To answer the financing question. Each institution does the construction mortgage (please note that its not a conventional mortgage) a little bit differently, but for the most part you get draws throughout the build.
If you qualify for a $900,000 mortgage, then Im fairly certain you can get a $900K construction mortgage.
A bank would give you:
30% at backfill
65% at drywall
85% at cabinets
100% at completion
Being a general contractor yourself might be harder now as the govt just changed the home warranty laws and i think you have to be covered by a warranty which isnt too easy to get. Then all trades/suppliers will not give you discounts (trades will charge more) as you are a guy off the street that will demand twice as much attention as they have to teach you things and explain every step as opposed to just working. Also you will not be able to make a decision on the spot as you will have a hard time knowing the consequences of moving a bearing wall and using a semi flush beam as opposed to flush beam. Trades know this and will charge you more.
I would suggest using a builder. You will either get:
- Major builder, set price. You are overpaying, but get security in case prices skyrocket. Builder carries the risk but you pay for it. Usually a downpayment and rest due at closing (conventional mortgage)
- Custom builder, cost + (12-20%). Some builders will do a set amount for the "plus" part. Financing would depend on builder and how they do it - invoice monthly or they match when you get draws from the bank (need construction mortgage).
When shopping for a builder dont compare price/ft as pretty much every builder will include different things in their price. Make a List of what you want and then price it out for a full quote (some things will depend on design but then the builder will give you their assumptions that come with the quote).
@Knalus
I think you either have to stop being ignorant or start getting out more. Calgary is becoming a major city. There is not a lot of metro areas in the world that are dominated by single detached homes within the inner city. Most major cities do not even have duplexes, but only townhomes/apartments/condos in the core.
Bigger city = more people = more people want to live closer to the core = land shortage
People who buy in the inner city buy for location and not for the size of yard or having an attached neighbour.
Originally when the infill developement started till about 2005 it was dominated by single detached homes as everyone had the old school mentality of duplexes being cheap.
But since then the city has grown up. Condo living 10 years ago was for people who could not afford a house and had to rent or barely get by. Look at the skyline now. Downtown is dominated by condos (like any major city) and people live there by choice and not necessity (many people dont want to commute for 45 minutes each day to have an extra guest bedroom that they use 4 nights a year).
Look at the River development. Condos selling for $4-$7 MILLION. in Calgary.
Right now if you drive via innercity 90% of R2 lot develpments are attached/duplexes and not single infills. The stigma has passed (not on you I guess, and not on all). With a duplex, its a cheaper build (not by that much), but you get a better space design as a 21' wide house is much spacier then 17' house and you actually get a bit of backyard, as with single homes you get a 10' deck and then a garage. The difference between a 13' backyard and a 25' is huge. Also with a 17' wide house if you want to put 3 bedrooms up, you get a master on one end, and at the other end you get 2 bedrooms which are less then 8' wide (cant put it in middle of house with any substantial windows).
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