Pre-Con Scheduled

I stopped past the lot as I often do when I am taking things to storage.  I also had to stop at the Model and drop off the final electrical change.  Since it's very hard to get my fiance's schedule to match everyone's I asked if we could go ahead and schedule our Pre-Construction meeting.  I suspected it would be scheduled at the end of the month of July.

"You can schedule any time after June 30th as that's when your plans arrive", my sales rep noted.  I know our 30 days for changes isn't up and they are already drafting plans.  Too Cool!!  I suspect we are a week ahead of schedule and arranging our next meeting July 2nd is moving things along really fast.  From what I have read from other blogs and posts, they normally break ground a week or two after this meeting.

I kind of wish they could give me the prints prior to the meeting to look over so I'm prepared for the meeting.

Yesterday the man who invented the Pink Flamingo yard ornament passed away.  This has been a running joke between my partner and I.  I think they are wonderfully tacky and she says not allowed.  while I was on site, I placed one on the hill behind where the house will go.  The sales rep and I have a waging on how longer the PM leaves it there.  So far, I think we are the sales reps most favorite fun couple.

Now I just wait and focus on selling my house.

Here is our obligatory "sold" picture.

Last Minute Items

I went back yesterday and looked over my electrical plans I gave our sales rep and the one she did which is the one our project manager will use.   I noticed that two switches were not included.  We had recessed lighting put into the master bedroom because I hate lamp on light switches.  Our recessed lighting will be controlled by the switch next to the door.  My idea was to put a switch on each side of the bed so one doesn’t have to journey to the door to turn off the light to go to bed…..the switch will be next to the bed.  Adding an extra switch is around 125 and worth it.

I also spoke to a friend of mine who built in the same community we are joining.  He had a great suggestion.  If you get the security system, get an extra key pad in the master bedroom.  Seems like a great idea if you have a security system. 

Now we just focus on selling our house and wait until our pre-construction meeting.

Whilrwind

Once you sign the purchase agreement to buy the house, the next thirty days become a whirlwind.  For us we got slammed because we wanted to get our house on the market and various Ryan Home meetings took up our time.  Here is a short description of each meeting:

NVR

We had to send a list of financial information to the Ryan Home mortgage department.  Since we decided to purchase in a more expensive school district which causes more tax, we really needed both salaries to be able to carry both mortgages.  We easily make all required financial ratios when we use a combined compensation.  During the initial screening, it came up my fiancé has a low credit score and can’t be included. (Dam student loan mix up that dinged her credit)  We pushed through with just my information.  I was able to do the entire process without having a meeting.  NVR sent me the loan application and I was able to send them all my financial information electronically.  Ryan Homes requires all your financial information and application completed in 7 days, but I had a list of questions I sent my loan officer and no one returned my email for 2 days.  Once I signed it and submitted it, I got a call from someone demanded a bank statement showing more cash.  This was really odd, how did he expect me to “show” more cash on the bank accounts I disclosed to them and didn’t he know I currently have a home I am selling with the proceeds going to the new mortgage.  When I reminded him of my house sale, he seemed fine.  On Friday June 19^th, I was approved for the mortgage.

Home Remodeling

I decided to remodel one of the most expensive rooms in the home in hopes it helps my house sell fast.  My home was built in 1944 and the bathroom had tile that fell off the wall and the back board was not very supportive.  A new clean crisp bathroom would go nicely with my newly remodeled kitchen, new windows, and other improvements to sell the house.  I started my demolition the weekend we signed the Landon purchase and recently finished it.  I am pretty handy for a girl and my father helped a lot, but it took entirely too long.  We lost a weekend for a friend’s wedding, a planned summer concert, and more Ryan Home meetings.  This project and the other home fixes is another reason why we considered purchasing a new home…….it’s hard to spend every night working on home improvements and I miss my gym.

