Real Estate Information

Luxury Real Estate Information


Rancho Palos Verdes, California Homes
Palos Verdes, California Homes
South Bay, California Homes
Luxury Mexican Beachfront Homes

Featured Properties


Oceanfront Estate Near Trump National

Related Information


Loan Information
Real Estate Information
Mortgage Refinance Information

Budgeting Your Log Home - Creating a Checklist


If you've read my first article, BUDGETING YOUR LOG HOME: Where do you start?, you've got a very basic overview of the process. However, there are still a number of questions I'd like to address. Again, many of these questions will come up if you build any custom home, but I'd venture to guess the log home owners find themselves deeper in the decision-making process than someone dealing with a custom builder. After all, the differences become apparent immediately as the owners have to find their own manufacturer.

Unless you have a pocket full of cash, you're going to have to follow the construction loan mindset throughout the budgeting process. I plan to devote a whole article to the construction loan, but this pursuit will serve as a preliminary step before going to the bank.

The biggest part of your budget will be the purchase of the land. With today's new construction market - especially in New Jersey - the raw land constitutes 30%-40% of the total project (of course, in other states the land won't be so much but your overall costs will be less, too). It helps to purchase the land first so you know how much money you're going to have left over.

Then you need to figure out how much to set aside for your excavation, your driveway, and your septic system. Before you can get to this number, it helps to hire a civil engineer to draw up a survey and plot plan (you'll need the survey for the mortgage company anyway). This will cost you a few hundred dollars. The plot plan will diagram where the house will go (and footprint of the house), the length of the driveway, where the septic and well will go. With this document, you can go to the excavator for a quote.

Since most log homes tend to be built in rural areas, you will probably have to install your own septic and well. The excavator who does your driveway will most likely be the one who will dig your septic. The well driller will probably be a different company. These are both "wild cards", because the cost of the septic will depend on how well the land percs (short for percolate), and you don't know how deep your well will go.

Once again, the engineer will design a septic plan which will have to be approved by the county (in most states). The cost of your septic could range anywhere from $10,000 - $30,000. If you are setting the house way back from the road, you must budget for that extra-long driveway. And if your lot is heavily wooded, you will have to pay extra for tree removal; remember that you need to clear plenty of space to accommodate both the house and a large area around the house for the machinery to maneuver. You also have to consider a space to put the logs after delivery.

Once the location and footprint of the house is determined, you may need to use a different contractor for the foundation. Foundations are not provided by the log home manufacturer (with rare exceptions). There are several ways to go: you can build on a slab, a crawl space, or a full basement. You can use a block foundation, a precast foundation, a poured concrete foundation (these are the main choices). Poured concrete is the most expensive. These days, many people choose precast foundations for log homes, because they are so accurate and don't require a footer. If you go this route, you'll have to hire a mason to pour the floor after the precast foundation is erected. Remember that if you choose to build on a slab, you're going to have problems routing your wiring, because this is normally done from the basement.

Your log home manufacturer is going to give you a quote for the package. Many people want the manufacturer to quote on a "turnkey" house or at least a weathered-in shell, as a matter of convenience. However, this might not be the way to go if you live in a different state from the mill. Do you really want to pay shipping for plywood? In the end, having your contractor purchase lumber locally could save you thousands of dollars, even it it's a little less convenient to calculate it initially. Your local builder will gladly give you a quote as long as he has a good set of preliminary plans to work from.

I started with a simple check list to sort out my budget. Luckily, I found a contractor who was willing to take over the project and hire his own subs; his itemized quote helped me visualize all the elements that went into the project. Then I added subs that I hired separately (excavator, mason, landscaper, etc.). Here are some line items that went on the checklist: Air Conditioner, Appliances, Builder's Profit, Doors (interior), Doors (exterior), Driveway, Electrician, Fireplace, Flooring, Foundation, Furnace (or Boiler), HVAC Installation, Insulation, Interior Trim, Kitchen, Labor, Landscaping (Grass seed), Lift equipment, Lighting Fixtures, Logs, Lumber (plywood, joists, 2x6s), Mason, Permits, Plumbing, Plumbing Fixtures (sinks, bathtubs, toilets), Roof, Sanding and Staining, Septic, Staircase (if not included in log quote), Tiles (kitchen & bath), Utilities, Well, Windows.

