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All Forum Posts by: Benjamin K.

Benjamin K. has started 9 posts and replied 17 times.

Post: Marketing for Spec House Direct Sale

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Will be finishing first spec house, slated to be sold late 2018, early 2019 (perhaps earlier if we decide to let the potential buyers customize other than paint.)

Debating trying to sell direct and not use MLS/real estate agent. Our next project will likely be a small subdivision, so this is to "test the waters" for effectiveness and pitfalls for doing a direct sale vs. using an agent and MLS.

Debating doing general advertising such as billboards, etc instead of (just) direct mail and using an answering service with information on the properties. Since it is one house we are selling at this time, if we get more leads perhaps we can refer for custom house builds or otherwise if we get more calls after it goes under contract.

What pitfalls have other people using a direct sale for a spec house or something similar run into? What types of advertising have been used and what would you do/not do? Again, this is mainly to use as a "test" for a much bigger project, so even if it takes a bit longer for this property to sell, the hope would be that when we do the subdivision many of the "bugs" for marketing would be worked out.

Thanks!

Post: Spec house on wooded lot

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Two questions:

1. We are planning to build a spec house. How does having a wooded, "secluded feeling" large lot (but not actually secluded) in a rural area (western massachusetts, hill/mountainous area) impact selling price vs. a cleared lot on level land, in general. Having a hard time finding comps for new construction that are on wooded/secluded lots. I found comps but they are all on cleared, level land (which is what I based our financial assumptions on.)

Lot was cheap and big, part of a small isolated "subdivision" closer to a larger city in the area, and due to topology and wooded area, the lot "feels" more secluded. We intend on keeping most of the tree cover on the edges of the property to keep the "in the woods" look and we will be positioning the house so the neighbors' houses aren't as obvious to give it more of a "secluded" feel (although it will also have a larger back yard, etc.) Surrounding houses are a mix of styles, mostly from 70's (dated.)

I know that having a building lot with the "secluded" look will limit our potential buyer pool, but, since the woods/trees/topology will (mostly) block the view of the surrounding neighbors, the hope is that it will allow us to build a higher-end (quartz, viking appliances, etc) house that would potentially otherwise look "out of place" if it were built on a level, completely cleared lot. Since we are doing most of the work ourselves, this allows a much higher profit for us vs. a lower-end builder grade house..

I'm not able to find any comps fitting this situation (new construction, wooded lot, etc), as all I can find are "tract" homes on level, cleared land.

2. Based on the above, debating whether vinyl siding is appropriate vs. fiber cement, etc.. Especially since we are trying to go for a higher-end look (see above.)

Thanks!

Post: Advertising for Spec House

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Curious if anyone has not gone through a realtor, but, instead sold their (higher-end) spec house direct. What types of advertising were most effective?

I'm 99% sure I'm going to go through an agent to sell, just curious on if anyone has done otherwise successfully.

Thanks!

Post: Bid Packages for Speculative Homes?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Thank you! I love the website idea - I think we'll do that as well.

Post: Bid Packages for Speculative Homes?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Sorry, probably should have left the "having them come out and take a look" part off of my message. Most trades would obviously need to see the site and house plans, however, some trades such as for site work, and finish work may want to come out and actually take a look in addition to seeing the plans. 

I was more referring to sending a bid package containing specific scope, house plans, scheduling, etc to a list of contractors, asking them to "bid" on the cost for the project vs. calling a contractor, giving them the information and requesting a price.

I've done GC on interior jobs before with no issues, but, generally I do the second option - calling several contractors, get several quotes/bids for a job and make a decision. I've heard competitive bidding can lower prices.

Post: Bid Packages for Speculative Homes?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

All,

Does anyone who is building a spec house create a "bid package" and send it out to the local contractors for bids? Anyone GC themselves and split it up (site work goes to one group, framing to another, etc) and have multiple bid packages?

Is it worth it vs. just calling a bunch of contractors and having them come out and take a look?

Post: Interior Designers/Decorator Recommendation?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Anyone work with an interior designer/decorator in the western/central Massachusetts area they can recommend? Things like picking out molding, tile colors, color schemes (interior/exterior), etc. Doing new construction.

Thanks!

Post: Spec House Plan Site?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

@Thomas Rivera : Thanks for the idea, I'll give a try to see what they are doing.

Post: Spec House Features, worth it or not?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

Was looking at 3000 sqft, 4 bedrooms 2.5 bath.

What about a lawn irrigation system?

Thanks for the input!!

Post: Spec House Features, worth it or not?

Benjamin K.Posted
  • Real Estate Investor
  • Springfield, MA
  • Posts 17
  • Votes 1

As far as "wood" for trim, I meant something like:
https://s-media-cache-ak0.pinimg.com/736x/97/3e/8a...
or
http://hookedonhouses.net/wp-content/uploads/2008/...

vs. Primed baseboards/trim such as:
http://www.oneprojectcloser.com/wp-content/uploads...

(Examples show stain vs. priming, I just picked random links from the web.)

Looking at 350 - 400k which is considered near the "higher-end" for Western Massachusetts.