TL;DR
Thinking about building a house in Florida? This blog guides you through all the steps required in the process, detailing the various costs involved and discussing financing options. We also localize the dilemma of building a house from dirt vs buying an inventory home to Babcock Ranch, the first solar-powered town in the United States.
The Not-So-Crucial First Step: Get McConaughey Out of the Way ASAP
It is perfectly normal to hop on the I-want-to-build-a-home-in-Florida-too horse, and very quickly realize that your to-do list is as looooooong as Matthew McConaughey’s vowels…
And probably the first thing to strike off that list is… you guessed it, his questionable rom-coms from the early 00s.
And then, when you have finally prevailed through this ‘baptism by boredom’, you need to make a decision. That is, whether you want your dream home custom-built or made by a production builder.
And while both these options are well and good, what is infinitely more important is the fact that you pick the right location and the right builder. Now that’s a solid Step 1.
If you have your eyes set on Babcock Ranch, get the skinny on HOA/CDD fees on EVERY NEIGHBORHOOD in The Ranch with OUR CALCULATOR.
Don’t Sweat It. Leverage Expert Guidance with a Local Builder
When it comes to picking the right builder, “You can’t go wrong with Pulte Homes”, says John Garuti III.
As a semi-customizable production builder in Babcock Ranch, Pulte Homes has had a stellar record of impressing their customers, albeit a little on the higher side of the budget.
The bonus of a builder like Pulte is that you personally meet and work with your construction manager.
The Subtle Art of Not Being Dumb
What you should avoid are builders with zero experience in an area.
A team needs time to scale up to quality and newbs in an area often fail to deliver.
Don’t be dumb, talk to homeowners in the community before you commit to a neophyte builder in your area.
Choosing the Right Location for Your Home
The right location for your dream house depends. More than anything else, on you.
Say, if a loving God has bestowed the blessings of remote work or a service-type business on you, there is nothing like the community atmosphere you will get at a community like Babcock Ranch that is beautiful and innovative but lacks the employment infrastructure of a more urban location.
If you like buying more than building, use our Babcock Ranch All Models FILTER TOOL, where you can filter new construction models by real-time price, square footage and other parameters.
On the other hand, if you’re looking for work, you might want to keep to the cities, typically Tampa and Orlando. Use Reventure, a paid real estate subscription tool, to find the percentage of remote work in an area before committing.
For snowbirds planning for retirement, the entire Southwest Florida region is a sausage buffet to choose from. While Naples and Bonita Springs have high-end communities, places like Cape Coral and Babcock Ranch offer a serene, calm vibe.
Selling Your Soul for a Beach Home?
Fair warning: Flexing Daniel Craig-like swagger on a beach home can get heavy on your pockets. You will have to pay flood insurance and build your house above the flood line, which adds further costs.
Now, for a place like the Babcock Ranch, the insurance is not too crazy, at around a thousand bucks a year. But contrast that to, say, a $4500 annual flood insurance bill for a thousand-square-foot home in a flood zone in North Fort Myers, and the costs quickly become unbearable.
Budgeting and Financing: The Curse of the Unknown
For a truly custom home built from dirt, builders across the state will charge you a hefty $400-$500 per square foot to start.
But then, you have to factor in other elements like land costs into the equation, and that’s where it can go all Schrodinger-like.
Admittedly, as hard as it is to pinpoint the accurate location and velocity of an electron, Florida land costs can be variable as well.
See for yourself: While the average price of a 1.5-acre property in Port Royale, Naples, can be as much as $50 million, in Golden Gate, further east in the same city, you pay a much less yeoman’s share per acre.
What we recommend is to simply zen out and use a tool like Zillow to find raw land costs anywhere.
Just bring up Zillow and follow these steps:
- Type in the area or zip code in the search box on the left side of the page.
- Find the “Home Type” drop-down to the right.
- Check the “Lots/Land” option and click/tap the blue “Apply” button.
Financing Options
To cover construction costs, you can take either of the two routes:
- Construction Loan: This can be customized for either just home-building or both home-building and land purchase.
- Home Equity Loan: You can also use a home equity loan, that is, the difference between your property’s market value and remaining loan amount, to finance your construction costs.
Needless to say, take indirect costs into account (like land acquisition costs, building permit fees and interior costs) to make sure that you don’t find yourself stranded on Island Sticker Shock one day. Never a fun place to be.
So, How Complicated is the Building Process? Bruh, Very.
From site preparation to foundation work and roof installation, while figuring out the right material costs, it’s best to outsource the construction process to experts like Pulte.
To make sure the juice is worth the squeeze, accustom yourself to the broad construction timeline for your project and make your plans accordingly.
