Frequently Asked Questions
- Should I get pre-approved for a mortgage?
- Are you a "draw mortgage" builder or a "completion loan" builder?
- How long does it take to build a home?
- Will Cobblestone build a home on a lot that I already own?
- How much do you charge per square foot?
- Will I get the GST New Housing Rebate?
- How much deposit do I need to get started?
- What happens to the remaining warranty when I sell my home?
- I've heard it can be difficult to have a home built?
- What about my other questions?
Should I get pre-approved for a mortgage?
Knowing in advance how much you can borrow and securing your lender's pre-approval for that amount makes it easier to explore your options with confidence. If you have not already arranged your mortgage we will be happy to help you get the needed approval at an excellent rate, while steering clear of unnecessary fees.
Are you a "draw mortgage" builder or a "completion loan" builder?
The homes we build are typically financed by the purchaser through a draw mortgage that is arranged immediately after the purchase contract is signed. Progress inspections will be requested from the bank at various stages throughout the construction process to verify the percentage complete and determine the amount of the advances made under the mortgage loan. This protects you and the bank by ensuring that payments are only made for completed work. Cobblestone will be pay for all interest that is accrued on these mortgage advances calculated right up to the possession date.
How long does it take to build a home?
Approximately five to seven months of actual construction time is needed, depending on the size and type of home you want. Before that process can even begin, you should be prepared for a pre-construction period of up to two months for financing approvals, blueprint preparation, building permits, architectural approvals and final product selections.
Will Cobblestone build a home on a lot that I already own?
Not normally. We take on only a limited number of projects each year because we want to give each one the attention it deserves. It is seldom practical for us to visit jobsites that are scattered across a broad locale. Whenever possible we choose to be active only in the neighbourhood where we operate a showhome. If your lot is situated adjacent to our centre of activity, then come in and talk to us, we may consider it.
How much do you charge per square foot?
We do not price our homes according to square footage. The reason is that the cost of building homes does not vary directly according to square footage. Some areas of a home cost more than others. Enlarging a kitchen will always cost more than enlarging a bedroom because kitchens cost more per square foot than bedrooms. Some types of homes cost more than others. A bungalow style home typically costs more per square foot than a two storey model because it has a much larger roof and basement. Until we see and understand the complexity of a job we cannot tell you what it will cost. When the design of your home is finalized, a detailed material and component spreadsheet is produced and the price of your home can be accurately calculated.
Will I get the GST New Housing Rebate?
Like most goods in Canada, 5% GST must be charged on both the land and home. As long as either you or a relative will be occupying the new home as their principal residence you will qualify to receive a rebate of up to 36% of the GST paid. Normally this rebate can be pre-calculated and deducted from the total price at the time the contract is prepared. For a home priced at or below $350,000 the full 36% rebate will deducted. Above $450,000 there is no rebate allowed by the government. Between these two threshold amounts the rebate is calculated on a sliding scale.
How much deposit do I need to get started?
Our contracts all begin with payment of a refundable $1,000 deposit, normally paid by cheque or money order. This cheque will be cashed and the money held until either all conditions of the contract (like financing approvals) are satisfied, or you ask for it to be refunded. Once the conditions are satisfied the initial deposit will no longer be refunded and a further deposit will be required.
What happens to the remaining warranty when I sell my home?
If the home is sold during the warranty period, any remaining coverage stays with the home for the benefit of subsequent buyers. An excellent selling feature! The best part is that you don't need to do a thing as the warranty is automatically transferable.
I've heard it can be difficult to have a home built?
Home building is a complex, detail-oriented process. Difficulties that arise between a builder and a client usually occur when there is a difference in understanding between the two. Communication is vitally important, and that's why we choose to stay at the scale we are. To eliminate miscommunication, Cobblestone Master Builder develops highly-detailed plans and specifications for each new home, leaving absolutely nothing to chance. The vision of what is being built is exactly the same in your mind and in ours.
What about my other questions?
We encourage you to bring your questions and concerns to us. Contact us and we will be pleased to discuss them all.
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