Custom Home Building

Have not done a good job of keeping this blog alive. Need to figure that out!

Home Builder and Client as Partners

In the custom home building environment, it helps to think of the builder and client as partners. As in any relationship, there are elements that are important to fostering a successful relationship and an end result of a home that leaves everyone feeling satisfied.

A good relationship is always based on trust. It is imperative that both parties are always truthful and honest. Home buyers typically hedge a little bit, and are not always completely open about what they are really trying to get or how much they expect to spend. In the past, contractors would often make up excuses for not being able to do something, or maybe even fabricate a reason for doing something a certain way. In the current information age, that can only lead to trouble. People are much more informed and knowledgeable than they used to be.

For the partnership and home to turn out like everyone expects, it is imperative to maintain clear and open lines of communication. In any successful relationship, including homebuilding, it is much better to be open and honest. That is the most sure way to ultimate success.

New Home Prospect Interview

John Kaltenbach met with a prospective client this week. They had found John Kaltenbach Homes on the internet as they were firing a local production builder they had hired to build a standard floorplan on the owners lot (which is a little unusual.) Through various emails and phone conversations over the last year, it was apparent communication could be a problem.

The previous builder had actually taken ownership of their land to build the house. Most custom builders build on the clients lot and have them provide their own construction financing. The attorney they used to sue the builder to get their land back called a week or so before the meeting to let John know the meeting would be at his office.

Most of the talk of the meeting was about custom building versus production homes from a stock plan. The prospects settlement with the previous builder included a license to build the home. It was not a bad floorplan, and suited the family well.

When price came up, the prospects seemed surprised at the cost of a custom home builder. The amounts they were ballparking from the previous builder were very lowball, and not very upfront. Because John Kaltenbach always makes sure to pre-qualify the prospect before ever meeting them, it was disappointing that they were talking about numbers that were far below the range he had both emailed them and told them on the phone.

Looks like this is not going to be a relationship that goes any further. Too bad everyone's time was wasted and the potential buyer had to pay their attorney a couple hours in legal fees. They should have stayed with the other builder.