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Find Deals Before You Start Paying Interest
Paragon C&D Builders / Vallone Real Estate
Wednesday, December 23, 2009 • Posted December 22, 2009 10:00 PM

Building a House is a great way to save money, if, and only if, you go about it the right way. What is the right way? The right way is plan, plan, plan, and then build like mad. What does that mean? It means that once you break ground you start paying interest on the loan to build the house. So, take advantage of the time before you break ground to plan really well, and then once you start, get your project done fast so you don’t pay any interest you don’t need to.

So, part of the planning you should do before you start paying interest, is plan what materials you will buy, and from where. When you plan and look for deals before you break ground you are going to save money. Where? Well, obviously you will save money in interest, but you are going to save money elsewhere as well. Think of it this way. It costs nothing to plan; you aren’t causing delays by looking for deals, and you don’t have anyone on the clock waiting for materials. You can take as much time as you need to in order to uncover bargains. You take the time to negotiate for better prices. And you can take the time to find opportunities for superior options for your house and the construction process.

Finding these deals before you start paying interest is essential, especially because, if you are in a hurry to get the materials because you already have a sub who is sitting on site waiting for the materials, you aren’t always going to be as worried, or capable of getting the best price; instead you are going to just want to get the materials and get them now. Your haste will be evident, and your power to negotiate will be pretty much non-existent. When it comes to finding deals in construction, it is true, you won’t find them if you don’t take time.

However, if you spend the time to plan carefully, you can search and search, and negotiate and negotiate until you get things at the best price available to anyone, contractor, or not. A great way to look at it, since you will probably be eager to start building, is that every hour you spend carefully planning, you save three or more hours of work, and potentially thousands of dollars. Sounds good!

You can ensure you save money doing this by keeping good records. When you go out and look for the best price, take a list of the items you need with you. Make note of who the supplier or store is where you can get it, contact information, and price clearly outlined so you can find the best prices again easily when you get to that portion of your building project.

For example, you may find a great price on light fixtures, but that is one of the last items you install in your home. You don’t want to store those for 6 months, so instead, store a record of where to get them, what the exact item is (serial number etc.) and have a written and signed price quote for that item; that way you can still get it for the price you were quoted, even if it is 4 or 5 months later. Then, keep a file folder of these price comparison sheets, and sequence the items in the order you will need to purchase them. This will save you time, which inevitably means money!

You should take the time to find these bargains before you build, so make a price comparison sheet for every item you must purchase. Just taking the time to plan that out, and know exactly what you have to buy is going to save you hours of running back and forth, and lots of money. If you know in advance that you have to buy it, you can keep your eyes open for a deal. If you don’t know you need it, how can you watch for a good price?

In summary, whether you are doing the job yourself or hiring a Builder, these tips will apply. Being prepared and knowing what you want always saves time and money.

Information for this article was taken from http://www.homebuildingremodeling.com

For all your real estate and building needs or questions, call Debbie at (713) 818-6658 or (830) 833-4249 / debbie@vallonerealestate.net .

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