How to Build your Dream Home Without Breaking the Bank (2024)

Podcast

How to Build your Dream Home Without Breaking the Bank

Published on:

9/13/23

written by:

Carrie Barker

Do you think it’s impossible to build your dream home without breaking the bank?

If so, (thankfully) you’re wrong.

I’m here to tell you that you CAN build a house you absolutely LOVE without blowing your budget.

I know this because I did it.

And you can too.

The key to building a house you absolutely LOVE (w/o breaking the bank) is to prepare for your home build in a SMART + STRATEGIC way.

COMMON FEARS WHEN BUILDING A HOUSE

I talk to my clients (and blog readers and podcast listeners) A LOT about their biggest fears when it comes to building a home.

It’s one of the first questions I ask people when they join my email list or join my ‘Before You Build’ group coaching program.

So I have a lot of data … from hundreds and hundreds and hundreds of people like you.

Guess what two things (by far) top my clients’ and listeners’ list of home build fears?

FEAR OF GOING OVER BUDGET

The first (and biggest) fear is going over budget.

I hear all kinds of variations of the phrase ‘going over budget’ (blowing the budget; going over budget; not staying on budget; being financially strapped because I went over budget, etc.) but they ALL mean the same thing.

FEAR OF ‘NOT LIKING HOUSE’

The second biggest fear is making design mistakes and ending up with a home they don’t love.

I hear lots of variations of the phrase ‘not liking my house when it’s done’ (making mistakes; making choices I’ll later regret; feeling disappointed with final house; messing up, etc.), but they all mean the same thing.

Do either of these fears sound familiar?

If so, you’re NOT alone.

Nearly everyone shares the EXACT same fears as you.

I even had these fears when building my own custom home.

It’s hard not to when we hear from soooo many people that it’s *inevitable* that we’ll go over budget when building a house because ‘everybody does’.

THE REALITY: YOU’RE IN CONTROL!

The unfortunate reality is that *most* people DO go over budget.

Many go significantly over budget.

But it’s not inevitable.

I know this because I built my own dream home without blowing the budget … and now I’m here to help YOU do the same.

I want you to always remember that this is YOUR home-build experience.

And YOU are in control of how YOUR home build experience goes.

You CAN stick close to budget.

Instead of sleepless nights worrying about going over budget or not liking your house when it’s done, how would it feel to have a simple strategy to build a house you absolutely LOVE without breaking the bank?

Pretty good, right?

I want this for you.

I want you to be super happy with your new house (and your mortgage) when you move in.

Soooooo …

FREE TRAINING FOR YOU!

I’ve created a *FREE* training for YOU … ‘3 Keys to Build Your Dream Home without Blowing Your Budget’.

In this training, I’ll teach you the exact same home build prep strategy that I teach my clients inside my private ‘Before You Build’ Program.

This simple 4-step strategy completely transforms my clients’ entire home-building experience.

I’ll also share 3 common mistakes that cause *most* people to go significantly over budget when building.

However, I do NOT want you making these mistakes, so I’m going a little rogue here and I’m doing something I don’t usually do.

I’m going to share these 3 common mistakes RIGHT NOW in this episode.

Believe me, you’ll still want to register for this *FREE* training because you do NOT want to miss learning the exact process of how I built my own dream home without going over budget.

Ok, let’s get into the three common mistakes that lead most people to go over budget when building.

COMMON MISTAKES WHEN BUILDING A HOUSE

MISTAKE #1: Believing it’s inevitable that you’ll go over budget when building a custom home.

The first mistake is believing it’s inevitable you’ll go over budget when building a custom home.

This seems very simplistic, BUT this belief actually holds a lot of people back.

If you assume that you’ll go over budget because everyone tells you *they* did, then it’s hard to believe there’s another way … a way that allows you to build within budget (or at least really close to budget).

This is the first mindset shift I want YOU to make. RIGHT. NOW.

As we discussed earlier, the reality is that *most* people do go over budget when building BUT it’s not inevitable.

My house and my experience are proof of this.

