Choosing between a large national building company and a smaller, local builder is one of the most important decisions you’ll make when building a custom home.
While it might seem logical that a bigger company would be more financially stable, recent industry trends suggest otherwise.
This is certainly something to keep in mind, as a more stable company is less likely to face bankruptcy and abandon your project halfway through.
In this blog, we shed light on the vulnerabilities of large national building companies and discuss why a local builder might be a safer option for you.
There are 4 Key Reasons Why Local Builders Almost Always Outshine Larger Companies
When it comes to building a custom home that’s finely tailored to your needs, local builders almost always outshine large national building companies.
This is due to 4 key factors:
- Personalised service
- Flexible construction
- Financial stability
- Bang for your buck
#1: Personalised Service (Instead of Unanswered Calls)
When you engage a smaller, local building company, you’ll likely deal with the owner or at least a close associate. Either way, it’s someone with skin in the game, so you can expect better customer service.
You aren’t going to get bounced between random employees who work for a franchise they don’t really care about. Instead, you’ll have a single point of contact throughout the entire project — from planning right through to completion.
This will be someone who truly understands your budget and goals. Someone who answers your calls and communicates clearly. Someone you trust.
If any issues arise during the build, they’ll be right there in your corner.
#2: Flexible Construction (Instead of a Cookie-Cutter House)
Beyond great customer service, local building companies typically have a business model that prioritises quality over quantity.
They might not have the capacity to take on hundreds of jobs a year, but they wholeheartedly commit themselves to the jobs they do take on, ensuring every home gets the attention it deserves.
This attention to detail is essential when creating a truly custom home instead of a cookie-cutter house or McMansion.
Where larger building companies strive to pump out as many houses as possible (sticking to familiar designs to increase efficiency), local builders are usually more boutique.
They’ll work closely with you to understand your vision and bring it to life — detail by detail.
#3: Financial Stability (Instead of an Abandoned Build)
In the volatile world of construction, size doesn’t always equal stability. In fact, large building companies are often more vulnerable to market fluctuations.
Consider the current economy: it’s the larger building companies that are faltering.
On the other hand, smaller builders — embracing agile business models and lower overheads — can more easily adapt to changes in the market.
Where an economic storm might sink a larger building company (causing them to abandon your project midway through), a smaller builder is more likely to remain afloat.
#4: Bang For Your Buck (Instead of Paying Your Builder’s Bills)
Larger building companies usually have larger overhead costs.
For example, they might maintain several, or even dozens, of display homes.
Display homes can attract more prospects, sure, but they also come with massive overheads — from cleaning and landscaping costs to staff wages and utility fees. And you are the one who ends up paying for them.
So while a larger company’s quote might be cheaper than a local builder’s, if you went with the larger company, more of your money would go towards their overheads instead of your home.
Simply put: local builders offer more bang for your buck.
The Takeaway? Look Beyond a Builder’s Surface Image To See How Stable They Really Are
At the end of the day, choosing the right builder for your custom home is more than a matter of finding the biggest building company.
While a large national building company might present an image of stability, it’s important to engage a builder who respects you and truly understands your vision.
A builder who bends, instead of breaks, as the market shifts.
A builder who leaves you with a finished home instead of a construction site.
Of course, this is just the tip of the iceberg when it comes to choosing the right builder. That’s why we’ve created this comprehensive guide for you to download.
Build With Confidence – Discover our 10 Tips for Choosing the Right Builder
It’s completely free and will help you avoid steering into the many other pitfalls that can emerge when building a custom home.