Custom Home Building Process

4 min readMay 20, 2022

Reno Luxury Home Builders

The Custom Home Building Process

The Custom Home Building Process consists of identifying a set of available lots and determining an out-of-sale price for each of them. From that out-of-sale price, the builder subtracts the hard and soft costs involved in the construction, such as architectural and engineering fees, real estate commissions, and permits. After determining a fair price for the custom home, the builder can begin the planning process.

Pre-construction planning

When it comes to custom home building, pre-construction planning is crucial for the success of the project. This stage involves evaluating the site characteristics and developing a waste-efficient construction plan for the home. The following timeline illustrates typical project timelines, but each project will have its own unique factors. For example, you may want to consider hiring a construction company that does site preparation, or you may want to consider a design-build team.

In addition to getting permits, pre-construction planning is vital to ensuring that the entire project goes as planned. The pre-construction process will help you get the necessary approvals and permits for your custom home, as well as identify critical deadlines and schedule requirements. The pre-construction phase will also allow you to start personalizing your home. As such, it’s critical to keep in contact with your project manager throughout the process.

Construction phases

There are five main phases of a standard building construction project: initiation, planning, execution and monitoring. In each phase, the team identifies the objective of the building and develops strategies to get the materials and supplies needed to complete it. Once all of the phases have been defined, a construction plan must be developed, which will outline activities and timelines for each step of the project. Depending on the size of the building, the construction process may be lengthy and involve a number of different phases.

The first phase is rough mechanics, which involves preparing the site for the new home. This phase includes building the home’s foundation, which can be slab, block, or poured wall. The second phase, framing, involves installing a drywall interior, insulating the space, and finishing the exterior. The final phase is the completion of the shell. These phases may be completed in any order. After the construction phase is complete, the owner can move in to the custom home.

Change orders during construction

When you start building your custom home, you’ll encounter changes to the plans. Sometimes these changes can be minor, but they may have an impact on the overall price and timeline of the project. It’s important to discuss the process before you begin construction so that you both understand what’s involved. Luckily, these changes don’t have to be costly, and the process is easier if all parties are on the same page.

The process of making changes to your plans will involve change orders, which are agreements between the builder and the owner. These changes can be made to the design of the house, as well as the size of the rooms. The builder may find a problem with the blueprints, requiring an extra step in the design process. The builder may also discover that the move will interfere with the swing of a neighboring door.

Cost of custom home building

The cost of custom home building varies widely depending on your location and the type of materials used. The median price of a home in June 2020 was $295,300, but the exact price can vary a lot depending on the materials and options chosen. Depending on your design preferences and the type of materials used, the cost of the overall project can be as high as $55,000. In general, the average cost of a custom home is $25,000 to $75,000, but it may vary as much as $50,000 or even more, especially if it is located in an area where the cost of land is high.

Major systems like HVAC and plumbing will not change much in cost when you build a custom home. While these can make your home appear more luxurious, these are not terribly expensive and can be eliminated from the budget if you are building on a tight budget. The same goes for other interior finishings, like sinks, toilets, and lights. Besides the major systems, the price of a custom home may also include additional costs, such as the designer’s fees.