Buying a new home is a major life change. Your home is the most important place in your life, and you want to ensure that your next home is right for you.
Once you know you want a new construction home, it’s time to decide between a custom, semi-custom, or spec home. As you look through builders and listings in the area, you’ll see listings for all three opportunities. Some builders may provide one kind of home but not another.
Let’s answer the question, “What is a custom home?” and look at each kind of home–fully custom, semi-custom, and spec–their pros and cons, and how to decide what’s right for you.
What is a Fully Custom Home?
A fully custom home is designed and built according to the needs and tastes of a specific client. Fully custom homes are highly personalized. The homeowner participates in every aspect of the design process to ensure every feature meets their needs.
Fully custom homes usually require specialized builders with a unique home-building process for their customers.
These builders have an on-staff architect or draftsman to design a unique floor plan and home elevation for the customer. The customer chooses everything in the floor plan, from room dimensions to window locations.
Custom home builders also offer a designer to provide guidance, insight, and assistance for all the interior and exterior selections included in the home. In a custom home, the homeowner goes through a significant checklist of decisions. Wall colors, cabinet styles, lighting selections, and tile layouts are all done according to the homeowner’s decisions.
If you’re considering building a fully custom home, keep in mind some of the pros and cons of the process.
The Pros of Building a Fully Custom Home
- Choose your own lot and location
- Create the floor plan that works for you
- Stay involved in the design process from start to finish
- Have control over your home
- Solve your unique needs
- Design a green home
- Plan for the future
- Choose from unlimited selection options
- Build the home of your dreams
The Cons of Building a Fully-Custom Home
- It’s the most expensive option of the three
- The process takes a year or more
- Requires more of your time and energy
- Too much customization affects resale values
Building a fully custom home is a unique and rewarding experience, with your dream home on the other side. A skilled custom home builder provides a smooth process. However, the house will cost more than a semi-custom or spec home and take longer to complete.
What is a Semi-Custom Home?
Semi-custom homes combine elements of the custom home experience and a pre-designed home. In a semi-custom home, the builder offers pre-set designs and selections for the customer.
While most semi-custom home builders call themselves custom builders, several key differences exist. Instead of offering floor plan design services, semi-custom builders have a set of designed floor plans they build. Usually, these floor plans allow for some slight modifications, like adding a bonus room or an alternate fireplace location.
Semi-custom builders often provide pre-set selection packages. Instead of individually choosing every countertop, faucet, and light fixture, they offer a selection package made up of a curated collection of choices within a style. They may also offer the ability to choose each feature but provide limited options for each selection.
If you are considering building a semi-custom home, there are many things to remember.
The Pros of Building a Semi-Custom Home
- Choose your floor plan
- Find a lot and location you like
- Make selections that fit your style and needs
- Faster, more streamlined build process
- Less expensive than a fully custom home
- Retains resale value
The Cons of Building a Semi-Custom Home
- Customization options are limited
- May not include everything you wanted
- The build process takes 8-12 months to complete
- More expensive than buying a pre-built home
With the right home builder, a semi-custom home balances cost-saving convenience and personalization. Building a semi-custom home is a good compromise between the benefits of a fully custom home and a spec home.
What is a Spec Home?
A spec home, or speculative home, is built by a builder for the general market. Builders construct spec homes to list them on the open market.
An in-house designer makes all the selections for a spec home, and the builder uses a pre-designed floor plan, usually one they frequently build. Rather than designing these homes with a customer in mind, they are typically optimized for broad appeal and cost-effectiveness.
Builders list a spec home when complete or nearly complete, so it is move-in ready for the buyer. For a spec home, the builder takes on the construction cost first, so they are generally more motivated to make a sale.
Spec homes usually provide a quicker option for buying a new construction home without the long wait of the custom build process. If you think a spec home may be right for you, there are some things to consider.
The Pros of Buying a Spec Home
- Move-in Ready
- Professionally designed by the builder’s team
- Less expensive than a fully custom or semi-custom home
- See the completed home before you commit
- Retains resale value well
The Cons of Buying a Spec Home
- May be very similar to other homes in the area
- Style and features aren’t exactly what you want
- Selections and materials are generally less expensive
If you buy a home from a high-quality builder, a spec home is a great way to purchase a brand-new home ready for move-in.
How to Decide What’s Best for You
Now that we reviewed all of the new construction home options and their pros and cons let’s look at how to choose between them.
Though building a fully custom home is the dream for many people, several factors determine if it’s the best choice for you. Consider the following before deciding what’s best for you:
- What is your budget? As we discussed, a fully custom home is the most immediately expensive of the three options. However, you could save money in the long run by reducing energy costs and avoiding future renovations.
- What is your timeline? How soon do you need to be in your new home? If you already sold your previous home, waiting for construction might mean finding temporary housing options. Also, consider the time you have available to devote to a fully custom home build.
- What are your must haves? Are there particular features you need in a home that won’t be available in a semi-custom or spec home? For example, many spec homes offer RV bays, but a separate shop on your property likely requires a fully custom builder.
- What homes are available in your area? The move-in ready convenience of a spec home doesn’t apply if the homes in your area don’t suit your needs.
- Who are the home builders in your area? There may be a builder with homes you love who offers a different service than you thought you wanted.
Deciding between a fully custom, semi-custom, or spec home is easy if you know what you need.
Fully Custom, Custom, and Spec
Now that you know what a custom home is and the differences between fully custom, semi-custom, and spec homes, you can decide which new construction home is right for you.
If you’re in the Boise, Idaho area, Oakmont is one of the few builders in Boise that provide a fully custom home-building experience.
