New Home Construction Series, Three Ways to Buy: 2) The "Spec" Home
by Donny Mak
on Wednesday, July 24th, 2013 at 1:00am.
New Home Builder Spec Homes
By: Alan Aptheker
The next blog in our New Construction series will illustrate one of the three different types of new home construction available: A "Spec" home.
"Spec" of course is short for speculative. Builders build homes for sale with no particular buyer in mind. These homes are often completed fully, but it’s very possible to find a spec home still under construction, where there is still wiggle room for personal touches. Some builders specialize in spec homes. They prefer building homes without the complication of working with a customer’s involvement. Other builders enjoy the process of working with their customers and would prefer building a custom home rather than a spec home. Still others make little or no distinction between the two.
PROS: They will usually be well balanced in terms of amenities and upgrades, built in promising neighborhoods, and marketable. Because so many beautiful spec homes are built every year, experienced builders who specialize in the spec home market stake their reputations on their decisions. These homes are often completed and ready for immediate occupancy. Probably the most appealing characteristic of a spec home is that the consumer can see exactly what their money is buying.
CONS: The greatest fallback is that the homes are “someone else’s” idea of what your home should be. Most decisions have already been made, (depending on the phase of construction). And there may be features in the spec home that might not have been on your list of must-have or even “wants,” and like it or not, those costs will have already been baked into the sales price. The ideal situation: putting one under contract in the early phase of construction to assure, at least, customization of your taste in colors and important finishes for the high use areas like bathrooms and kitchens.