Home Truths. When you build your dream home

Constructing your own house, rather than buying an apartment, may seem daunting. But if you have the patience and interest, it has its advantages. Here’s the low-down on what it takes to construct your dream home.

The first step to building a home is to create a plan and obtain approvals from the local authorities. Get a head-start as zeroing on the design that you like and getting building approvals may take time. Typically, you can delay construction for some time after obtaining a building permit. For instance, in Kolkata, you have two years to start and an option for extension if construction is further delayed. Consider the local infrastructure and other facilities to assess the area’s liveability before you construct.

Keep your design simple. Having a simple construction plan and sticking to it will save you a lot of time, money and hassle. A prime reason for delays and arguments is complicated designs and changing designs once the construction work has started.

Time and effort is needed at every stage, starting with selection of a good contractor by comparing prices, quality and his on-time completion record. Be sure to check for the contractor’s references and visit the site where work is on-going to get an idea about the quality of work, materials management, and resources utilisation. Once construction starts, you must monitor progress against the schedule periodically. It also helps that you keep tools of the trade, such as a measuring tape, handy when you visit the site to measure and record progress. Checking raw material usage from time-to-time will help reduce waste.

There are two options for building a home — full contract and labour contract. A turnkey contract would be a preferred option if you do not want the hassles of procuring material, obtaining regulatory clearances and supervising the workers.

You still need an architect to provide detailed drawings that are required for obtaining regulatory approvals. You must also have the architect periodically inspect the construction work as part of his scope of work, advises Kapil Agarwal, Founder and CEO, Urban Homez, an online platform for home construction, renovation and decoration.

An alternate option is to go for a labour contract and buy the material yourself. The advantage is that you will have better control over the quality since the contractor has less incentive to cut corners. You can also save money by planning your purchases ahead. For instance, cement and sand can be procured when it is less expensive. But be aware that a lot of time and effort will be required from your end to ensure that the work does not stop because of non-availability of material.

You must also do a lot of homework to know which material to buy and take steps to ensure that material is not wasted or stolen.

Whatever be the terms of the contract, get all the details in writing. It is quite common for contractors to give a low quote to clinch the deal and then charge for every small item or change in scope. It is therefore important to understand what is covered by the contract, including the quality, brand and specifications of materials and fittings that will be used. Further, the payment schedule for the contractor should be construction-linked, with very clear payment milestones defined, says Agarwal. Ideally, the contract should also have a penal clause for delays in completion.

Building a house will help you retain the value of land over the long-term and have a say in the design. For example, if you want a large kitchen or space for a pet, these may be accommodated.

You also have the flexibility to construct on a need basis. For instance, your architect can design a phase-wise plan so that you can extend the house later based on your personal needs. You can also choose to rent out a portion of the house. The regular rental income can help with your monthly EMI payments.

The best part is that constructing a home is not very expensive once you own a plot. Costs range from ₹1,500 to ₹2,500 per square feet for mid-range houses on average. So you could construct a 1,000-square feet home with a car park for under ₹30 lakh.

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