Depending on your job site, you may have other expenses. If the flatbed truck carrying your logs cannot make it to the site, you'll have to make provisions to off-load the logs elsewhere and have them brought in. If you are set way back from the road, you may have to pay for telephone poles, or pay for the trenching. Also, your builder may require that you bring power to the site for his tools (most allow you a few days of generator power, but not for the whole job).

It took a while to fill in all the blanks on my check list, but once I started looking at each task individually, the project as a whole made sense. Actually, the log package was the easiest part to deal with. In our case, the manufacturer provided the logs only (and the design), which came out to less than 1/6 the total cost of the house (not counting the land work). For the rest, the costs are like any other custom home; then the question becomes "Who does what?". After all, a little sweat equity goes a long way.

Mercedes Hayes is a Hiawatha Log Home dealer and also a Realtor in New Jersey and Pennsylvania. She designed her own log home which was featured in the 2004 Floor Plan Guide of Log Home Living magazine. You can learn more about log homes by visiting http://www.JerseyLogHomes.com.


MORE RESOURCES:
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news


Miami Herald

Some impacts of new tax law on local real estate are clear. Some aren't.
Miami Herald
Even though the sweeping tax reform bill was signed into law on Dec. 22, the massive document is so dense that even seasoned real estate professionals aren't entirely sure what it will mean for Miami. While some of the bill's real estate provisions are ...



New York Post

Foreign investors are still snatching up NYC real estate
New York Post
While foreign investors are spending plenty of bucks in the Big Apple, they are not as aggressive as they were a year or two ago. Despite money moving into city assets, New York's reign as the top global destination targeted by foreign investment has ...



Gecina: Parisian Real Estate Player To Have A Strong 2018
Seeking Alpha
The company has made some excellent strides recently, and shareholder value has been increasing. Recent efforts on specializing on Parisian real estate assets (shedding non-core assets), as well as a recent combination with Eurosic, makes Gecina a very ...



Forbes

3 Commercial Real Estate Trends To Watch In 2018 - Forbes
Forbes
Political and economic uncertainty has pervaded the past year, with the U.S. economy showing signs of growth amid low inflation and a distressed retail segment in 2017. Here's a look at three commercial real estate trends to watch in 2018.

and more »


Bisnow

GFP Real Estate Buying FiDi Office Building For $310M In First Big Deal Since Name Change
Bisnow
GFP Real Estate has made its first major transaction since changing its name from Newmark Holdings in October. The Gural family-run company purchased 7 Hanover Square in the Financial District from The Guardian Life Insurance Co. for $310M with the ...



Mainebiz

Southern Maine's housing market still riding high, experts say
Press Herald
The marijuana industry has driven a lot of activity in the Portland industrial real estate market in recent years, said Justin Lamontagne, partner and broker at NAI The Dunham Group in Portland. The growth in that industry – along with craft brewing ...
MEREDA Index: State's real estate activity hits 10-year highMainebiz

all 2 news articles »


Pittsburgh Post-Gazette

Hanna Holdings invests in Seattle real estate tech firm
Pittsburgh Post-Gazette
Hanna Holdings, the holding company for Howard Hanna Real Estate Services, announced on Thursday it has invested in a Seattle-based real estate technology firm that provides a suite of tools to make agents more productive. The O'Hara real estate ...



New York Post

Celebrate New York real estate's best and brightest
New York Post
When the Real Estate Board of New York talks, politicians listen — because the organization provides thoughtful advice on policies that affect all the city's residents. The oldest and most influential trade association in the city represents a who's ...

and more »


Forbes

In Real Estate, It's Location; In Healthcare, It's Compliance
Forbes
Paul Martyn , Contributor I write about the supply chain industry. Opinions expressed by Forbes Contributors are their own. Shutterstock. Pointing out that hospital supply chain management (SCM) practice has left a lot to be desired is about as ...



IllinoisHomePage.net

Real Estate Technology
IllinoisHomePage.net
Indianapolis, IN - Not so long ago, if you wanted to buy a house, you drove around, paged through books of homes for sale and walked through open house days. But in today's Angie's List report, we'll see how technology is changing the real estate game ...


Google News

home | site map
© 2006 TIGER MEDIA