Hey Guys,
I will be immgrating to Canada very soon....I am gathering knowledge as much as i can b4 landing in Canada.
I want to know if i want to buy a home should i look for a ready made home or should i make a home from scratch.There are advantages/disadvantages of both options...If i buy a ready made house i will pay more and on the other hand building a home from scratch will cost me less(I dont know much about the housing in Canada but is my perception right)

For example if i decide to build a house..
1)- Am i allowed to buy a land for construction(without much fuss)?
2)- Will the bank lend me loan for purchasing the land and construction?How much interest will they charge?What are there usual terms & conditions?
3)- How much planning/paperwork/time will i go through?
4)- Will i be hiring a construction company?
5)- Name of well known companies?
6)- Do they charge(per sq.feet), if yes then how much?
7)- How much time do they usually take to finish a 4/5 bedroom house?Do they keep there promise?
8)- Do they guide there client when it comes to decision-making whether its the quality of work or decision making like type of flooring,paint colour,bedroom partitions etc.)
9)- How much will a 4 bedroom house cost me approximately in the end, if the quality is decent(i dont know how much is the covered area of a 4 bedroom house)?

Will be waiting for comments
cheers

Hi Moqim,

Congratulations on receiving your immigration.

In terms of your questions about housing, the trend here in the GTA is that most people buy ready made homes built by the developer. It is my belief tha the ratio of people who build their own homes is higher in Vancouver area, though the number of developer built units is still high there as well.

In terms of costs, building your own home may not be as beneficial compared to buying a built home since you may not be able to take benefit of builder's low material and labour costs. Developer usually hirea and architect who prepares 10-12 designs and they go ahead and produce cookie cutter homes where they can realize savings (that they may pass on to the consumer). The biggest advantage of building own home however is the freedom to choose the layout that suits you. Another possible solution is the middle route. Buy a dilpidated home is a decent neighbourhood and demolish it to build on the same foundation. That way, you may save on some development charges as well as have the foundation to build on. This happening in several areas in North York.

Answers to your specific questions:
1. absolutely. As long as the residential zoning is there, you are ok to build.
2. Bank will normally not fund the land. It will however fund the construction, if you happen to own the land. Depends when you are buying. Interest rates currently are historically low.
3. As much as you want to spend. Usually, you should add 3-4 months for that at the minimum.
4. If you want to build your own home, yes you will have to hire the construction company or a contractor who can handle the project.
5. There are too many choices.
6. There are several ways the same thing can be accomplished. Rates vary from $150 per square foot depending on material, season and demand/supply of construction workers.
7. Depending on availability of workers and obtaining permits, surveys, loan etc, you are looking at about 8 months to an year long project. Delays can happen. Weather is the biggest challenge. Builders usually do complete on time (since it affects their rating).
8. We you are hiring people to do the necessary job. If this is what you are paying the for and you hired them for, this is what they will have to do to get paid. Simple!
9. Tough question to answer as there are too may variables involved. I would say, you set the budget and that would dictate where and what you will be able to buy/build.

Hope this was of some help.

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Rajeev Narula, Broker, REALTOR®
ACE TEAM REALTY INC., Brokerage
10 Kingsbridge Garden Circle, Suite 704
(Opp Square One - HWY10/403)
Mississauga, ON L5R 3K6
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Fax: 1-888-443-3155
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Thank you very much Rajeev Narula.....I was away for a few days thats why i couldn't reply early....
Thanks to you some points about housing are clear in my mind now.