7 Questions To Ask a Builder before you hire them

		7 Critical Question to Ask Your Builder—Before You Hire Them
	This report can help you be PREPARED Planning to build a home can seem like a daunting project. Knowing that you have selected a builder who will meet all of your expectations will help to allay your apprehensions. How can you determine the right builder for you? How can you put your mind at ease before you sign anything? Use these guidelines to lead you through your selection process—choose wisely by being informed—have answers BEFORE you suddenly meet with unpleasant surprises. Policy on sub-contractors Materials to be used Allowance system References Involvement throughout process Construction/permanent loan Warranty
		Question 1: *Do you use specific sub-contractors on a regular basis and will you provide a list of these?*
	Rarely does a construction company build homes by doing the entire job themselves. When you hire your builder, you also hire people you do not know. There are crews who are employees of the company, but a great deal of the work is normally performed by sub-contractors. The quality of the workmanship in your home will depend largely on the sub-contractors. You will want to be assured that your builder is familiar with his sub-contractors and with their standards of work.
		Question 2: *Will you provide a specifications sheet of the materials to be used in my home and provide samples or show them in a model home?*
	Avoid unpleasant surprises in the quality of your home by knowing ahead of time what materials will be used in construction. Your builder should be willing and able to supply you with specification sheets of all materials to be used. Individual materials will carry specific warranties—for instance, a roof can have a 15- to 30-year warranty depending on the brand. Your requirement to see the actual samples is not an unreasonable expectation. Details as small as door hinges are important to the finished product; avoid misunderstandings by knowing what to expect before you begin to build.
		Question 3: *Will you work with me using an allowance system rather than having a “package deal” . . . which specific projects will be included in this system?*
	Hiring a builder who is willing to work with “allowances” allows you to have control of the selection of supplies and control of the budget. Some builders offer a “package deal.” You may be allowed to make your selections from 2 or 3 choices of cabinets or lighting fixtures. If you choose the least expensive fixture, the builder can keep the extra money. Allowances set a cost for the project—such as kitchen cabinets. You can elect to use the type the builder supplies at his quoted price, or you may choose what you want. You have control of the materials as well as the budget with this method. If you select a fixture which is less expensive than the “allowance,” the difference is credited back to you—not to the builder. You may spend less on the lighting fixtures so that you have funds to allow for upgrading the carpet. YOU put your DOLLARS where you want them! Your builder should be willing to give you an allowance based upon what you expect in your home.
		Question 4: *Will you furnish a complete list of references?*
	It is not unreasonable to expect to receive a complete list of references. Home buyers who have been through the complete building process with your chosen builder will be a source of useful information. The best reference list would include clients from the past 2 or 3 years. Be ready with your questions—some of those in this report would be appropriate—when you make contact. You might inquire about the timeliness of the builder’s work. There can always be unforeseen delays, but past clients can give you insights into the way schedules were met during their building process. Interviewing references is a valuable tool in evaluating your prospective builder.
		Question 5: Will you be involved with me and my home from ground breaking to completion and on through the warranty of construction labor?
	Some builders are finished when you sign on the dotted line. You should look for a builder who will be involved in the entire process—design, planning, construction, and follow-up. The warranty provided by the builder should cover the labor involved in the construction of your home. This is a separate issue from the material warranties. A desirable builder will still be involved and accessible to you even after moving day.
		Question 6: *Will you work with me under a construction/permanent loan using my Home Loan Specialist?*
	You should review financial options which will give you control over finances. A construction/permanent loan allows you control as to when your DOLLARS are paid out. You must sign for each “draw” based on a pre-arranged schedule. This indicates you agree that the work done to this point is satisfactory. Construction/Permanent Financing eliminates the builder’s need to finance the home and allows you to avoid the processing fees (incurred by the builder to obtain his own financing) that are eventually added to the price of your home. It will also reduce the final closing costs, and you will be able to lock in an interest rate.
		Question 7: What warranty do you offer, and what is the time period of this warranty?
	A house is a very detailed piece of work—thousands of pieces—dozens of workers. Your builder should anticipate that some problems will occur. Because of this, he should have a plan in place to handle these problems. You will want to be assured that the builder will be available during the warranty period to correct any problems.