Comparing Production, Semi-Custom & Custom Homes

By: Kim Hibbs, Owner

If thinking about building a new home, you have a few options. Knowing the differences between a tract (production), semi-custom and custom home will help you make the decision that is right for you and your family.

production-semi-customTract/production housing is a development in which multiple similar homes are built on a tract of land which is subdivided into many individual small lots. These homes generally cost less to build, but new home buyers are somewhat limited when it comes to the look, layout and selections. Buyers are also limited to building their new home in the communities in which the builder is working. Production builders negotiate volume deals with subcontractors and vendors to help keep construction costs lower. For those on more of a budget, working with a tract/production builder is definitely a good option to consider.

Semi-custom home builders offer buyers more options when it comes to location, look, layout and selections. Most semi-custom builders own their own lots, they are willing to build on a buyers lot/land. Semi-custom builders generally work off a portfolio of plans that in most cases can be tweaked to meet a buyer’s needs. A wider range of selection options is also common for semi-custom builders, which gives buyers access to more styles of flooring, lighting, plumbing fixtures, appliances, etc. This flexibility does drive construction costs a bit, but many buyers are willing to pay a more for more options.

A custom home offers a one-of-a-kind design. With a limitless selection of options, new home buyers are given a truly unique home in most any neighborhood. Because of this, custom homes generally cost more to build. However, buyers can certainly control costs depending upon the design and material selections. Selecting the right builder is crucial. Some specialize in lower end custom homes and are used to helping control costs through the design and selection process. Other builders specialize in higher end homes and cater to clients with larger budgets and unique tastes. As an energy efficient custom home builder, we lower the cost of the homes we build for the long run. Due to our initiative to build durable, energy efficient homes, our clients are guaranteed to save money for years to come.

Building a home is a great way to get your dream home. No matter your budget, there are options. Make sure you do your homework before selecting your builder. I would recommend researching builder options through your local Home Builder’s Association. Other options include – local Better Business Bureau, friends/family who have built or your local Realtor.

Questions everyone should ask when interviewing

If you want to learn more about custom home building, contact us and someone from our team will get back to you as soon as possible!