# Buying or building a house



## gabedelgado (Feb 23, 2013)

To ensure the max chance of survival, it at least organization in prepping. Why advice would y'all give someone who is looking to buy a house or build one in the DFW, what should he or she look for?

What about in an apartment?

Also this house would be a suburban house. Or as close to it as possible


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## Bobbb (Jan 7, 2012)

Stone or brick cladding to reduce susceptibility to fire. Same with metal roof.

If the terrain allows it, an underground root cellar.

Make sure that you have well-drilling rights on the land, even if connected to a city water system.
'
Same with on-site septic. Even if not permitted, make sure that the land could take it if you put it in after the SHTF.

Look around for places to put solar panels or wind turbines.


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## GaryS (Nov 15, 2011)

I just finished building a brick home on 1-1/4 acre a few miles outside of Denton, TX. It has a concrete pantry/storm room in the center of the house, space allocated on the back of the lot and conduits run for solar power generation. I also have a 20kw, propane powered generator with a 500 gal tank for backup power. The house is extremely energy efficient, and there is plenty of room for a large garden and fruit trees. Wells are deep and expensive in the area, but I can drill one if I decide there is a need.

One huge problem...with the depressed housing market, it's a far better investment to buy a house than to build one. If I had it to do over, I would never build in an economy like we are currently experiencing. It will take a housing boom to raise the value of my home to the point of recapturing my investment.


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## gabedelgado (Feb 23, 2013)

GaryS said:


> I just finished building a brick home on 1-1/4 acre a few miles outside of Denton, TX. It has a concrete pantry/storm room in the center of the house, space allocated on the back of the lot and conduits run for solar power generation. I also have a 20kw, propane powered generator with a 500 gal tank for backup power. The house is extremely energy efficient, and there is plenty of room for a large garden and fruit trees. Wells are deep and expensive in the area, but I can drill one if I decide there is a need.
> 
> One huge problem...with the depressed housing market, it's a far better investment to buy a house than to build one. If I had it to do over, I would never build in an economy like we are currently experiencing. It will take a housing boom to raise the value of my home to the point of recapturing my investment.


May I ask what was the range of that investment?


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## GaryS (Nov 15, 2011)

Because of the distressed sales in the area, I could only get financing for $235k, but the final cost will be about $325k, so I have to pay roughly one-third of the actual cost, and then it will only appraise at $285k. The state of Texas doesn't yet recognize energy efficiency when appraising new construction.

Fortunately, when we sell our other house we can pay off the mortgage on the new house, but it will be years before the appraisal equals the construction cost. Since we are retired and this is our last house, our kids will be the ones who might be stuck with the loss.


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## zracer7 (Apr 17, 2012)

I have struggled with the same delema while living in the DFW area. Build or buy. Haven't found anything I have fallen in love with yet so I have been renting an apartment. Come SHTF i am screwed. And being that I am not a native Texan I do not quite understand fully the property taxes in this state. Luckily I am young so I have plenty of time but I am itching to get out on land away from so many people. Feel your pain.


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## GaryS (Nov 15, 2011)

I might add...the bureaucracy involved to build a house in the DFW area today is mind boggling. The number of fees, permits and inspections required would be laughable if it weren't so ridiculous. Every time I turned around, someone had their hand out for another $400. I haven't figured out the final amount yet, but it will be somewhere around $8-9k. When I built my last house six years ago, in a different county, I needed only a septic permit and engineering for the layout. Total cost....$500.


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## LincTex (Apr 1, 2011)

gabedelgado said:


> To ensure the max chance of survival...in the DFW, what should he or she look for?


A house VERY FAR AWAY from DFW!!!!


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## dixiemama (Nov 28, 2012)

Wow. When my husband and I built our home, septic inspection/permit $75. Electrical inspections (rough in and completed) $200/both. That's it. Granted, we're pretty far out in the county and I know county seat is strict but these figures are mind blowing. Pick a county and call PVA for taxes, health department for septic, and local contractors for electrical inspections and building codes. Pick the cheapest.


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## eddy_dvyvan (May 8, 2012)

You could always get some land now and build on it later.
Im guessing that interest rates are really low at the moment and land is quite cheap.

Head out into the sticks and whatever size of land you think you need.....double it


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## LincTex (Apr 1, 2011)

eddy_dvyvan said:


> I'm guessing that interest rates are really low at the moment and land is quite cheap.


In the USA you typically need 25% down payment. When I bought my land I did 65% down (borrowed from 401k) and owner financed the rest.


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## ras1219como (Jan 15, 2013)

LincTex said:


> In the USA you typically need 25% down payment. When I bought my land I did 65% down (borrowed from 401k) and owner financed the rest.


Depends on the type of loan you get. If its a conventional mortgage then yes but FHA is as little as 3% down and USDA is as little as 0%. Obviously the more you can put in for the down payment the better but if you can't afford it and need a home this may be a way to go.


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## LincTex (Apr 1, 2011)

ras1219como said:


> Depends on the type of loan you get. If its a conventional mortgage then yes but FHA is as little as 3% down and USDA is as little as 0%.


That's only for a house already built. Raw land is NOT eligible for loans under FHA.

I believe USDA loans are also only for established "Ag" categorized land, raw land will not qualify.


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