CUSTOM HOME BUILDING



Building a custom home with Blake Houston Homes


I have been in the home-building business since 1992, so I've seen just about every circumstance imaginable. I know from a customer's perspective, how daunting the prospect of building from scratch can seem. We have developed a system that streamlines the process and allows our homeowners to be as involved as they choose to be - whether that means personally selecting every electrical fixture or simply approving choices from a fixed menu of possibilities. We have assembled an expert professional team, selected a remarkable array of vendors, and built a responsive support staff to guide you every step of the way. Why? Because we want you to be completely comfortable in choosing Blake Houston Homes to build a fine distinctive home for you.

From conception to completion there are seven main phases in a custom home project:

1) Initial Meeting - where we discuss your goals and budget considerations.

2) Design - We have a preferred architect, but have worked successfully with several local firms and are happy to collaborate with an architect of your choice.

3) Residential Construction Contract - This document sets the specific terms of our agreement: what we're building; interior fixtures and finish-out features; what it will cost; how long we expect it to take; how we handle change orders and other departures from our initial plan.

4) Pre-Construction - Several mechanical and permitting requirements are settled here, including approval of your builidng plans by your local governmental body.

5) Selections - This is the really fun part: Choosing the options that give your home that purely personal touch. We would suggest using an interior decorator to help narrow down the dizzying array of options. We'll be happy to suggest some excellent designers if you like.

6) Construction - From lot clearing to the day you move-in, we strive to make the experience as easy on you as is humanly possible. 7) Warranty and Service - Standing behind the home we have built for you.


PHASE ONE: THE INITIAL MEETING
Your first meeting with Blake Houston Homes will be a detailed examination of your design ideas and budget considerations. We'll need to look at lot size and terrain restrictions, try to optimize views and site lines and identify the unique qualities of your project. We always like to settle on a home-site before beginning the design phase. If you have not selected a home-site, we can assist you in locating one. Due to the rugged nature of Austin’s topography, your home might require special construction techniques. We’ve been building in the Austin hills for a decade and a half, so we can offer sound advice on the best footprint for your dream home and ways to take advantage of even the most unusual contours. We’ll show you examples of floorplans we have already built to amplify your own ideas and ask some fairly detailed questions about what materials and features you would like incorporated in your dream home.
There are a few support documents that will affect the design of your new home: Your lot information, including subdivision deed restrictions, and a survey of your lot or a plat of the subdivision, and any title work. All of these items will affect the design of your new home. We have a simple design questionnaire that you may download to assist you in the design process.
It's a great help to us if you bring any photos or magazine clips you've collected. It's so much easier for us to get a handle on your preferences if we look at samples together as we decide on a aesthetic approach. The more we can home in on your lifestyle and the mood you want to create, the easier it will be to settle on the appropriate design.
At the conclusion of this first meeting, Blake Houston Homes will have obtained enough information to offer a general estimate of how much your new custom home will cost.


PHASE TWO: CHOOSE AN ARCHITECT, COMPLETE THE DESIGN

We have a preferred architect we've collaborated with on numerous custom homes in Central Texas. We have also worked with many other firms around Austin and are equally comfortable working with the architect of your choice. We suggest that with any architectural candidate you ask to see recent designs that compare with yours in size and style. Take the time for a face-to-face interview. Portfolio samples and printed brochures can't tell you whether there's positive chemistry between you as a client and the person who will bring your dream home to life.

Ultimately, the design of your new home is shaped by three key variables:
1) price;
2) size, and
3) specifications: the materials and features that go into your home.

As a buyer, you can only realistically expect to control two of these three elements. Here's how the scenarios typically play out:
1) If you want to control the price and size of your home, you will need to remain flexible on the specifications of what goes into that home.
2) But if you have a fixed price point and very strong ideas about materials and finish-out quality, that will limit the size house you can build.
3) And finally, if size and specifications are most important to you, your final price will vary.

