I am thinking to buy a lot where I can build single family home. Around this lot, home sales around $110,000. I am in FL and we have to build brick house here. Anybody have idea, how much its going to cost me to build 1300 sq ft house? How can I look for builder? Does anybody knows builder who is building small houses? I have no any experience on this field but want to try something new. Please help me to understand ups and down for this kind of venture.
You are always ahead when you can buy an existing home. If you allready own the lot it may be feasable but of not I doubt it. The cost of land and utility services will crush your budget. Where I live you have fee`s os 23k before the cement truck shows up for the foundation for water/sewer/school and park impact fees.
I just completed my new home build start to finish thread here:
Selling a house for $110,000 at 1300 sqft is $84/sqft not including land, designs, engineering, or transaction costs. You would have to build for something like $60/sqft to turn any profit assuming your land is very inexpensive (less than $10,000 for the lot).
Texas is relatively inexpensive to build in, and homes that inexpensive require big builders with great economies of scale to build that inexpensively.
Add up all of your costs and add at least 20%. If you cannot reach a sales price that high, I wouldn't do it.
Thanks Jay & john.
John, I am trying to buy lot with cash for $ 6k to 7k. The lot is 60 x 136 big. Do you think it is worth to invest? I don't know any builder or don't have any experience.
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