Obviously, one of the all-time BIG questions deals with the cost of a new home. Let’s face it without knowing the cost of a home it is impossible to plan accordingly.
When you are planning a new home there are a lot of COSTS that you need to know:
- Site work – this is the bulldozer guy, he will do all the excavating
- Foundation – and this is the concrete guy to build the foundation
- House – that’s Vermont Modular Homes, we will provide you with the actual 100% Custom Built Home
- Carpenter, plumber, and electrician – these guys will work on the finish
But there is one cost the many people forget about; and that is The Cost of Money. Yes, you will pay the bank a lot of money for the “purchase” of their money. It is called INTEREST.
Did you know that right now Bank Interest Rates are at their lowest in more than a year. Mortgage rates are running about 4.05%.
When we receive call inquiring about a new home one of the very first questions is what will the house cost. Granted that is a very important question but do you realize the MOST EXPENSIVE part of any new home project is the “cost of money.”
Unfortunately, many forget to calculate the amount of money they will pay the bank in interest. Many times, the “cost of money” is equal to the cost of an entire project. Or, in other words it doubles the cost of your project over the life time of the mortgage.
Right now interest rates are at an all-time low.
Check it out.