The following is a list of additional costs to consider when building a custom home or when choosing a location to build your home. These are some examples of what to expect. Your particular situation may not require all of these or you may incur other costs that are not mentioned below. These are estimates from previous homes, all costs can vary in each situation. The following information is to be used only as a guide and are not exact numbers for your home.

PLANS

The cost to design a full set of plans (floor plan, electrical plan, exterior elevations, roof plan, plot plan and cabinet details) varies from $1.00 to $3.00 per covered square foot. Covered square foot means all air condition spaces, porches, patios, garages and anything else, which has a roof. Interviews with several architects can be arranged for you to make your choice of whom you prefer.

LOCATION

Property: In most circumstances the cost of the property is not included in the cost of a custom home. Neither are taxes and/or homeowner dues (if required).

Water Wells: Water wells are approximately $7,000 to $15,000 depending on your location and depth of the well. Depending on the volume and quality of water, a storage tank may also be required at an additional cost.

Sewage: Septic tanks (conventional and aerobic systems) $6,000 to $10,000.
Electricity: The cost for the local electric company to provide power to the home site varies for each electric company. Contact your local electric provider to estimate the cost to have electricity at your site. A fair estimate can only be provided by the electric provider in your area.

Propane Tank: An underground 500 gallon propane tank filled with gas is approximately $4000.

Home owner association (HOA) cost: The Dominion HOA as an example (as of June 2007):
-HOA deposit building deposit of $2,500 is required before commencement of construction.
-Non-refundable $2,000 building permit fee

Plan submittal fee of $250 is required to have plans approved by the HOA architectural control committee.

HOA monthly dues for all areas are $165 per month once a lot is purchased. The Cottage Estates has its own HOA in addition to the general Dominion HOA. Their cost is $80 per month prior to the completion of construction. Once a home is complete the cost is adjusted to $160 per month, which includes a lawn service.

There is also a lot maintenance cost for the HOA to mow your lot until construction is begun. A lot will be mowed as needed, in the opinion for the HOA, estimate $50-$100 every 60 days for this.

FINANCING

Interim Interest: If construction will be financed through a lending institute the owner will be obligated to pay the interest on this loan monthly. Before construction begins, the interim construction loan will pay off any balance on the property and then during construction draws will be made from this loan to finance the construction of your home. Many banks have different approaches to this, and we can suggest banks to speak with if you are interested.

What fees should I expect to pay at my construction loan closing?
The following downloadable document is from Compass Bank in order to give you a good idea of what to expect when you obtain a construction loan.

--Compass Brochure (click to view)--

Deposit: A deposit of 4% to 8% of the total cost of the home will be required prior to construction. This deposit will be applied to the down payment on the permanent loan or be refunded once the permanent loan is closed.

Permanent Financing: If the home will not be paid for by cash, once construction is complete a permanent loan will need to be established. We again can offer suggestions for this if you do not already have a relationship. See the mortgage calculator below for some estimates.