Building a new home requires pouring a foundation, framing the walls, running wires and pipes and (eventually) finishing the interior trim. Throughout the process, there’s also a decent amount of paperwork to take care of. Here’s a guide to the documents you’ll need when building a home.
Blueprints are the documents that show how your house will actually be built. The term “blueprints” comes from an era when the plans were printed on blue paper for time- and cost-saving reasons. Most plans are no longer printed on blue paper, but people still frequently use the moniker. You might also hear them called “plans” or “drawings.”
You’ll have a lot of input in your home’s design, but the blueprints will be officially drawn up by a building professional. In most cases, an architect and an engineer develop the plans. Your home builder will be able to recommend both, and they may directly employ people in these capacities.
In most jurisdictions, permits must be secured before a major building project (including building a home) is undertaken. Permits are given out by the local governing body, and they show that you have approval to proceed with the work.
Obtaining permits usually requires going before the local government, and exactly what permits are needed depends on local law. Because this is such a localized step in the home building process, your home builder will likely take care of getting all necessary permits. They’ll know how to determine what permits are required and what steps must be taken to get those permits.
When building a house, it’s normal to first get a construction loan and then get a home mortgage. The construction loan is intended to finance your building project, and then the home mortgage is used to pay off the construction loan once the house is built. Both a construction loan and a home mortgage will come with extensive paperwork. Every aspect of the loan will be detailed in the loan documents, and signatures or initials are often required in multiple places. A loan officer will help you apply for each type of loan at the appropriate time.
The loan officer will ensure all documents are in order, and they’ll answer any questions you have about the fine print. They’ll serve as your guide through securing financing for your new house.
Your home construction company might have a financing team of loan officers who can help you. If the company doesn’t offer financing in-house, they’ll undoubtedly be able to recommend a loan officer who has a good reputation.
You’ll almost certainly need homeowners insurance to protect your new house against damage and destruction. A policy will be required if you end up with a mortgage, and getting that vital protection is generally wise even if you buy your new home outright.
An insurance agent can help you check what your homeowners coverages needs are, and they can assist with finding a policy that provides sufficient protection. You can find an agent in your area, or you can ask your new home construction company if they’ve heard recommendations from anyone.
Unless you work in the residential construction industry, you’re probably unfamiliar with the various documents that are needed during a new home construction project. You don’t need to sort through all of the documents yourself, though. Rely on your construction company to help you through these various aspects of the associated paperwork, and the process should go smoothly.