To get the most value for your money, it's important to be thorough and specific in the design phase. Some ideas that look great on paper may create cost overruns when they're implemented in the field. Often there are minor modifications in the architectural drawings that can save tens of thousands of dollars in the construction phase. That's where Blake Houston Homes 30 years of combined homebuilding experience, greatly benefits our clients. We take pride in our ability to negotiate engineering and technical minefields during the design stages of a project, updating the specifications and the preliminary budget so costs don't get out of hand.
Because Blake Houston is so intimately involved in the design portion of the project, we ask for a $5,000 deposit for preconstruction services. The deposit is non-refundable but it will be deducted from the total price of your home when we sign a residential construction contract.


PHASE THREE: THE RESIDENTIAL CONSTRUCTION CONTRACT
Once you approve the finished architectural plans and specifications, we will be ready to finalize the residential construction contract. This is the legal document that spells out precisely what we will build for what price and in what basic timeframe. As a general practice in our industry, there are two ways to frame a pricing policy in the contract:
1) fixed price, or
2) cost plus, a more flexible approach wherein we provide actual expenses plus a percentage of cost for supervision, overhead and profit.

We work equally well with each method and are comfortable with whichever structure you prefer.
The typical residential construction contract includes the following three documents:
1) the contract and all exhibits and addenda.
2) the architectural drawings;
3) the specifications

These documents define the three most important aspects of our contract:
1) the purchase price and the pricing basis (fixed or cost-plus);
2) a detailed description of exactly what we're going to build;
3) a detailed description of what features and materials go into what we're going to build.

In a typical custom-home project, our client has already purchased a lot and we contract to build the improvements on that lot. This approach allows our clients to take out the interim construction loan in their name and, in most cases, write off the interest against their income taxes.

Change Orders
While most of us would like to think we have thought of “everything,” change is inevitable. It can be very difficult to assess the "ripple effect" of any single change on the project as a whole. Certainly some changes can be easily accommodated, however, others can be surprisingly complex, affecting a number of items resulting in additional expenses and delays.

Therefore we stress the importance of getting as many ideas as possible incorporated into the plans during the design process; this helps minimize the need for change orders. That said, we have never yet built a custom home without a change order ... and we likely never will. Therefore, each change order is in itself a new contract. Overhead charges for change orders will be assessed based on the time, risk and overall effect the change order has on the project. Change orders will be priced out at cost plus overhead and profit.


PHASE FOUR: PRE-CONSTRUCTION
Before we can make any physical changes to your lot there are a number of preparatory steps to complete. Some are boring, but necessary, mechanical and permitting requirements. Fortunately most of these items will occur simultaneously:
• heating, cooling and electrical calculations:  Energy-efficiency calculations for the heating/cooling and electrical systems will be completed by our contractors. This step is required to apply for the building permit in some municipalities. Building permit:  can take anywhere from two to six weeks, depending on your governing body. Closing on lot and/or interim financing. If you like, we have several preferred lenders we can recommend for your construction financing. Architectural control approval (if applicable):  Once the architect's plans are finished, we will provide the architectural control committee (ACC) of your subdivision with copies for approval. In some cases, the ACC may request minor modifications; if so, we will address those changes promptly and make the necessary adjustments in the contract.


PHASE FIVE: SELECTIONS
By far the most exciting part of building a custom house is picking all the great stuff to go in it. In today's market, there's an almost limitless list of wonderful options - from practical and functional to wildly luxurious and exotic. It's this phase of the project that applies your singular signature to your dream home. Enjoy it.
Often our clients find the sheer number of options overwhelming. We recommend that you consult an interior designer before you wade in. You can hire your own or we can suggest designers that our clients recommend highly.

ALLOWANCES.
We've included "allowances" (suggested price guidelines) that are typical for homes in your size and price range. These estimates compare favorably to the amount we would spend if we were building your home as a "spec house." We'll adjust the allowance based on specifics to match your project’s criteria. We have carefully selected a trusted group suppliers to aid your selection process. We strongly encourage you to visit them before we execute a residential construction contract to be sure your allowances will be sufficient to meet your expectations. If you exceed a stated allowance, the overage will be assessed, including a 20 percent charge for overhead and profit.