Rite Rug

Based on a suggestion of a Ryan Homes sales rep at another location, we budgeted for upgraded wall tile for the master bedroom.  I just finished remodeling my bathroom and knew how dirting and hard removing old tile is.  We planned to upgrade the wall tile and I would do the floor.  We were told it would only be 1,000.  Sadly, the Rite Rug people told us the upgrade is 1,600 and we cant just do the wall with out the floor.  We also learned that we wanted to budget for the top tile which would be over 2k.  We were sad that the sales rep told us bad information and the overall price will be going up.  The basic vinyl flooring is not very attractive at all but we planned to replace it later with hardwood we would do ourselves.  The basic carpet seemed ok.  I have read on my blogs that the basic stuff doesn’t last and many people replace it after 5 years.  We spoke to a friend who built with Ryan Homes 3 years ago and he had to replace his carpet after 2 years.  Odd that Rite Rug will warrenty their carpet for 10 years when the general tone from Ryan Home purchasers is that it will die in half the time.  We’ll find out first hand.  Overall the Rite Rug person was helpful and patient.

Guardian

This was a meeting I wished I had more data to prepare with.  They publish no pricing online and no one has anything like a price list to offer.   I was able to find some bloggers who cited some pricing for room speakers and such, but very minimal.  We opted for surround sound in the great room, no receiver, and a two room speaker positioned in the area between the kitchen and morning room, and one outside for the deck.  I also later discovered the reason why Ryan Homes uses Guardian is because Guardian provides a rebate from the Armstrong Group to Ryan Homes.  This made sense as I read another blogger who noted Ryan Homes gets a huge rebate on windows due to volume.  Guardian did really push their security system which I felt wasn’t needed as I’m an avid gun owner and we have two dogs.  A friend who built with Ryan Homes three years ago did suggest we place a 2^nd key pad in the master bedroom for the basic system.  Seems like a good idea?

Structural/option Meeting

We had to take out some things to keep in our budget which we were exceeding.  We made sure our focus was on structural things we couldn’t add later on our own such as the morning room.  Our lot has a slight slope which means our floor plan will be reversed.  Because of this, the morning room door will open up to the smaller part of our lawn and not the larger portion of our yard.  We requested it moved.  The first sales rep said no you can’t move it but when we asked again in this meeting the senior sales rep said let me get a quote on it.  Moving the door is a 495 fee and we took it.  We didn’t have another more changes to the structure.  We also picked the color of the siding, door, cabinets, and counter tops.  Make sure you take lots of pictures on your choices for the Rite Rug meeting.

Electrical

Since we had a short price list, we were able to already budget and plan for it.  We budgeted for ceiling light rough ins in every room without a light and fan rough ins for the master bedroom and morning room.  I also budgeted for 10 extra outlets and 200 amp service.  Based on the floor plan, we didn’t need as many outlets as there are outlets next to where we planned to hand the TVs.  We decided to put an extra outlet on the island, top of the kitchen cabinets, outlets in both master closets, and several more in the garage.  We added an extra switch for the garage light so that they can be turned off/on at the front door and not just inside the garage.  One problem I had was with the switched outlets Ryan Homes include.  They install a switch to turn off an outlet so it can control a lamp.  I hate this type of setup, and I mean HATE this with a passion.  It basically makes an outlet useless.  When I first asked about having them removed, the first sales rep said no…..they are standard.  During the meeting I asked again and again I heard they are standard.  I pointed out that I am buying a new home for XXX,XXX and they can’t simply remove the switch and wire?  The alternative is that I will have to replace the outlet and cap off the wire for the brand new house I am purchasing.  I also pointed out this is not a good way to get 10s on their review when Ryan Homes asks me.  They don’t have to reduce the price for using less wire and switches…..just don’t do it!  The sales reps said they would discuss it with their PM and managers.  Overall we were close to our budget and the extra was for adding switches which was not in the standard option list they gave us.

Now we are in the three week holding pattern waiting for the pre-construction meeting.  We are very busy trying to get the current house ready for sale.  We had hoped to get the realtor in this week, but we might have to push it back a week as the house is still a mess of boxes and clutter.  I’m happy that things are starting to slow down with Ryan Home meetings and that we already have two rooms in the old house cleaned and staged.  Hopefully the house will be on the market by the pre-construction meeting and I find time to hit the gym.

Here is our lot

The Sales Process

We attempted to be the best and well informed consumers when it comes to pricing and buying a house.  I did a great deal of research and found other blogs very helpful.  I also have a background in accounting and construction so I knew the best thing I could do it include everything on the first past with the initial price.

