Building a house Questions?

I want to build a house in chicago, IL (3200 SF) that would probably cost around $400K. If I take my blueprints and all to a home-building company (or constructors), will they ask for a down payment (then monthly paymetns) or would they ask for the whole $400K in one payment. What % of down payment would they want? also, can i build a house on land that I'm still trying to pay off? Will construtctors accept house loans as a down payment? (soory for all the questions)








This has been my experience..
Purchase the land first..then go to the bank for a construction mortgage. You will need a down payment in cash to easily get this loan..but you might be able to come up with some other ways.
What builders and bankers want/will give out can be two different things...basically the builder will want at least 10% down then percentages throughout the building period with an amount withheld with your lawyer at the end for a period of time 45 days here to ensure all sub trades are paid and no problems. The money will be given out after certain times in the building process..here it is usually after the inspector has to come out and approved with the bank/lawyer...On my last house there were three payouts..with extras usually done with a cash deal and upgrades paid to the specialty stores or through the builder depending on how it is arranged. Call your bank to talk with them and they can give you info on how they do it and to get your preapproval that your builder will want to know. Then talk to the builder...kind of have to talk to both of these at the same time, but do not start any building or sealing the deal till you know the money is there.
Payment methods vary from builder to builder, but in my experience they generally develop a "draw schedule." This means that as the building progresses, they will get part of the money you owe them. I have built a couple of houses and both builders got their money in 25% increments, ie when the house is 25% complete, they get 25% of the money, at 50% complete they get the next 25%, etc.

However, you should contract a few builders in your area to find out how they do it. Also, make sure they explain upfront when the draw points happen, such as draw#1 when framing is finished, etc.

Building a house is exciting, but you have got to stay on top of the contractor. Get references and good luck.
I'd go to a bank before I went to a builder, if you will have to borrow the money to build with. Find out what they will lend you, and ask for a detailed explanation of how a building loan works, and how much they will advance to you at each stage of building. Get that in writing. You borrow from the bank, then pay the builder with that money.
I would start with a bank loan after I find the builder I want to use. Banks will use your land as collateral as long as you have equity in it. Most banks finance 90 % but in today's economic crisis, they might require 20%.










Website with fake house blueprints?

My mom wants to build a new house and she would like to know how i would want it to be designed. Now, I am only 13 years

What does an "average set" of House Blueprints, the kind specifically for one type of house, usually COST?

I signed a deal with a pre-built home company three years ago, and found a small house design I liked. They sent me three

Where can I find the blueprints for a house in my neighborhood?

I need to see the blueprints for a certain house in Sulphur, Oklahoma that was built sometime in the 40s, and I don't

Does anyone know where i can download blueprints to the white house?

I need to find a good spot at the white house where I can't be seen and have a good angle at the president. There must

Where do i get blueprints of my house's plumbing?

In WA state?

Having hand drawn sketches turned into blueprints?

Where would you go to have your hand drawn drawings turned into blueprints? Would they include all the piping and wiring?

I want to build my house.?

Is there a website that I could design my own house with the blueprints and all best website best anwser

Make blueprints of homes(more than one story) online or download. read details?

My dad made this really professional looking blueprint when he was in high school of his "dream house." I recently

How did adolf hitler's time in prison impact his development in his later?

Would someone be kind enough to read this and verify please? =/ thanks!

Adolf Hitler had many turning points in

Different between my blue print of a house and a architect blue print.?

what is the different between when a architect make a blue print of a house and when i make a blueprint of a house. i want

How much money earn blueprint construction?

like take 1 course blueprint then go to work how much money can you earn? To help carpenters to build house trought bluesprint

How much would it cost for blueprints of a house based on a rough sketch?

I drew out a rough sketch of a floor plan for a house I would like to build and want to have blueprints and a 3D computer

I need some help on this math problem thanks:)?

On the blueprint of a house, 26 millimeters represents 4 meters. The actual length of the living room is 6 meters. What is

We are fighting the Taliban in Afghanistan so we don't have to fight them here?

We are fighting the Taliban in Afghanistan so we don't have to fight them here?
Just found out that the Taliban