The Many Facets of Building a Home in Florida: Regulations & Costs
With unique challenges like flood mitigation and hurricane resistance regulations, building a house in Florida can be frustrating.
Find the right builder who knows the state’s building codes like the back of their hand. Plus, research the area and look for strict safety standards like the Miami-Dade County building code, the gold standard for the Sunshine State.
Let’s Talk Numbers: Average Costs of Building a House in Florida
It takes anywhere between $270,000 and $560,000 to build a 3000 square foot house in Florida. These are rough numbers whose existence depends on a lot of, well, other numbers and indirect costs.
- Material Costs: Expect around $50 per square foot for stuff like framing materials, roof installation, exterior painting, insulation, windows and doors, flooring materials, cabinets & countertops and plumbing fixtures.
- Labor Costs: You need flooring installers, roofers, painters, masons and plumbers to do the actual work. Hire a contractor to supply this labor at fixed hourly rates.
Exterior Finishes & Henry Ford
Think of exterior finishes for your home like the demands Henry Ford put on his employees while making the Model T. You need both brilliance and durability. Materials like Hardie Board and Stucco stand up to the taskmaster test.
A Hardie Board, in case you’re wondering, is a long, thin cement-based building material that looks like wood but is stronger, more durable and way more weather-resistant.
With cinder on the first level and block on the second, most homes in Florida strive to be hurricane undefeated. Using energy-efficient windows will drastically reduce your energy consumption as well.
That Time When Your House is Almost Done! Almost…
When your project is making that last dash toward the finish line, it’s good to get your quality checks done while smashing the gas pedal.
In short: hiring a home inspector helps.
You need to catch an ailment before it infects the central nervous system of your home. The pre-drywall phase is the most crucial time for this check-up.
With all the plumbing and wiring being covered at the time, only an expert inspector’s pair of eyes approving the work can help you sleep right.
Landscaping and Outdoors Options: Beggars and Choosers
With the landscaping and outdoor catalog, there is only so much on the menu. We’re talking 2-3 landscaping packages to pick from. Of course, with a custom-built home, you get to customize more.
Building From Dirt vs. Buying an Inventory Home in Babcock Ranch
To build or not to build?
Remember the Bard of Babcock Ranch pools asking whether to build a piscina or not? Well, he is kinda confused on the building vs buying side of things as well. But you don’t have to.
Watch this video to understand THE best option when it comes to buying an inventory home or building one from dirt — no matter what your personal preference, budget or timeline is.
Team John Garuti Agent Greg Healing breaks down all aspects of both options and reveals some easy-to-ignore pitfalls you must avoid while making this decision. Especially when it comes to the financial incentive side of things that most people miss.
Greg also lets you know the three sneaky, unfair advantages his clients get from his long-term partnership with most builders in the area — a crucial asset that’s saving them tens of thousands of dollars.
Let’s Get You Pointed North in Southwest Florida
If all this landmine of information on building a home in Florida has gallantly overwhelmed you, congratulations, you’re moving in the right, upward direction.
That is, right on your way to your dream home in the Sunshine State.
Here’s a final rundown of the options you have at your disposal if you want to build a house in Florida:
- Build a custom home from dirt with a builder who will customize all the tiny details of the home as per your tastes.
- Build a home from dirt with a production builder with fewer customization options, but more affordability
- Buy a ready-to-move-in inventory home, with most design elements pre-selected.
If you’re ready to tour Babcock Ranch in person or have questions about the community, please contact the leading Babcock real estate team that has sold over 250 new construction homes in the community:
- Let’s tour Babcock.
- Ask questions in our free Moving to Babcock Ranch Facebook Group.
- Call Team John Garuti at (239) 251-2371.
Video Transcript
When buying a new home in Babcock Ranch, you’ll need to decide whether to go with an inventory home or build the house from dirt. Each option has its own benefits and challenges, depending on your budget, timeline, and personal preferences. In this video, I’ll break down the pros and cons of both so you have all the facts before making a decision.
Walking into a builder’s office can be overwhelming, especially with 23 neighborhoods to choose from. Every builder will tell you theirs is the best and try to keep you there as long as possible. It’s easy to get fatigued, and after a while, everything starts to blend together. Now, that’s why we create these videos, to help you make sense of it all. Navigating Babcock Ranch on your own can be tough, but that’s where we come in. We take the time to understand your needs and guide you towards the best option for you and your family.
Now, before we dive in and you’re new to the channel, welcome to the ultimate resource for all things Babcock Branch. Do me a quick favor. Hit that like button, subscribe, and tap the bell icon so you never miss a video. Hey, and don’t just take my word for it. Our videos have helped countless buyers find their perfect home. Just check out our Google reviews. We’re the only team in Babcock Ranch with over 150 five-star reviews. Now, let’s get into it.
