Do your homework before having work
done on your home.
Use this checklist to help you select a builder or remodeler to work on
or build your home.
- Does the builder or remodeler have
a permanent business location and a good reputation with local banks
and suppliers?
- How long have they been in the
building business? It usually takes three to five years to establish
a financially sound business. Will they be around after the
construction is complete to service any warranties?
- Is your builder a member of the
Builders Association of Greater Indianapolis? (www.bagi.com)
- Have you called your local Better
Business Bureau? They can alert you to any complaints.
- Does the builder/remodeler have
sufficient workers compensation and general liability insurance? If
not, you may be liable for any construction-related accidents on
your premises.
- Will the builder/remodeler provide
you with names of previous customers? Ask them if they would hire
the builder/remodeler again.
- Have you seen the
builder/remodelers work, both completed and in progress? Check for
quality of workmanship and materials.
- Are you able to communicate with
the builder/remodeler? Remember you will be in close contact with
them throughout the construction process and afterward as you live
in your new home.
- Will the builder/remodeler provide
you with a complete and clearly written contract? The contract will
benefit both of you. Review it carefully.
- Be cautious of unusually
low-priced bids. If the builder/remodeler is unable to pay for the
materials and labor as the project proceeds, this may indicate a
potential problem.
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With so many types of home building
companies out there, it’s a little tough to figure out who does what and
who builds what. Here’s a quick run-down on how to tell the difference
between custom and production home building companies.
Custom home builders generally:
- Build on land you own. Some custom
builders also build on land they own.
- Build one-of-a-kind houses. A
custom home is a site-specific home built from a unique set of plans
for a specific client. Some custom builders may offer design/build
services.
- Build single-family homes.
Are generally small-volume builders (those that build 25 or fewer
homes a year).
- Builds for all price
points but tend to focus on move-up and luxury homes
Production home builders generally:
- Build on land they own.
- Tend to use stock plans, but
usually offer a variety of plan choices and options.
- Build all types of housing —
single-family, condos, town houses, and rental properties.
Are large-volume builders (those that build more than 25 homes a
year).
- Generally build for all price
points - entry level, move up, luxury, etc.
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