pointers you could send my way so I could get some rough costs on this particular plan? I am hoping to come in under $200,000 completed with a pool and a $10,000 lot.
Do you think that is doable or should I begin looking at smaller plans? Any help would be greatly appreciated.
Jason
Hi Jason,
This is an expensive home design to build. It is in fact, a luxury custom home. It is extremely hard to estimate the cost on luxury custom homes just using estimating software. Here are a few reasons why:
- Multi-cornered foundation (Quality Class 4)
- Roof design and pitch (Quality Class 1)
- Large glass areas (Quality Class 3)
- Many large covered porches and decks
- High vaulted ceilings inside (and outside) (Quality Class 1)
- 2 x 6 exterior walls (Quality Class 3)
- 10 ft ceilings (Quality Class 1)
- Trey (tray) ceilings (Quality Class 1)
- $15,357 Insurance
- $9,324 Permits and Utilities
- $2,194 Plans and Specs
- $68,560 General Contractor markup
Using the cost estimating software, I came up with an approximate (rough) cost to build of $187,817, Included in that figure are the following:
- $5,032 Insurance
- $3,055 Permits & Utilities
- $719 Plans and Specs
- $22,465 General Contractor Markup
Carl Heldmann, byoh.com
Sample Construction Contracts
Summary: Always use a written contract when hiring contractors and subcontractors.
Hi Carl,
I recently bought your book and am excited to get started.
Would you be able to refer me to a good source of agreement templates I can use for the necessary contracts with subcontractors, etc, including the basic waiver of liability, etc… Thanks, Lynn
Hi Lynn,
I have a few sample contracts and forms on my Getting Started page.
Here they are: 3 Contracts to Build, Carpentry Labor Contract, Subcontractor Contract, Checklist for Buying Land, Description of Materials (Building Specifications), Full Waiver of lien, & Partial Waiver of lien.
I've used them, but you may (should) want to run them by your Real Estate/Construction Attorney.
I'm not familiar with what a waiver of liability is.
Perhaps you meant waiver of lien.
If so, there are samples of those provided too.
Thanks for buying my book!
Carl Heldmann, byoh.com
Carl, Awesome, this is great.
Thanks for writing the book. The information is great to have, even if we end up going with a General Contractor. God bless you!
Hi Carl,
I recently bought your book and am excited to get started.
Would you be able to refer me to a good source of agreement templates I can use for the necessary contracts with subcontractors, etc, including the basic waiver of liability, etc… Thanks, Lynn
Hi Lynn,
I have a few sample contracts and forms on my Getting Started page.
Here they are: 3 Contracts to Build, Carpentry Labor Contract, Subcontractor Contract, Checklist for Buying Land, Description of Materials (Building Specifications), Full Waiver of lien, & Partial Waiver of lien.
I've used them, but you may (should) want to run them by your Real Estate/Construction Attorney.
I'm not familiar with what a waiver of liability is.
Perhaps you meant waiver of lien.
If so, there are samples of those provided too.
Thanks for buying my book!
Carl Heldmann, byoh.com
Carl, Awesome, this is great.
Thanks for writing the book. The information is great to have, even if we end up going with a General Contractor. God bless you!
House Plan Copyright
Hi Carl,
Is there any way to avoid paying astronomical fees to an architect if I know exactly what I want in my home?
I have the floor plan and know the dimensions of all the rooms. I slightly tweaked an existing plan from a builders website.
I just don't want to pay the fees if I don't absolutely have to.
I'd appreciate any advice you could give me. Travis
Hi Travis, As an alternative to an architect or buying home plans from a web site or magazine, you can have a home designer who is a drafts-person draw up most new homes.
However, most home designs are copyrighted even if it doesn't say so on the plans. You must purchase copies of copyrighted designs from the original designer. Hiring someone else to copy a design, even if it's not an exact copy, is a violation of copyright laws.
Read House Plan Copyright Basics on the American Institute of Building Design's (AIBD) website.