SELECTION DEADLINES.
We can't stress enough how critical selection deadlines are to the construction timeline. Some of these deadlines may seem early or arbitrary; however, they are not. The home construction time is made up of a critical path that must be followed and each decision can affect another item. Please keep in mind that many items must be priced, custom-made, ordered in advance of manufacture or shipped from distant locations. It can take weeks or even months to receive some items. Selection deadlines are divided into four stages:
Pre-construction: for most exterior masonry, entryway and roofing materials and colors. Plumbing fixtures need to be selected and some flooring options as well. See details. (Due 30 days after executing a residential construction contract)

Framing: decisions on appliances, lighting, architectural stone, hardwood floors, sheetrock, cabinets electronic/security systems and water features. See details. (Due 30 days after the foundation is poured)

Insulation: for slab countertops, all manner of tile, garage doors, and railings - inside and out. See details. (Due at insulation installation and prior to sheetrock being hung.)

Sheetrock: for carpet; shower area metal, glass and mirrors; interior colors; door and cabinet hardware; rain gutters; landscaping See details. (Due on completion of sheetrock texture and before cabinets are installed)

Your time is valuable, so we'll provide you with a list of approved vendors and their contact information. The schedule should give you plenty of time to choose carefully. To make the best use of your time and the vendor's, it's wise to make an appointment. That allows the supplier to focus solely on your project. PLEASE NOTE that only the Subcontractors and Vendors on the list may be used in the construction of your home. We enforce rigorous adherence to certain qualifications and certifications for our subcontractors. We can't always be certain that other providers meet those standards. We think you'll find everything you need, but if our vendors cannot offer the goods or services you need, we will find a source from our growing network of specialty providers. Please work directly with your project manager to find an approved provider.

Some vendors can price your selections on the spot so you can compare their cost to your allowance. With others, pricing may have to be calculated at the manufacturing source. In either case if an allowance is exceeded, we'll need to get your signed approval on an allowance variance before those items can be ordered.


PHASE 6: CONSTRUCTION
We encourage our clients to be involved during the construction process and want your new custom home to be everything you hoped it would. And while we go to great lengths to clarify things in written plans and specifications, we will stay in constant contact throughout the construction process. Your project manager should be your main contact and can be reached by phone and email. In the rare instance that he is not the appropriate person to provide you with the requested information, he will direct you to the right contact.

Building a home is really like starting a relationship. By the end of the building phases, we will have gotten to know each other pretty well. Usually that's a good thing! We want to earn your respect, trust, and referral. In fact, we maintain long- term relationships with many of our clients, so Blake Houston is their homebuilder of choice when they build another custom home. This is not to say there will not be challenges during the construction period. Custom homes are unique and are often created from floorplans that are being built for the very first time. In addition, these homes are designed and built with imperfect materials by imperfect people. There are millions of moving parts in building a custom home. To date we have not built a perfect home ... and don't know of anyone who has. When the inevitable challenges arise, we will gladly work with you to find a resolution that is fair for all parties. Ours is a commitment to open communication; it has served us well.


STAGES OF CONSTRUCTION
Timing may vary depending on the complexity of each home, but the order of stages generally stays the same.

1) Lot clearance and site preparation.  We meet at your site to discuss lot cuts, trees to be protected and your overall vision of the project site.

2) Foundation

3) Framing.  This is where your vision starts to become real! You get a feel for room sizes and the flow of the floorplan as you walk from room to room. Windows and exterior doors are installed at this stage.

4) Rough-in mechanicals
• Plumbing topout
• HVAC rough
• Electrical rough - Your project manager meet you to walk the house and verify positions for light fixtures, electrical boxes and switches. Positions can generally be changed for a minimal charge as long as the flow of construction is not disrupted.
• Low-voltage - includes your telephone, TV, security, stereo and home theater needs. Our contractor will be happy to meet you on site to determine your needs for each room.

