WhyNot?

Unfinished house

Category: Home
Responses: 3 (3 in support, 0 neutral, 0 in opposition)
Number of views: 1255
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With the high price of all homes it appears there is a demand for fixer-uppers. People looking for houses they can remodel into something they can either live in or sell for a profit.The problem with buying an old house is the risk of finding some problem that didn't show up in the pre-purchase inspection, like leaky plumbing, corroded wiring, pest infestation, etc., etc..Such problems can completely wipe out the profit or exceed the remodeling budget.

Home builders should offer new homes in various stages of completion. The buyers would consist of people who feel capable of finishing the house to their own specifications. The cost would reflect the price of the land, the materials and labor expended, and the total profit the builder had expected to make with a finished house.

With new construction there would be no surprises lurking in the woodwork, no unexpected expenses.

It is usually the finishing details that cost the most and take the most time. The buyer could finish the house at his own pace, spending as much or little money as is available. At the rate I work it would take years, but I suspect most buyers would finish faster than me. And even if they didn't finish there would still be a market for the unfinished house.

jasherm, Feb 27 2007

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Comments from other members:

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Several reasons why not:

A: Warrantees. In some places a new home is warranted by the builder, and that would be for a reasonably or totally complete home. A significantly incomplete home would be unwarrantable.

B: Suitability for occupancy. A new home most likely has to be sold in a liveable/occupiable condition.

C: Value. A seller would make significantly more money/profit selling a complete home rather than an incomplete or nearly complete home. It is highly uinlikely a seller will sell a new home that way.

The only way to do such, would be to be the GC yourself, on your own house, or work with a builder or GC you can trust. Or develop your own bunch of homes, sold nearly complete.

classicsat, Feb 27 2007