One of the most confusing things in this process is looking at a model home and knowing what is an add-on and what is not.  I asked for a complete options list and I got their standard structural options list which didn’t include the option pricing for upgraded flooring, bathroom tile, countertops or guardian.  We negotiated a price at the end of May and we’re a good 5k above it now for things we thought were included or underbudgeted.  Here are our examples:

Electrical Fixtures – We budgeted for a ceiling light in every room, 8 extra outlets, and some recessed lighting.  We were pretty much right on the budget with the exception of adding some extra switches.  This wasn’t bad as the basic electrical options were in the options list given to us.

Guardian – We budgeted 1,300 for some ceiling speakers and ended up being at 3,880.  We had no pricing when we were trying to make our budget and plan our mortgage.  I found some other bloggers who posted their prices, but I found them to be minimal and not all inclusive.  We ended up with a 2 room sound package (Deck & Kitchen) and family room surround system.  If Guardian allowed Ryan Homes to give out a price list, we would have removed a structural item to get more features.

Flooring and Tile – When we spoke to a Ryan Homes sales person, we flat out asked, “What else should we budget for that people add later or would be a pain to do on our own?”  He responded, “Don’t skimp on the kitchen cabinets or the bathroom tile.”  This made sense.  Cabinets are extremely expensive and would involve gutting the kitchen.  I recently gutted my bathroom and found tile is a pain to rip out and replace.  His suggestion made sense.  He suggested we budget $1,000 for wall time as we could do a vinyl floor and replace it easy.  The cabinet upgrade is in the options price list but not the bathroom tile.  RiteRug would tell us differently.  They say the upgrade is a package and would be twice our budget to get the nicer tile we attempted to budget for.

Suggestion for future purchasers – Budget at least 10,000 for flooring or electronics

We had a few other special requests.  We wanted our walk in closets to be the same size and we wanted to move the morning room door so it faced the biggest part of the yard.  Our sale rep told us the closet is a simple discussion with the project manager and the door move is a customer order.  They did approve it and it cost 495 to move.

Finally, be prepared for the mountain of paperwork they shove in front of you to sign and complete.  After the fact, I wished I had asked to go over them together, then take them home and read them for a few days and then come back and sign them.  I had no time to read the fine print and know the terms and conditions.    This is important considering the thousands placed as a deposit.

Suggestion for future purchasers – Take the sale document home and read it and avoid the pressure to sign it all the day you agree on a price.

Preamble

Welcome to our new home blog as we document our experience with building a Ryan Homes Landon in Western Pennsylvania (Pittsburgh, PA).

As I started the process of getting to know the market for a potential move to a bigger house when we get married, we decided to compare new construction verses resale homes in our immediate area.  It became pretty clear the differences.  I spent a month looking at resale homes trying to find a location we would like, a floor plan that addressed our current problems, and a price we could actually afford.  I then decided to take a look at a local builder and compare.  Here is what I found:

1      New Homes were priced similar or slightly less per square foot than new construction.  In Western PA it was roughly 120 to 130ish per square.   The difference between the price per square foot of resale and new wasn’t that large considering the life of the mortgage.

2      No resale properties had double walk in closets which was a requirement for us.  The two of us have tons of clothing and we desperately need closet space.

3      Resale properties seldom had an open floor plan.

4      Most resale properties seemed constructed well, all brick outsides, sturdy wood frame windows, separate air intake/outflow per room, etc.

5      Resale properties in locations we wanted had increased prices with less features compared to new construction and other houses further away.

6      Buying a new constructed house often comes with a new community and neighbors with similar goals. (Raising a family)

7      New community development was further out and in weird places.

We first saw a heartland homes model and loved it.  We also liked the community and the lots they had to offer.  What we hated was the excessive lot fee for an end lot.  This motivated us to look around.  We started to look at all of the local builders with communities.  We spent a month looking at their communities and models.  I must have built a dozen or so spreadsheets pricing out communities and models and comparing the pros and cons.  We felt the Ryan Homes Landon was the best model for the two of us.  It came standard with 2 walk in closets in the master which was an upgrade for many models.  It also came with a three car garage which would allow us to store all three of our vehicles.  It was 4 bedrooms which should be enough for the kids we either adopt or birth.  The main level was totally open with a huge kitchen.  The only downside I saw was that most models offered a dining room/living room/family room, and the Landon doesn’t include a space for a formal living room.  It’s as if the third car spot in the garage took the space of the living room.  Regardless, we felt like this was the model for us.  Now came the struggle of where to build.

