Updated 11.19.25
Creek versus Pleasant Hill. And the answer home builder coach got was no. It’s pretty much the same cost to build the same floor plan anywhere. So that was the answer you got when you were talking to John before? Yes, yes. And I and I went back over the weekend and spent a lot more time with John on this topic because I thought I had this conversation with him.
But it sounds like we came to the agreement that we both didn’t spend enough time on it and didn’t pursue it further. So turns out, you know, I give them the information, the price out, what it’s going to be with the same floor plan to different communities. And it’s a 17 $6,000 increase to build the same plan in Fall Creek.
And when we were out in Fall Creek just last Friday, you know, every thing in the world was an issue like, oh, there is a train and, there’s, you know, the water is going to come into our yard. And I had Troy, I believe, out there, he’s kind of like the the guy to talk about all the topography and, figure out the basements and all that good stuff.
And he reassure them because he was just right there, kind of overheard our conversation because, like, yeah, that waterway is not going to be an issue. But, long story short, they called Brady and Brady, like, jump in any time. Correct me if I’m wrong. They called Brady and they ask like, oh, I don’t know just how that conversation went.
Or maybe they texted you Brady but they took up the issue with him that, hey, why is it a $17,000 increase to build the same house in Fall Creek versus, Pleasant Hill, Marshfield. And so Brady called me and we kind of had this conversation, and we went step through, step on, the March systems. And so what I learned was the base price, it will put everything into it.
The cost of the lodge versus the base premium of the home. And then the lot premium is a totally different thing. You know, the 3000 or whatever. It doesn’t seem to go up and five. That’s a totally different animal. And so I just didn’t have that information that we do have to account for the lot costs, lot price, whatever it cost us.
And that’s kind of what was explaining the well is going to be like a 35 to $45,000 increase. Now it’s it’s well yes, you’re right. But what I was explaining to Aaron is that depending on the neighborhood, like where there’s more sought after lodge Bolivar cheaper than Springfield Springfield’s, you know, roughly the same price as Nick’s. Rogersville is more expensive as you go out to Marshfield is less expensive.
Home builder coach just didn’t have any of those numbers. All I had was the marked systems and the little window that pops up with your base price. You’re a lot price. And your upgraded features. Yeah. And what I explained to her is, like, the lot premium would be like, as if there was a model of car that had a trim that was more valuable and it was scarce, so people wanted it more.
That car park price a little bit. And that’s why I had that conversation with John was so it’s the same cost to build the same floor plan here as it is and run yourself. Yes. And, following up was John. It’s just it turns out we just didn’t spend enough time to get to the bottom of the. Well, there is a lot cost.
And in Rogersville, that’s going to be your 35 to 45 additional grand. But on the March systems, it just puts everything into the base price of the home versus breaking it down to, you know, land cost. So that’s where kind of I guess the confusion or I didn’t dig deeper and John didn’t go deeper. So we just ended up not pursuing that conversation any further when we probably shouldn’t have.
So okay, let me go. Let me just take a step backwards before we take a step forward. Okay. So let me explain how base prices work. Okay. So base prices are all the items on the included features.
List.
And where home builder coach gets the base price is again mark systems. The little window that pops up and it breaks down all the costs. So I’m only working off of that. That’s why I didn’t have a follow up question on well, how much did the land cost? Because it’s just not listed on there. That’s why that question. So let me yeah, let home builder coach finish this.
So it’s all of the items on the included feature list for any of the plans. Right. Which is the same list of features on every single floor plan. Right. Plus the cost of the average home site in the community. See? And that’s the piece that was missing. Yeah. And this is always how base prices are. Like all of the builders that I work with, this is how it’s always set up.
This is how we did it at Shaw Homes. This is how all, like, bigger builders set it up. And that would be the common sense. That’s why I had that conversation with John initially is so it is the same cost to, to to do the same floor plan. And because we were talking specifically about this. Yeah. No, I hear exactly what you’re saying.
That’s how you let me explain this further. So this if I’m going to like talk about it this way.
