Could you please suggest me pros and cons of building and constructing of own house. I think one can save 6% broker commission and 6% gst apart from you will select some better fixture and material in your own house.
If anybody has some ideas please suggest me.
Thanks
daisyfromottawa
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daisyfromottawa
Location: God's own country
Posted on: 07-05-06 14:53:08
As i work in this industry, i belive i can advise you.
Donot ever consider doing your own house b'cos it is very easy to get cheated. Even though there are the so called govt. agencies to regulate various trades, most of them are very slow and not effective.
Unless you plan do everything yourself with little help from others (eg. conc. pouring, truss framing, brick work) it is a total waste. There have been instances when you hire people of various trades to do a piece of worek (like dry wall, plumbing etc..), the quality of work is bad, trade people run away with the advance, doing the work halfway and running away. Yes , you can sue them but it will be a long process and you will ruin your job in the meantime. Most of them will only return your money for the incomplete work.
Also when you buy fixtures , piece by piece, the cost will be on the higher side. The contractors have rebate since they buy in bulk.
The best option for you will be do contact a reputed builder, select a piece of land in the subdivision, ask the contractor of the subdivision to do you a custom plan (may be $2000 extra) and then build your dream house. When you buy a new house from a builder doing a subdivision, you will not pay for broker fees and you will also get the first time homebuyer's rebates. A builder is more accountable to the govt. agencies and so you will have a better shot than an individual trade provider. OTOH, there are also so many bad builders in town (esp. desi builders) and so be careful. Select a reputed builder from your region based on word of mouth and not the Terion.
TK
Sidenote : If you really wish to save money on the house, i suggest that you for a custom plan which will create separate portions for 2 families in 1 floor. So in one floor you will have 2 units consisting of 1 living /dining, one kitchen , 1 washroom and 1 bedroom. so in 3 levels (basement, ground and second), you can put 6 families. even if you get a modest rent of 600 from each of them, you get $3600 per house. This is atleast 2 times the mortgage you will be expected to pay.
Other option is to build rooms with attached washroom and 1 kitchen and 1 small hall in each floor. Each room could be rented to a family/ bachelor.. This will also get you lots of money.
The existing plans that people build/ design are all waste. They build/ design thinking that only 1 family will occupy it. A custom plan is just $2000 more costly and so you can demand from your builder to take you his designer/ architect to get you a custom plan.
I have ideas like this but i donot have the money to get it implemented. I am just telling it here so that it may be of use to someone. No copyright of my statements.
And i donot not undertake any design for a fee. I may give you a design free or am willing to talk further about it for free (but only if i have time)
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I am a Gents and not a Ladies.
Thanks so mcuh
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daisyfromottawa
Quote:
Originally posted by tamilkuravan
As i work in this industry, i belive i can advise you.
Donot ever consider doing your own house b'cos it is very easy to get cheated. Even though there are the so called govt. agencies to regulate various trades, most of them are very slow and not effective.
Unless you plan do everything yourself with little help from others (eg. conc. pouring, truss framing, brick work) it is a total waste. There have been instances when you hire people of various trades to do a piece of worek (like dry wall, plumbing etc..), the quality of work is bad, trade people run away with the advance, doing the work halfway and running away. Yes , you can sue them but it will be a long process and you will ruin your job in the meantime. Most of them will only return your money for the incomplete work.
Also when you buy fixtures , piece by piece, the cost will be on the higher side. The contractors have rebate since they buy in bulk.
The best option for you will be do contact a reputed builder, select a piece of land in the subdivision, ask the contractor of the subdivision to do you a custom plan (may be $2000 extra) and then build your dream house. When you buy a new house from a builder doing a subdivision, you will not pay for broker fees and you will also get the first time homebuyer's rebates. A builder is more accountable to the govt. agencies and so you will have a better shot than an individual trade provider. OTOH, there are also so many bad builders in town (esp. desi builders) and so be careful. Select a reputed builder from your region based on word of mouth and not the Terion.
TK
Sidenote : If you really wish to save money on the house, i suggest that you for a custom plan which will create separate portions for 2 families in 1 floor. So in one floor you will have 2 units consisting of 1 living /dining, one kitchen , 1 washroom and 1 bedroom. so in 3 levels (basement, ground and second), you can put 6 families. even if you get a modest rent of 600 from each of them, you get $3600 per house. This is atleast 2 times the mortgage you will be expected to pay.
Other option is to build rooms with attached washroom and 1 kitchen and 1 small hall in each floor. Each room could be rented to a family/ bachelor.. This will also get you lots of money.
The existing plans that people build/ design are all waste. They build/ design thinking that only 1 family will occupy it. A custom plan is just $2000 more costly and so you can demand from your builder to take you his designer/ architect to get you a custom plan.
I have ideas like this but i donot have the money to get it implemented. I am just telling it here so that it may be of use to someone. No copyright of my statements.
And i donot not undertake any design for a fee. I may give you a design free or am willing to talk further about it for free (but only if i have time)
TK,
After a long time, you've made a post that actually contributes value to CD. Great Job and I look forward to similar future posts.
Cheers
DT
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Microsoft - Which end of the stick do you want today?
Quote:
Originally posted by daisyfromottawa
Could you please suggest me pros and cons of building and constructing of own house. I think one can save 6% broker commission and 6% gst apart from you will select some better fixture and material in your own house.
If anybody has some ideas please suggest me.
Thanks
daisyfromottawa
FYI there are no real estate broker fees when you buy a property in Canada, in most of the cases.
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Amit Kalia, Broker, REALTOR®
RE/MAX Real Estate Centre., Brokerage
independently owned & operated
100 City Centre Dr, Unit 1-702
Mississauga, ON L5B 2C9
Phone No.: 905-339-5111
Website: https://www.realestate-ontario.com/
Condo Blog: https://condopundit.com/blog/
Plus when you buy a resale home in Ontario, there is no GST.
Buyers pay GST when buying a new builder home plus many other closing costs that are much higher than resale home buying costs.
More on closing costs:
http://realestate-ontario.com/homebuyingexpenses.htm
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Amit Kalia, Broker, REALTOR®
RE/MAX Real Estate Centre., Brokerage
independently owned & operated
100 City Centre Dr, Unit 1-702
Mississauga, ON L5B 2C9
Phone No.: 905-339-5111
Website: https://www.realestate-ontario.com/
Condo Blog: https://condopundit.com/blog/
Does not seller pay GST when a resale home is sold??
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trying to find real persons