We visited a mature Ryan Homes development just south of Pittsburgh.  It was only 10 minutes from where we lived and we already knew we loved the area.  Since it was a mature community, they were in their final phase and only had a few lots left.  Out of the roughly dozen lots left, none of them were big enough to fit a Landon with a morning room.  Apparently the land developer didn’t grade a hill enough and the back of the morning room would be under the standard 10 foot back yard.  While it is nice that Ryan Homes has a policy of at least 10 feet of a back yard, the lots of extremely small.  Since the community was in a location we currently lived, we felt it only fair to reconsider the models we could build on the lots available.  In comes the Jefferson Square.  We liked the open floor plan and found it close to Heartland Oberlin floorplan, but didn’t have all the standard features the Landon had.  We figured out to get the upgraded bathroom, walk in closets, three car garage, it would cost nearly 30k more to switch from the Landon to the Jefferson Square.  We surely felt Ryan Homes would lower the price since we couldn’t build the model we wanted.  Ironically they didn’t really do much at all on the price and the lot to fit it wasn’t that nice.  We decided to wait on maybe a lot freeing up which happened.  We had a lot free up that could fit a Landon and morning room.  It was a 10,000 square foot lot, close to the end of a dead end street.  We decided to price it out again and were considering buying it.  We then got a huge surprise………the Landon we wanted we couldn’t build the elevation we wanted.  Our only option was a more expensive elevation.  Ryan Homes did discount it a little, but it still would have us paying 10 to 15k more.  We were still looking and felt we could find better and not settle.

We have been also looking at Ryan Homes Competitors.  I also considered getting a construction loan and building my own since I had connection into construction.  We opted to use a builder in a community because we wanted to be part of a community and not a lone house on a road.  Ryan Homes had another community up north who said if I was serious, they would push to get the Landon model at their community.  They had two more phases open and the lots were bigger and could take a Landon.  It was a shared community with two builders and we had first pick on some really nice lots.  We really wanted to be in the dead end area and have a wooded back yard for privacy, but we were shown a 14,000 square foot lot  on the inside of a horsehoe with a hill in the back to offer some privacy from the other houses.  The lot was nearly flat on a dead end street.  Instead of 10 feet from the morning room to the hill, we would have double that.  This really felt like a great lot to live on.  It had a drain on one side which is why the lot was wider than most.  We placed a hold on the lot and asked for our sale rep to get approval to allow us to build a Landon there.

While we were waiting, we continued to look at other lots.  We really had another we liked in a community shared by Ryan Homes and Heartland Homes.  The two of them are owned by the same parent company.  The Oberlin house which is beautiful just was too expensive compared to the Landon.  Heartland Homes included a lot of standard cosmetic features such as granite countertops and hardwood floors.  We wanted structure items and we’d do the cosmetic enhancements later and cheaper than Heartland Homes.  If NVR would have allowed us to build a Landon on one of their lots, we might have gone that route.

Our lot deposit showed we were serious and the North Pittsburgh community added the Landon to their list of models for us.  We already had tons of spreadsheets with our options.  The problem was it was a more expensive community and higher school taxes.  We tried to get some discounts from Ryan Homes but we got the standard local discounts…….7k in closing costs……….waved lot fee…….discounted morning room.  While some Ryan Communities (Carolina’s) offer 50% off options, western PA Ryan Homes doesn’t offer many discounts.

When we started down this path, our goal was to start watching the market and learn what we can get in the resale market and for how much.  We never expected or planned to buy until after we were married in early 2016.  We had a wedding to save for and wanted to save up more for an upgraded home.  It all happened so fast that we fell in love with a Landon model and we found a lot in a community we felt was us.  Our financial ratios and our budget was enough, and as scary as this is…..we signed up to build a Landon at the end of May 2015 to move in the end of October.