This is like the bricks and sticks and the shingles and etc.. Right? All of the items on the included features list is like the cabinets, the countertop. Right? When I build an amethyst, I buy the same amount of concrete every time I buy the same number of two by fours. I buy the same two by 12 and by the same number of shingles, the same number of sheets of drywall I buy, the same number of cabinets and the same sizes of cabinets and by the same number of doors.
Right. So like all the sticks and the bricks and the things it takes to build on that price is 100% identical. Doesn’t matter what neighborhood I’m in, but the base price consists of more than that. The base price also consists of the average priced home site in that neighborhood and for example, in Bolivar. And I’m going to make up numbers because I can’t tell you what the numbers are off the top of my home builder coach head.
Don’t ever quote these numbers. I’m just these are example making it up. Let’s just say that, you know okay, I’m going to name different, neighborhoods. I’m going to do like all builders name neighborhoods. Let’s say Aspen Meadows is one neighborhood because we always name neighborhoods after whatever we tore down to build it that no longer exists. There are no aspens and there are no meadows anymore.
It’s a neighborhood right? Oh, like section eight Meadows. So let’s call it Aspen Meadows. Maybe the average home, say, in there is $25,000. And then Fox Crossing, because the fox no longer are there because we took away the entire habitat they lived in. So we’ll call this one Fox Crossing. Oh, Erin, you’re so cynical. I’m sorry. I’m just real.
And then. So, Fox Meadows, let’s say those are 50,000, right? And then you have, you have the estates. White Tail Ridge. Oh, you like that? Brady? I know you do. And those are 80,000. Whoa whoa whoa whoa, back up here. Those are $80,000. Well, if I’m looking at Aspen Meadows and I’m looking at the estates at Whitetail Ridge, well, then what’s the difference between 25,000 and 80,000?
Well, when I didn’t have those numbers because Brady was trying to figure that out to, like, work control the numbers and I’m like, Brady, what number are you working with? Because I just I didn’t have those so I could not to show you. I’m going to show you the systems. Let me show you in Mark systems how easy this is to look this up okay.
Perfect. Because there is an easy way for you to go back and forth. So I’ll open mark systems. It’ll take a minute here but give me a second and I’ll get it going okay. But this. So the difference between you know these two communities would be $55,000. Sure. Even though all the bricks and sticks cost the same amount.
Makes sense. Now let’s talk about how homesite premiums work. What did what was the key word that I had right here? You know.
Average. Average. What are homesite premiums?
The premiums, anywhere from like 500 to 3000.
Right. Like conceptually. So here’s the thing. Not every piece of land is the same, right? Let me pull up the home side. Disclaimer. Let me pull this up real quick. Let’s go to your website.
Okay.
I’ll just use this for an example. All right. Let’s look at these home sites. And this could be any home site in America. Okay. This one right here. This home site number 28. Let me just zoom in on it for a second. It’s 70ft across the back. Actually, let me use, let me is a different one here.
Let’s use this one. It’s 85ft wide here, but it’s 109ft deep here. And it’s 95 across the back and it’s 142 here. So it’s really shallow on this side. It’s much deeper. It’s 33ft deeper on this side. But if I just go it’s on average 85 by 120. I’m doing math. It’s 85 by 120. That’s a 10,200 square foot home site, 10,200 square foot.
Remember that number for a minute in Italian? Okay, now, if I look at this home site right here, number 24, it’s call it 50 plus another 30. It’s 80ft wide, right. It’s calling out two measurements. This is 80ft wide by 300. And we’ll just say 340ft deep. That home site number 24 is 27,200ft². What was the first one 10,700?
This is 27,200. And I think you’re going to have a customer walk in in a minute. You’re going to have to go. But, that’s three times the size that home site is. Which one is worth more? Right. So, write a premium, obviously. And that’s an exaggerated version of this. And this one I wanted to show it to you is and is it’s a variance.
And I get that like but I don’t have an issue with that whatsoever. Home builder coach gets that is just we never had the conversation on the cost of that lot, not the premium plus the cost. Yeah. And that’s where the confusion came in. I do have folks coming in. I’ll jump back on. No problem. Can’t see it. Thank you.
Sandy, again. I’m trying to go. You know.