Carl Heldmann, byoh.com
Is there any way to avoid paying astronomical fees to an architect if I know exactly what I want in my home?
I have the floor plan and know the dimensions of all the rooms. I slightly tweaked an existing plan from a builders website.
I just don't want to pay the fees if I don't absolutely have to.
I'd appreciate any advice you could give me. Travis
Hi Travis, As an alternative to an architect or buying home plans from a web site or magazine, you can have a home designer who is a drafts-person draw up most new homes.
However, most home designs are copyrighted even if it doesn't say so on the plans. You must purchase copies of copyrighted designs from the original designer. Hiring someone else to copy a design, even if it's not an exact copy, is a violation of copyright laws.
Read House Plan Copyright Basics on the American Institute of Building Design's (AIBD) website.
Carl Heldmann, byoh.com
Acting as Your Own Contractor
Carl:
We are planning an addition to our home, and I am at the point of deciding whether or not to take on the project myself rather then hire a contractor, after receiving bids from various contractors which were frighteningly higher then I expected.
So I stumbled upon your site which gave me some hope at first, but now I am again concerned. When I viewed your step-by-step building I could not find at what point the roof trusses were installed!
There is mention of the roofing and covering, but no mention of installing the trusses. Then I said to myself "He will probably say: "You should know that and if you don't then you should not be considering doing this yourself".
Am I getting in over my head or did I miss something in the step-by-step instructions?
Oh, I don't think I am a complete idiot, and I have built buildings before (as owner not self-contractor) and of course many many projects around the house so I know which end of a hammer is which, but not sure the order of doing things in this project.
Thanks, John
Hi John,
The roof trusses are installed right after the walls are framed and braced plumb and square.
Your carpentry contractor should keep you abreast of building materials needed to complete the job on time. Remember, delays cost him money. That’s why I always recommend contracting by the job, not by the hour.
You don’t need to know various home building skills, but you do need to know how to hire the contractors and subcontractors who do.
Your role as the general contractor is to be an organizer and a manager, not a tradesman. Your responsibility is to get the job done — by other people.
If you can estimate your costs, control those costs, and deal with people in a fair manner, you can build your own home or home addition!
Suggested reading:
How to be a General Contractor
Building a House Step by Step
Carpentry Contractor - House Framing
Cost Estimating
Cost Estimating Software
Good luck,
Carl Heldmann, byoh.com
We are planning an addition to our home, and I am at the point of deciding whether or not to take on the project myself rather then hire a contractor, after receiving bids from various contractors which were frighteningly higher then I expected.
So I stumbled upon your site which gave me some hope at first, but now I am again concerned. When I viewed your step-by-step building I could not find at what point the roof trusses were installed!
There is mention of the roofing and covering, but no mention of installing the trusses. Then I said to myself "He will probably say: "You should know that and if you don't then you should not be considering doing this yourself".
Am I getting in over my head or did I miss something in the step-by-step instructions?
Oh, I don't think I am a complete idiot, and I have built buildings before (as owner not self-contractor) and of course many many projects around the house so I know which end of a hammer is which, but not sure the order of doing things in this project.
Thanks, John
 |
| Time for roof framing and/or trusses |
The roof trusses are installed right after the walls are framed and braced plumb and square.
Your carpentry contractor should keep you abreast of building materials needed to complete the job on time. Remember, delays cost him money. That’s why I always recommend contracting by the job, not by the hour.
You don’t need to know various home building skills, but you do need to know how to hire the contractors and subcontractors who do.
Your role as the general contractor is to be an organizer and a manager, not a tradesman. Your responsibility is to get the job done — by other people.
If you can estimate your costs, control those costs, and deal with people in a fair manner, you can build your own home or home addition!
Suggested reading:
How to be a General Contractor
Building a House Step by Step
Carpentry Contractor - House Framing
Cost Estimating
Cost Estimating Software
Good luck,
Carl Heldmann, byoh.com
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