New Home Construction in CT
10 Steps to New Home Construction in CT
The new home construction summary below will get you started on your way to learning about building a new home in CT, but at some point you’ll need a real estate agent in CT to go much deeper in developing your own new home construction plans and schedule.
1) Visit Banks to Understand your Loan Options
First of all, you'll need the cash or financing to build your new custom home. Without funding, you will not make a lot of progress in getting your new home construction project off the ground. Financial institutions vary on guidelines regarding new home construction loans, how much, and at what terms for new home construction in CT.
2) House Plans
You'll need a complete set of building plans including the structural detail to get building permits. A trusted real estate professional will help you choose a qualified architect in Connecticut who has worked with customers with similar taste and budget. Your designer might also help manage the building and/or work along with your real estate agent to help you select a qualified contractor. Realty3 CT has long standing relationships established with architects and new home builders in Connecticut to design your own custom home plans or to show existing new home construction plans.
To build your new home you'll obviously need land zoned residential to put dream home on. And be advised that not all land is suitable for every type of house plan. Do not buy your land in a vacuum only to later find out that is inappropriate for your new home construction plans. When evaluating lots or acreage you must have your new home construction plans handy and a real estate agent with the necessary expertise to assess the property.
4) Hire a Home Builder
With a complete set of new home construction plans in hand, the next step is to find a reputable home builder in CT. We'll schedule at time to get together with potential home builders to check out your house plans and then to solicit contractor bids. Your new construction real estate agent at Realty3 CT will carefully critique each contractor bid with you to help you to decide which home builder is right for your new home construction project.
5) Your Real Estate Construction Financing
After you've selected your new home builder and know your new home construction costs, it's time to obtain financing on the project. Construction financing is a specialized field and a real estate agent that specializes in this area will better suit your needs. A down payment of 5-10% of the total value of your building project is generally required. If your building project (land and house) is projected to be $300,000 you will need a minimum down payment of $15,000 to $30,000.
6) Pull New Home Construction Building Permits
With a builder and financing secured we'll then meet with your local CT building inspector with your house plans to receive building permits. A construction permit or building permit is a permit required in all Connecticut jurisdictions for new construction. Connecticut has adopted mandatory, statewide codes and state codes cannot be amended locally. Failure to obtain a permit can result in significant fines and penalties, and even demolition of unauthorized new construction if it cannot be made to meet code.
7) Begin Home Construction
With building permits in place you're prepared to break ground and set out on your new home construction project. Start and completion dates for construction work to begin should be included in the timeline supplied by your home builder, along with a new home construction checklist.
8) Visit Your New Home Construction Site Regularly
Plan to make regular site visits to you new home construction project to make sure the home construction is going to plan. You should bring along your realtor and you may want to consider the services of your architect to help, as they have the knowledge and experience to ensure your home is being built to your house plans. Give your new home a once-over at least these three times during construction: when the foundation is poured, when the framing is completed, and when the home is finished. At the completion of each major phase of a project the local building inspector should inspect and sign off on the work. Have the inspector examine various systems as they are completed, including the walls, roof, plumbing, electrical, and insulation systems. Plenty of stories exist of homeowners who lit their first fire only to discover that the chimney was sealed over, drew a bath that sent a flood of water through the ceiling to the floor below, and so on.
9) Obtain Occupancy Permit
In the State of Connecticut, you must obtain an occupancy permit from the town in order to move into your new home. When the construction is completed, the building inspector makes a final inspection. If the construction passes the final inspection, a Certificate of Occupancy is issued. The Certificate of Occupancy generally means that the building complies with all codes and regulations applicable at the time of construction. Many banks and lending institutions require an up-to-date Certificate of Occupancy before they will issue a mortgage.
10) Convert Construction Financing over to a Conventional Mortgage
The final item of your new home construction is converting the construction mortgage to a conventional mortgage and having the mortgage closing. Many new homeowners use construction-to-permanent financing programs where the construction loan is converted to a mortgage loan after the certificate of occupancy is issued. The advantage is that you only have to have one application and one closing. A construction loan, unlike a mortgage, isn't meant to be around for a long time. With the house ready and waiting to move in, visit your bank and change over your home construction loan over to a conventional mortgage. With an occupancy permit and mortgage documents in hand, you're now able to move into your new custom home.