When building a new home, two primary options are available to you: a general contractor or a custom home builder. Although both professionals have similarities in their line of work, there are key differences between them. Before you choose one, it’s vital to understand these variations to determine which one will suit your construction needs.
In this article, we’ll explore the difference between a general contractor and a custom home builder and which one you should choose.
A general contractor is a professional who oversees the construction process of a building or structure. They work with architects and engineers and are responsible for ensuring that the entire project adheres to the local building codes and regulations. General contractors usually work on commercial projects but also handle residential building projects.
General contractors usually work on a fixed contract amount and are responsible for hiring subcontractors to complete the different stages of the project. They manage the entire construction process, including planning, scheduling, and supervising the work of subcontractors. They also obtain the necessary permits and licenses for the project.
Custom Home Builders
On the other hand, a custom home builder is a professional who specializes in building custom homes. They work directly with the homeowner to design and construct a home that meets their needs and preferences. Custom home builders usually have a team of architects, designers, and subcontractors who work together to create unique and personalized homes.
Custom home builders work on a cost-plus contract, charging the homeowner for the actual cost of materials and labor plus a percentage of the total cost as their fee. They handle everything from the design phase to the final construction, ensuring the home is built to the homeowner’s specifications.
Key Differences Between General Contractors and Custom Home Builders
The primary difference between a general contractor and a custom home builder is their area of specialization. A general contractor typically works on all types of construction projects, including commercial buildings, residential homes, and renovations. On the other hand, a custom home builder specializes in building custom homes.
2. Project Management
Another key difference between the two professionals is how they manage their projects. A general contractor usually hires different subcontractors to complete different project phases. They are responsible for scheduling and coordinating the work of these subcontractors to ensure that the project is completed on time and within budget.
On the other hand, a custom home builder manages the project from start to finish. They work with the homeowner to create a design that meets their needs and preferences. They coordinate with their team of architects, designers, and subcontractors to ensure that the project is completed to the homeowner’s satisfaction.
3. Cost Structure
The cost structure is also different between the two professionals. General contractors usually work on a fixed contract amount, meaning they set a price for the entire project upfront. The price usually includes materials, labor, and fee.
On the other hand, custom home builders work on a cost-plus contract. This means they charge the homeowner for the actual cost of materials and labor plus a percentage of the total cost as their fee. This cost structure is usually more transparent, as the homeowner knows exactly how much they pay for each project aspect.
Choosing between a general contractor and a custom home builder depends on your specific needs and preferences. If you’re looking to build a custom home, a custom home builder is the way to go. A general contractor may be more suitable if you’re building a commercial or residential house that doesn’t require many customizations. Whatever your choice, make sure to do your due diligence and choose a professional with a proven track record in construction.
Searching for the best home builders in Utah County? Riding Homes is here for you. Every home built by the team of Riding Homes is different. That’s because each customer gets to choose their own floor plans, exterior elevations, design options, and where they live in our homes. For more details, get in touch with us today.