Buying vs Building in today's market

Journey I don't know. Either way is a wonderful investment in your life though. If you can afford it and want new then build but I think there' a lot of good buys already out there. Do you want more privacy with a yard that some of those places you mentioned might not have? If not then why not buy in those places? A lot less headaches... Dang it sounds like I should be a realtor myself. I am not.

I'm keenly interested in having current opinion on the most financially beneficial choice between buying an existing property or building a new home,

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Expand on your definition of "the most Financially Beneficial."


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Having read opinions and comments for months from the cornucopia of various perspectives, I'm keenly interested in having current opinion on the most financially beneficial choice between buying an existing property or building a new home, considering that my objective is a home comparable to higher quality construction in Rosemary Beach, Alys Beach, or other similarly built homes. Also, can one still have a gulf view for a new home in an area that is sufficiently high or protected to withstand big storms without being decimated?

I'm looking forward to your thoughts and opinions.

Thank you.

My 2 cents: IF you can afford it, buy a lot now that you love and build. Construction costs are down and many great builders are hungry for work and prices so much more competitive than they were years/months ago. When and if this market picks up (which we all hope happens at some point), construction prices will rise again, builders and subs will be harder to deal with, etc, etc.... Good luck.

If you want help with building it green, sustainable and energy efficient give me a PM. I an a source for a huge variety of green building systems and products. And a little good advice.

Having recently gone through the building experience, I would highly recommend taking a good thorough look at existing construction first....if you can find what you want for the right $$, you will possibly do yourself a favor. I'm very pleased with our finished project....but would I do it again....very doubtful. Yes, we captured a lot of equity because we had owned the lot for awhile, but the playing field now is so much different....and this could at least make buying existing a more feasible option than previously.

Shelly,

"Financially beneficial" was an imprecise choice of words. Specifically, I meant the cost savings of building over buying or vice versa.

I thought that the recent thread about the current advantages of renting might've implied that the current market's weakness affords opportunities to build at a cost not attainable in several years.

It all depends on the property. In general, since lots aren't moving as quickly as homes, you might strike a better price with a lot, but some home owners are willing to sell at attractive prices. One thing to note is the change in building codes in 2002 and more recently, 2006. If you want the house to withstand major storms, I suggest considering well-constructed homes built after 2006, and so will your Insurance Company.

This is exactly my conundrum.
Currently you CAN buy a home on a lot in desirable neighborhood for LESS than building a home on a lot.
At $200 a sqft for a built home and lots at about $300,000 plus...the same combo can be had for $500 thousand to $600 thousand.
Of course there are variations on the theme that can make one option more economical than the other. For instance, since I already have my lot I intend to be my own general contractor and build for cash..no rigid time line. I will contract out the major parts and do as much myself..ie painting, electrical fixtures, tiling and some plumbing.
I shall wait 1 or 2 more years.......

Shelly,

"Financially beneficial" was an imprecise choice of words. Specifically, I meant the cost savings of building over buying or vice versa.

I thought that the recent thread about the current advantages of renting might've implied that the current market's weakness affords opportunities to build at a cost not attainable in several years.

Is this going to be your immediate primary residence?


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Shelly,

I'm thinking that it would be a home away from home, a place used so frequently by either myself or other family members that it'd essentially be occupied as a primary residence for much of the year.

For instance, since I already have my lot I intend to be my own general contractor and build for cash..no rigid time line. I will contract out the major parts and do as much myself..ie painting, electrical fixtures, tiling and some plumbing.
I shall wait 1 or 2 more years.......

But paying cash means you can't have it today! Perish the thought!

I like the way you think. Lets form a co-op and have a good ol' fashioned SoWal barn raising

Shelly,

I'm thinking that it would be a home away from home, a place used so frequently by either myself or other family members that it'd essentially be occupied as a primary residence for much of the year.

A primary residence in spirit is one thing. A legal primary residence is another matter with its own set of legal. tax. and financial implications, for good or ill.

Shelly,

I'm thinking that it would be a home away from home, a place used so frequently by either myself or other family members that it'd essentially be occupied as a primary residence for much of the year.

I've heard that many times before....how far is the commute?

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I highly suggest building a home if you will be using it that frequently. If you wanted it mainly as a several week/month vacation home that produces rental income the rest of the year, there are a ton of nice homes for sale, but since you will be spending so much time there it is "practically" a primary residence, you will probably want different features than are typical in the homes being built to accommodate vacationers.

I am wary of older construction because of potential mold issues and the fact that newer building requirements such as impact windows and doors will help you get lower insurance rates, but newer isn't necessarily better as the construction quality can vary greatly.

Please don't try to do your own electrical work and plumbing as suggested above if you decide to build! That has disaster written all over it!

Please don't try to do your own electrical work and plumbing as suggested above if you decide to build! That has disaster written all over it!

Mr Bug,
Please don't assume everybody but yourself is a dumbass...I think there are levels of competence...you know what yours is, I'm sure.

What's a reasonable cost/sq.ft. now versus a year ago...Has anyone built recently enough to quote accurately?...

PSF building costs are between 100 and 500 dollars, or more, or less.

Mr Bug,
Please don't assume everybody but yourself is a dumbass...I think there are levels of competence...you know what yours is, I'm sure.

PSF building costs are between 100 and 500 dollars, or more, or less.

Why not just say between zero and infinity?

When someone asks for a "reasonable" per square foot building cost, I feel like my answer was at least as good as their question. I dont know what reasonable is, so yes, infinity might even be a better answer.

When someone asks for a "reasonable" per square foot building cost, I feel like my answer was at least as good as their question. I dont know what reasonable is, so yes, infinity might even be a better answer.

I think your first answer was better than infinity because infinity doesn't have a minimum, since it would also include negative infinity. At the lowest end of the lows, $100sf may be possible, but not for construction type found in Rosemary and Alys Beach. You are right, reasonable for one person may be outrageous for another.

Mr Bug,
Please don't assume everybody but yourself is a dumbass...I think there are levels of competence...you know what yours is, I'm sure.

I wasn't assuming that, just cautioning against the easiest, most problematic and expensive ways to screw up a house by trying to save a couple dollars. Unless you are a professional electrician or plumber, DIY in those areas is a definite no-no!

Journey - construction costs in the communities you mentioned start in the mid $200 sqr ft range and go up based on construction type etc.

Scooter, I agree with you. Houses now are pretty high tech with 4 or 5 bathrooms, I dont know of anybody who is an expert in both plumbing and electrical, although such a person might exist. Just the slightest little screw up could be fatal.

Mr Bug,
Please don't assume everybody but yourself is a dumbass...I think there are levels of competence...you know what yours is, I'm sure.

The name is Dumas!!

The name is Dumas!!

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