Understanding the difference, inventory homes are already under construction or move-in ready, offering a quicker and more convenient option for buyers. Since builders continue to build homes regardless of demand, there’s usually a steady supply available. On the other hand, building from dirt gives buyers the opportunity to select their ideal lot or customize their floor plans and choose finishes to match their preferences. However, this process, it requires a much longer timeline and may come with fewer financial incentives compared to an inventory home.
You want some pros and cons of an inventory home? Well, the pros, inventory homes offer a faster move-in process. It allows buyers to take possession without waiting for construction to be completed. They also come with better financial incentives, with some home sites offering up to $20,000 in seller credits and interest rate buy-downs. Additionally, buyers can enjoy a simpler decision-making process as builders pre-select most design details, eliminating the stress of choosing every feature. Here are some cons. Inventory homes come with limited customization as design changes can no longer be made once that roof is in place. Additionally, builders pre-permit specific floor plans for each lot, restricting flexibility in selecting a home layout.
We’ve also got some pros and cons of building from dirt. Here’s some pros. When you build from dirt, it offers more customization, allowing buyers to select their home site floor plan and design options. Though choices vary by builder, it also provides price stability as locking in pricing early can protect against future market increases. This option is ideal for long-term planners who really aren’t in a rush to move in and prefer a home tailored to their preferences. Now, some cons. Building from dirt generally comes with lower standard incentives, typically offering something like $10,000 in seller credits, which is often less than what some inventory homes provide. It also requires a longer build time, ranging from five to 10 months, depending on whether the builder is a production or a custom builder. Additionally, financing perks are usually more limited as dirt builds do not always qualify for special low interest rate incentives that are usually available on inventory homes.
Now, different communities cater to various lifestyles and preferences. Golf communities are perfect for those who want access to premier courses, while resort style neighborhoods appeal to families with amenities like water parks, pools, and recreational facilities. For retirees or those seeking low-maintenance lifestyle, villas or condos offer a stress-free living experience.
Budget conscious buyers may find communities with lower HOA fees more affordable, making homeownership more accessible. Now, both options have their advantages depending on a buyer’s timeline, financial situation, and personal preferences. If moving quickly and maximizing incentives is the priority, an inventory home may be the best option for you. However, if customization and a longer-term planning approach are preferred, building from dirt could be the right choice.
As realtors, we’ve built strong long-term relationships with every builder in the area, giving us exclusive insights into the best deals before they even hit the market. Our constant communication with sales teams, it allows us to stay ahead of price drops, incentives, and upcoming inventory. This way, we know exactly what’s available in real time and what opportunities are on the horizon. Because we work with builders seven days a week, they frequently reach out to us directly with private limited-time fire sales, and special promotions before they even announce them publicly.
What that means is our clients get first access to deep discounts, builder incentives, and financing perks that could save them tens of thousands of dollars. Whether it’s a price reduction, an upgraded home package, or an exclusive interest rate incentive, we make sure our buyers are the first to know and the first to take advantage.
If you’re thinking about buying a new construction, don’t go in blind. Let us leverage our builder connections to get you the best possible deal. Reach out today and let’s find you an incredible home at an unbeatable price. Thank you for sticking around and watching this video. If you found it helpful and want to dive deeper into Babcock Ranch or explore other amazing real estate opportunities in southwest Florida, please don’t forget to subscribe to our channel and give us a thumbs up. We have a ton of content on our channel to help you navigate Babcock Ranch and surrounding areas.
Looking for personalized help finding your dream home? Team John Garutti is here to make it happen. We’ll guide you every step of the way, ensuring your journey is smooth, informed and stress-free. If you want to learn more about Babcock Ranch, my team has some fantastic resources to help you. Check out our new website. It’s babcockranchnewhomes.com. We have a great blog article covering topics like schools in the area, HOA fees, real-time pricing on various home models, and so much more. If you’d like to get a deeper understanding of the town before visiting, you can always schedule a Zoom call with a member of my team at talkbabcockranch.com, and if you’re ready to explore Babcock Ranch in person and want Team John Garutti to help guide you every step of the way, you could schedule a tour with us at tourbabcockranch.com.
For those burning questions or a chance to hear different perspectives, head over to Facebook and join our group, Moving to Babcock Ranch. That’s where you can connect with current residents and get valuable insights beyond just Team John Garuti. You can also reach out to us directly at Info@Swfloridarealestate.com, or give us a call on our YouTube line at 239-842-9956. We’re excited to help you take the next step, and who knows? Maybe one day, we’ll be calling you neighbor soon.
