Why would I ever choose a local builder over a “national” builder?   There is an old adage used in marketing that goes something like: “If you can’t beat them with the facts, beat them with their imagination”.  It is an old marketing trick that is often used but is not always scrupulous.  Tough competition often brings out the worst in people especially when they are competing for your money.  The best way to address this is to stick strictly with the facts.

1. Are there any economic differences between the two (or more) groups I am looking at?  Will I get more or a better house for my money? Chances are a local builder has less “Corporate Overhead” and less “Administrative Overhead” to pass on to their buyers.  Corporate offices, planes, administrative staff, superintendents, board rooms, sales and marketing people all cost money and get charged back into the price you are charged for your new home.  It doesn’t make the house any better and quite often, things you might not notice are left out and become an “up charge” later on.  Many times, a local builder will do extras for you for free because they do not have to build all these hidden expenses back in your house.  All builders have to make a profit or they won’t be in business long.  Do your homework and don’t be afraid to ask these questions.  It’s going to be your house.

2.     Where is the home base of the builder’s operations? If I have a problem, where do I go for help?  Most “national” builders chase the “HOT” markets where they can turn a quick buck.  It’s called “blow and go” and builders literally follow the scent of a profit.  Making a profit is not a bad thing, but remember; “When the profit leaves, quite often they will follow suit.” Picking a builder from your local area is frequently better because they are already “back home”. They have to live in the same area and see you at all sorts of local functions.  (When was the last time a “national” builder visited your local high school football game or you saw them at the corner grocery store?)  There is no substitute for face to face contact.  How many people enjoy dealing with phone help centers?  The buck stops with your builder and make sure you can find them when you need them.

3.    What if I have a question about the building process; or, what if I want to modify MY house to fit MY needs, not their corporate model? It never fails, but often when it’s time to buy or build a house, everything gets incredibly hectic.  The mortgage process is complicated enough but then you have to plan your move, make your buyer’s selections, work, be with your family, the list goes on.  Then one day, you realize, you have a question about some part of the house that just can’t wait; or, there is a change which needs to be made immediately to make the house better for you; or, you just need to be reassured your house will be completed on time.  A local builder is typically on site and has the authority to answer questions or to make changes without having to go back to “Corporate”.  They also are the most knowledgeable about your future house because they are the ones making the decisions and setting the schedules.  Frequently, if you are early enough in the process, a local builder will let you participate in the design process which can essentially customize your new home for you and your family’s needs.  There is no need to run it back up the corporate ladder to be scrutinized by “accounting”.  Little things add up to make a house your home.  Don’t be afraid to ask questions and expect reasonable answers.

When all the excitement ends and the party (or pain) is over, remember it is your house, not theirs.  Make it easy on yourself to get problems fixed and questions answered.  You and your family’s happiness is at stake so make sure you do your homework and know who is on your long term team.  There is no cheap second chance.