5) Pre-drywall
• Mechanical and framing inspections - A government or third-party inspector will examine your home and note corrections needed to meet building codes. Due to the custom nature and the complexity of our homes, there are almost always items to correct. It is critical that these corrections be make before proceeding. After an initial flurry of activity progress may seem slow during this time.
• Exterior paint - We can prepare samples for your inspection and will need your approval before proceeding.
• Roof installation
• Stucco - We can prepare samples for your inspection and will need approval before we continue. • Stone - We can prepare samples for your inspection and will need approval before we continue. • Insulation - Several types are available with a range in cost and energy efficiency. Your project manager can advise you on pros and cons.

6) Drywall.  If special textures are wanted, we will need you to approve a sample before we begin work.

7) Cabinets, trim and interior doors
• Cabinets installed.
• Interior doors installed.
• Interior trim installed.

8) Tile
• Floors, backsplashes installed.

9) Interior paint and stain.  We can prepare samples and will need approval before applying. Please keep in mind that once paint covers a large wall area it will appear darker than the sample. 10) Driveways.  Your project manager will meet you on site to verify driveway layout. With the house under construction it will be easier to assess ingress and egress needs. There may be ways to improve the driveway or save trees.

11) Setouts
• Plumbing fixtures installed.
• Electrical fixtures installed.
• HVAC condensers and grilles installed.
• Landscaping and plantings installed.

12) Carpet
• Carpets installed.
• Glue-down wood floors installed.

13)Punchout.  By this time the house is basically complete, but a number of miscellaneous deficiencies are being remedied, such as paint touch up, drywall repair, door and drawer adjustment and a thorough cleaning. Our goal is to complete all punch items before you move in because it's much tougher to correct blemishes once you've moved in. However, due to the complexity of many of our homes, a few minor items typically need to be addressed after you're in your new home. For this step, both parties agree to and sign a list of the remaining items before closing.

14)Final walk-through.  Prior to closing, your project manager will schedule a final walk through with you to discuss any questions you have regarding your new home and identify any deficiencies that remain. The walk-through will take place several days prior to closing, which gives us time to make the fixes.

15)Closing and move-in.  Congratulations!! You have worked hard and made what feels like a thousand decisions and you are now ready to spend your first night in your new Blake Houston custom home.

PHASE SEVEN: WARRANTY & SERVICE
Your new Blake Houston home comes with an owner’s manual that provides details on caring for your home. Little things like what cilter to use in your air conditioner to where you will find the main water valve. the TRCC mandated Warranty, which includes the following coverage periods:
For a period of one (1) year, the workmanship and materials shall be free from construction defects;
For a period of two (2) years, the plumbing, electrical, heating and air conditioning delivery systems shall be free from construction defects;
For a period of ten (10) years, the major structural components shall be free from construction defects.

Please review the TRCC warranty provided by Blake Houston Custom Homes for specific details of the coverage included in the purchase price of your new home. Blake Houston Homes, LLC is a registered builder with the Texas Residential Construction Commission, License #32607. At closing you will be provided with a home binder that includes the manufacturer’s warranties to many of the items included in your home. Also included in your home binder will be a list of most of the subcontractors that worked on your home for your records.



WARRANTY NOTIFICATION: PDF
At closing, you will be given a warranty request form. If a warranty issue arises, you can fill out the form and submit it to us via fax or email. Except for emergencies, during the first year warranty service will be scheduled for two dates:
1) approximately one month after you have been living in your new home, and
2) after you've been in your house for eleven months.

Although a thorough punch-out will be performed on your new home, a few minor items may need to be addressed once you have been living in your home. Scheduling time for our clients to open their homefor multiple days to do warranty work can be inconvenient. To minimize the upheaval for our clients and our subcontractors we will make every effort to schedule your one- and eleven-month warranty adjustments on individual days.