Central Texas offers a unique combination of economic opportunities, vibrant culture, and plenty of natural beauty, attracting new residents from all over. With the growth in Austin and the surrounding area, many prospective residents are left with a dilemma: buying an existing home vs. building a custom home. There are pros and cons to both, but it’s important to consider your life stage, budget, and personal taste.
Spec Home vs. Custom Home
Spec homes are existing homes that are constructed without input from a specific buyer. They’re often used as models to showcase a builder’s work and may be tailored to different types of buyers, such as singles, empty nesters, or professional couples with children. These homes usually have premium features and are move-in ready, but you won’t have any say in the floor plan or design.
Conversely, a custom home is a one-of-a-kind residence that’s designed and built for a specific client. The builder works with you every step of the way to design the floor plan, interior design details, and more. This can be a long and involved process, but you will have the exact home you’ve always wanted.
Pros and Cons of Buying a Spec Home
There are benefits to buying a spec home, including:
Availability
Spec homes are often move-in ready, or close to it. New construction projects tend to have delays, but spec homes allow you to relocate quickly without waiting. Because these homes are built to suit the current market demands and trends, they often have desirable features. You won’t have to compromise just to have a home that suits your timeline.
Less Decision Fatigue
While it’s nice to have a home that’s tailored to your exact preferences, the decision-making process can be tiring and stressful. All of a spec home’s design work has been handled by professional builders, leaving a beautiful, finished product that you can enjoy.
Affordability
Spec homes use high-quality materials and upscale features that are typical of the builder, so they’re often more expensive than a standard home in the same market. However, spec homes are usually more affordable than a comparable custom home. You may get a discount if the builder has too much inventory as well.
It’s important to understand the drawbacks of a spec home, including:
Limited Customization
One of the biggest cons of spec homes for many home buyers is the lack of personalization. Spec homes are designed to appeal to a broad market or specific segments, such as a family with children, so you may need to compromise on the finishes, layout, or features.
Renovation Costs
If you choose a spec home that has elements you can’t live with, you need to consider the long-term costs for renovations and upgrades. You should also consider how trendy the design is. Trends come and go in real estate like anything else, so if you choose an older spec home, the design features may be outdated in a short time.
Pros and Cons of Building a Custom Home
There are benefits to building a spec home, including:
Virtually Limitless Personalization
Building a custom home gives you full control over creating your dream home. You can tailor every detail, from the floor plans to the finishes, reflecting your style and needs. For many people, this is the biggest advantage of a custom home.
Quality Control
While spec homes from premium builders often include high-end features, you have control over the quality of the materials and craftsmanship with your custom home. You can ensure that all the materials are top of the line and that incorporate efficiency for long-term cost savings - especially when the custom home is backed by a best-in-class warranty.
Budget Control
Custom homes can be expensive, but you have control to prioritize your budget and choose the features and upgrades that are most important to you. Overall, you can get the home you want within your budget without compromising on the aspects that really matter.
Long-Term Satisfaction
A home is a big investment, so it should be what you want. When you have input throughout the design process, you can ensure that the home fits your lifestyle and reduces the need for major renovations in the future.
However, it’s crucial to understand the drawbacks of building a custom home, including:
Higher Upfront Costs
Custom homes are generally more expensive than their standard counterparts because of the personalized design and tailored features, as well as land costs, construction expenses, architect fees, and more. However, this is balanced by increased value and better overall satisfaction with your home – and fewer renovations to make an existing home your style.
Longer Build Time
The process of designing and constructing a custom home takes time. Your builder will need to coordinate construction, discuss options, and secure permits – not to mention that delays can happen – so you have to be patient with your move-in day.
Decision-Making Requirements
Building a custom home involves a lot of decision-making, including the floor plan, materials, finishes, and design elements. While this is a big advantage to a custom home, it can become overwhelming if you struggle to make decisions and prefer a more straightforward, less-involved process. However, a professional builder will guide you through the process to make it as smooth and comfortable as possible.
Which Is Right for Me?
There are a lot of factors to consider between building a custom home or buying a spec home:
- Timeline: You will need to wait for a custom home, so it may not be the ideal choice if you’re relocating on a strict timeline.
- Customization: Customization is ideal if you want control over the layout and design features to suit your lifestyle.
- Location: You will need available land to build a home, so consider the neighborhoods you want to live in and the available properties.
- Forever home: Custom homes are tailored to your preferences. Consider if this is a starter home or your forever home and whether you’re planning to relocate in the future.
Ready to Explore the Possibilities?
Whether you’re considering the benefits of a custom build-on-your-lot home or looking for premium move-in ready homes, Giddens Homes can help. We’re here to guide you through every step of the process, from initial design to the final touches. Contact us today to plan your Central Texas dream home!