It IS possible to build your dream home without breaking the bank.

It just takes some strategic planning before you ever break ground.

MISTAKE #2: Believing you have to sacrifice your must-haves to stay on budget

The second mistake is believing you’ll have to ‘settle’ or sacrifice your must-haves to avoid going over budget.

The good news is that you *do not* have to ‘settle’ to stay within budget.

And you don’t have to sacrifice your must-haves.

You also don’t have to go significantly over budget to build a house you absolutely love.

You just need a strategic plan of where to *splurge* and where to *save* when it comes to making design decisions for your home.

It’s pretty simple, actually.

This is one of the strategies that I walk my clients through inside my ‘Before You Build’ Program.

MISTAKE #3: Not taking the time to thoroughly plan BEFORE you build

The third mistake is not taking the time to adequately and thoroughly plan BEFORE you start building.

The biggest mistake people make when building a home is thinking they can make design decisions along the way and tweak their budget along the way.

But, guess what ‘these’ people end up with …

a mortgage that’s WAY higher than they’re comfortable with
Intense stress as the decisions come fast and furiously
minimal excitement during the home build process
design regrets (lots o’ them) because there was too little time to make decisions

This is the last thing I want to happen to you, especially because all of this can be avoided by going in with a plan.

And you don’t need to spend a ton of time planning for your home build in order to make it a success.

You just need a proven plan laid out for you with a step-by-step method to follow. A plan that worked for me and is now working for my ‘Before You Build’ clients as well.

In my *FREE* training, I will teach you the same simple 4-step process that I walk all of my ‘Before You Build’ group coaching clients through BEFORE they ever start making design decisions for their dream home.

HOW TO BUILD A HOUSE YOU LOVE WITHOUT BREAKING THE BANK

The key to building a house you absolutely LOVE (w/o blowing your budget) is to prepare for your home build in a SMART + STRATEGIC way.

If you’re dreaming of building a home and you want a strategic plan to avoid blowing your budget, you will NOT want to miss my *FREE* LIVE training (3 Keys to Build Your Dream Home without Blowing Your Budget) that you can watch on-demand RIGHT NOW!

Grab your (virtual) seat!

Here’s what we’ll cover in this FREE training:

We’ll cover 3 COMMON MISTAKES that get in the way of staying on budget when building
I’ll teach you 3 KEYS to build a house you absolutely LOVE and is perfect for YOUR family WITHOUT blowing your budget
PLUS, I’ll share the exact step-by-step process that I teach my clients inside my ‘Before You Build’ (BYB) group coaching program. (Psst… this simple 4-step process completely transforms my clients’ entire home-build experience!)

I promise that just by implementing the steps I teach in this training, you will be FAR ahead of *most* people (i.e. the people who go significantly over budget).

Grab a (virtual) seat in my *FREE* training, ‘3 Keys to Build Your Dream Home WITHOUT Blowing Your Budget’, that you can watch on-demand.

FAQs

How to Build your Dream Home Without Breaking the Bank? ›

However, the average cost to build a new home ranges from $50 – $400 per square foot depending on the type of home you're building and the amenities you're planning to include. Building a bigger home also results in higher costs due to additional building materials and labor costs.

Read On ›

How to build a house without breaking the bank? ›

Budget-Friendly Home Plans: How to Build Your Dream Home without Breaking the Bank

Plan and Prioritize Your Needs. ...
Choose a Functional Layout. ...
Explore Pre-Designed Home Plans. ...
Opt for Smaller Square Footage. ...
Energy-Efficiency is a Must. ...
DIY or Sweat Equity. ...
Efficient Material Selection. ...
Control Labor Costs.

More items...

Oct 12, 2023

Discover More Details ›

How much money do I need to build my dream home? ›

Is it cheaper to build your dream house? ›

The Bottom Line: Should You Build Or Buy A House? Building a new-construction home may be the only way to make your dreams of all custom features and total satisfaction a reality, but it involves a more expensive and time-consuming process than purchasing a house that's already been built.

