• Shop around:

One of the best ways to save money before construction even begins is by shopping around for subs. You have to be really aggressive about pricing and accepting bids. Obviously subs are working to make a living, and they want to be paid as much as possible to do the work, but that does not mean they won't settle for less. Keep in mind, once you are content it is a done deal, so don't forget, you can always go back up in price if the sub refuses, you can't go down once it is set. Don't be too ready to give in, being too eager to make a deal means you won't get as good of a deal. So, negotiate hard. And, don't go with the first guy you talk to, talk to a lot of subs and get lots of bids, that way if there is one who you like or trust better, but costs more, then you can negotiate.

• Plan to minimize waste:

A great way to save money before you even start building is to plan efficiently so you don't waste money. What are some of the best ways to minimize waste? Consider this-if carpet comes in 12 foot rolls, your carpet sub is going to charge you for the whole roll whether you use it all or not, you are going to be paying for scraps, so where possible plan rooms to be 12 feet wide or 24 feet long, or some division of this, that will reduce waste, and therefore costs significantly.

Basically you can save money by not paying for things you don't use. Try to plan your layout to maximize the way materials are packaged, and you won't be spending money on things you don't use.

• Add extras later:

While having all the extras, is nice, they are not necessary to get a certificate of occupancy, which you must have to live in a home. Once you get that certificate you can add the extras and save the costs of carrying a construction loan and paying rent or mortgage somewhere else.

• Build closer to the street:

This can save you significant amounts of money, even though you might not love the idea, building closer to the street means you spend less on a driveway because it is shorter (not as much concrete), which is a big expense, and you don't have to spend nearly as much on your front yard landscaping. Not to mention, an added benefit is you have a big backyard, and who wouldn't love that?

• Finish only what you need right now:

Finishing work is one of the costliest parts of home building, so if you can cut back on which areas must be completely finished right off the bat, you can cut down costs drastically. When you design your home leave room for expansion and plan for it later as additional children, or funds, arrive. However, don't make the common mistake of not leaving the necessary room or plumbing etc for these later expansions. If you are going to put in a basement and finish it later make sure you have all the plumbing, electrical, etc ready to go so when you do have the funds or the need for the expansion that you don't have to redo work, or tear out walls etc to get to what you need.

• Use factory made, or in other words manufactured homes:

This does not mean go out and buy a mobile home. They aren't mobile homes, they are pre constructed. Factory made should not be confused with shoddy construction or poor quality. The manufactured home route can save you a lot of money in a lot of ways: since the homes are pre made they go up a lot faster, and the project takes significantly less time, which saves you a whole lot of interest, and labor. Another thing is there is no miscalculation or surprises in budget for the materials you need, the whole structure is included in the quoted price, plus since it is already put together you don't have to worry about materials being stolen etc. Also, usually a manufactured home is less expensive than a traditionally built home of equivalent size etc because the factory can use materials more efficiently etc.

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