All Forum Posts by: Dalton Dillon

Hello BP Community,

Is anyone building spec homes in Colorado Springs, Denver, or the surrounding areas? If so, what are you paying per SFT?

I currently build in Texas, and I can build a single-family stilt home on the bay for roughly $140 SFT. Depending on the level of finishes and if it's a standard slab or stilt foundation, our rough price per SFT range can be $130-$160(hard cost). I'd like to know if the areas above are similar in building cost. There's a lot that goes into a build that determines final cost, but I'm just trying to get a general idea of the actual build cost of your typical middle-class single-family home in the areas mentioned. 

 @Chris Kersey That is more of the ballpark I was expecting. It's nice to hear from an investor who is doing the same thing in the same market.  Would you be willing to share the builder you used for your duplexes?

@Bruce Woodruff @Matthew Paul How are you guys making numbers work at $250 sqft? I'd suspect high sales prices in your area? Houses in your most avg suburbs of Houston don't cost $500k. Houston has its expensive areas but pretty affordable overall.

Hi @Lauren Cutchen Thanks for the response. Yes, it is in a flood zone with a BFE of 14ft.

Hello everyone,

My recent post regarding this topic was very vague so I'm reposting it.

I own 2 single-family lots in the suburbs of Houston, Tx. They are each roughly 10k sqft. I'm looking to build 2 spec homes at 2000 sqft on stilts. Each will be 3 bed 2 bath with enclosed 2 car garage. I already have plans for both homes but have not moved forward due to the quotes I'm getting. New construction does not seem to make sense whether you keep it as a rental or build to sell. 

Builder/Investors, what are you spending per sqft? 

I just began my journey as a builder, and I spent $4000 for architectural drawings on a 2000sqft beach house. I spent roughly $3000 on engineering. You may find someone who can do both for a cheaper price altogether. 

Thanks for your response @Joe Villeneuve Possibly my question could be more specific but maybe instead of a response like that, you could ask questions to help narrow down an answer? Thanks anyway. Hope you have a better day. 

Is anyone in Houston, TX building ground-up construction? If so, roughly what are you spending per sqft? 

I'm closing on a flip here in Houston, Tx next week. I ran a CMA on the property and got an average sells price of $290k. $280k is what I ran my numbers off of to be safe. The appraiser went to appraise the property today and he used the same comps but appraised the ARV at $265K. He seemed to make some odd adjustments on his end. Considering the appraisal, it makes my numbers really tight. If the comps pulled are selling between 280-290k and are very similar, should I be concerned with the end goal of this deal? For context the comps are roughly the same sqft, 200sqft give or take, same beds/bath, same lot size, same year built.

To help, here are my numbers. PP-178k, closing on front end 3-4%, Rehab 40K, Holding cost $1750 per month, Commissions 6%, closing 2%. I calculated a $30k profit. Rehab should only take a month so I'm thinking 3-4 months total. I was projecting to sell at 280k which was the low side of the comps. Will this appraisal really affect me on the back end when it's all said and done?

I'm looking to build new construction in my area. It is a requirement where I live to build a home raised by pressed timber piling's with a BFE requirement of 14ft. Does being built up so high add more value to a raised home Vs. a home on a slab foundation?