See Details ›

Is it cheaper to build up or out? ›

In general, building up tends to be less costly than building out. When you factor in things like digging and pouring a new foundation, building out typically carries a higher price tag (though this isn't always true, and certainly depends on the size of the room and its purpose).

Find Out More ›

What happens if you run out of money while building a house? ›

The most obvious solution is to look for additional funding options. For a reliable property owner with good credit, it may be as simple as applying for additional financing. In some cases, like a lost grant, it may be much more difficult. The right option depends heavily on the type of project and its scope.

Tell Me More ›

Is it hard to borrow money to build a house? ›

Here's how you can borrow to build your dream home from the ground up. Construction loans can be more difficult to qualify for than traditional mortgages because the house hasn't been built yet, so there is no collateral.

Show Me More ›

What is the most expensive part of building a house? ›

Building a foundation is often among the most costly items on this list. Home foundations are built underground and support the structure's weight. A strong foundation must: Assist in support of the above structure.

Explore More ›

Is $50,000 enough to build a house? ›

If you only require one bedroom, only build one bedroom. You can actually build a two or three-bedroom house for $50k, so if you have a small family, this also could work. Make sure you meticulously plan out your layout, so you are certain it will all work.

How much money should I have saved to build a house? ›

Average Cost To Build A House By State

State	Cost
California	$400,300
Colorado	$260,100
Connecticut	$550,000
Delaware	$327,060

46 more rows

Dec 27, 2023

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What is the cheapest style house to build? ›

A ranch-style house is generally more affordable to build because it has an easy, open floor plan and is traditionally available in a rectangular or U-shaped layout.

Read The Full Story ›

What house is cheapest to build? ›

We compiled a list of the least expensive types below if you're looking to save the most money when building a new home.

Ranch-style homes.
Colonial homes.
Tiny homes.
Kit homes.
Off-grid homes.
Prefabricated homes.
Shipping container homes.
Barndominiums.

Mar 6, 2024

See Details ›

Is it cheaper to build a barndominium or a house? ›

Barndominiums can be cheaper than traditional homes as a future barndominium owner has the option to be their own general contractor and buy a barndominium house plan directly online, saving anywhere from 15-20%.

Get More Info Here ›

How much does it cost to add 1000 square feet to a house? ›

How much does it cost to add 1000 square feet to a house? Based on a cost of $80 and $200 per square foot (£627 and £1,567 per square metre), you can expect to pay between $80,000 and $200,000 (£58,244 and £145,589) to add 1000 square feet to a house.

Is a basem*nt or 2nd story cheaper? ›

Generally speaking, building up tends to be less expensive than a basem*nt. That said, not too long ago, lumber was at an all-time high and basem*nts were the better option. Check with your builder and they can advise you on the pros, cons, and cost of each.

Is it cheaper to build a one story or two-story barndominium? ›

Single-story barndominiums are generally perceived as less expensive due to several factors: – **Foundation Costs**: The foundation of a single-story barndominium typically costs less than that of a two-story structure since it bears less weight. This can lead to savings in both materials and labor.

View Details ›

How to borrow money from bank to build a house? ›

Applying for a construction loan can be a complex process. You'll need to prove that your home-building project is real, viable, and relatively low-risk for the lender. For most construction loan applications, you'll need to provide the lender with a project timetable and a realistic budget.

Can I build a house with my own money? ›

It is possible! While most buyers apply for a construction loan to build a house, it's not the only option when it comes to financing this new purchase. You can pay cash for a new custom home.

Learn More ›

Is it cheaper to build or buy a home? ›

Overall, it's cheaper to build a home than to buy one in California, with 13 out of the 20 counties saving you money if you decide to build your house from scratch. Budget-wise, building is more favorable in Southern California whereas Central California caters best to those interested in buying.

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What happens to house if bank fails? ›

Your mortgage will likely be sold to another financial institution. If so, the new owner must communicate this change to you within 30 days of the transfer date, according to the Consumer Financial Protection Bureau (CFPB).

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