We at Covenant Custom Homes have noticed something a bit unusual over the last few months; prices are going up! Perhaps, the dramatic increase in oil and gas prices are having their effect. We have started to see some fuel surcharges creeping back into supplier invoices as well as the beginnings of material prices are going up.
It’s to soon to know if the inflationary pressure will have a dramatic effect on building costs but almost all builders are adjusting prices upwards at about a 2%-3% rate. So far, we have been managing because of the long term purchasing power of our buying group ABG.
If you’ve been sitting on the sidelines waiting for new home prices to drop here in Overland Park, you’ve waited too long. New home pricing bottomed out in 2009-2010 and have been creeping up slowly the last six months. Materials, like roofing shingles, sheetrock, appliances, cooper wire and paint have already spiked in recent months. Perhaps, the sliver lining in this otherwise cloudy scenario is that rising new home prices should have a positive effect on the sale prices of existing homes but there is a 6-12 month lag.
So, if you’ve been patiently waiting to buy or build a new home in Overland Park, Leawood or other parts of Johnson County please give Covenant Custom Homes a call at
913-451-9471. We still believe it’s a great time to build or buy.

The Covenant Custom Homes “Spec Team” just broke ground on our popular “Castillo III” plan in the new phase of Mills Farm Manor 16312 Lucille .  Due to the very mild winter here in Overland Park the Mills Farm Developers were able to complete 26 lots in their latest Manor phase, earlier then expected.  The net result for Covenant Custom Homes is that this exciting and innovative home will be available for an October closing.  All of the 26 lots were sold to builders so these will be the last and only Manor lots available for a potential 2012 closing.

Just today the Mills Farm Developers informed us of their newest plan to add 16 more Manor lots which should be available in late Fall 2012.  New homes in the next planned phase will allow us to have completed homes for sale in early 2013.

The “Castillo III” is our most popular new plan featuring six bedrooms, six and a half baths, a finished lower level with a bar and a four car garage.  Excluding lot cost Covenant Custom Homes has built the “Castillo III” from $525,000-580,000 depending on size and specifications.  Interestingly, almost all of our sales in Mills Farm have materialized at framing which basically turns a speculative home into a “build job;” we expect this may very well be the case with lot 209.

More and More of our clients have expressed an interest in painted kitchen cabinets.  It appears that this is one of the new trends in Kitchen designs for 2012.  We have to admit that we like the look of painted cabinets but home buyers need to understand the whole story.  One of the purposes of our blog is to help educate new home buyers so they can make an informed decision.  A decision they will not come to regret a few months later or years down the road.

The problem with painted cabinets is that they are unforgiving.  If you bang into them with a plate or a cup you might very well dent or break the painted finish.  Once the paint has been broken it is difficult or even impossible to repair.  Of course this can also happen wiht stianed cabinets but it is much easier to repair.

Keep in mind that few rooms in your home take as much abuse as your kitchen.  Loading and unloading your dishwashers, grabbing pots and pans from beneath the stove and prapring snacks and meals 24/7 can take a toll on the average kitchen.  Kids, pets and alot more can render your prized painted cabinets a mess in no time.  If you know for sure that  your family is hard on a house then you may want to stick with stained cabinets.

If you insist on painted cabinets then we can take a few extra steps to make your painted kitchen stand up to the challenge.  At Covenant Custom Homes we have been working with our painters to develop a proprietary method of painted the kitchen cabinets to give them an extra layer of protection.  So, while we still recommend staining your cabinets we are much better prepared to paint them if you would like.

We recently passed a milestone of sorts, our fifth year exclusively using Pella windows.  As long time builders we have used probably six or seven different window manufacturers over the years and none of them have been as problem free as the windows we buy from Pella.

This is no accident of course, because Pella provides us with very exacting installation instructions and then inspects our installation to insure we have doe the job right.  Perhaps, most importantly, Pella provides our homeowners with a 1 year guarantee against defects in materials and workmanship.

If you do not already know it.  Pella is based in Pella, Iowa and is a leader in innovation, quality and service in the window business across the nation.  We particularly admire them for their Midwest values of fairness, respect and customer care.  We are served well by the local Pella distributor in Lenexa Kansas who has yet to let us down.  Our sales consultant James Clark is always helpful and most capable in assisting us to find the perfect window for every situation.

When we started with Pella five years ago we thought it was a real competitive advantage and we still do.  We just can’t say enough good things about the Pella windows we buy and the Pella folks who serve us.  Check out some of the other quality brand named products that go into our homes today in the company we keep section.

They say “timing is everything” or in the case of Glen Abbey timing was nothing at all. Glen Abbey of Leawood Kansas first opened in 2008. Glen Abbey is a particularly well located “boutique” neighborhood of only 30 home sites. It’s one of local developers Matt Adam’s subdivisions which include Glen Eagle and Mills Farm. Unfortunately, Glen Abbey opened for business just prior to the housing bust in 2007/2008. Until very recently, Glen Abbey had languished with just a few homes having been built and a number of unsold lots as 2008 prices.

It seems, however that Glen Abbey may have turned the corner and may prove to be a success after all. Fortunately, the developers and perhaps more importantly, their bank have adjusted lot prices down. Covenant Custom Homes has just finished the framing the Castillo IV a beautiful 6,000 square foot home which we will finish by the end of the summer. Four other builders have home under construction and two spec. homes are already on the market.

Because of Glen Abbey’s prime location (143rd Street just east of Nall) and proximity to St. Michael’s Catholic Church and School there will be undoubtedly interest in these great new homes. So, if you are interested in a Leawood Kansas address, proximity to great schools and a lot of house for the money just give us a call at 913-451-9471. Keep in mind with inflation already creeping into building materials there will never be a better time to build a new home.

The entire building industry has been gripped with “green” fever. Home building publications, builder organizations and suppliers can hardly talk about anything else, these days. Of course, we are all interested in protecting the environment, saving trees, eliminating toxic materials, reducing construction waste, etc. but we haven’t seen to many folks who are willing to pay for a greener home. Sure, we are doing a lot of things differently then even five years ago but we are trying to balance what might be good for the environment with what is good for people. So most of our “green” efforts are focused on building a quality home that is more energy efficient and eliminates construction waste, and is less costly to maintain over the coming years.

In these trying times, where everyone is trying to get the best value in their new home purchase, it doesn’t seem to make sense to ask people to pay a premium for exotic materials that might be a bit more green. At any rate, if you are passionate about the carbon footprint of your new home, we can show you some really neat products and techniques to “paint” your new home green. Most importantly we are truly excited about many of our advanced building strategies that result in a home that exceeds the building code requirement. Ask us to demonstrate how we can build a new home that is quieter, more comfortable and less costly to heat and cool.

By now everyone in the universe knows that the new home business is a mere vestige of its one high flying self. For the most part, there is hardly any new home inventory overhanging the market in Southern Overland Park. All of the ridiculous deals and steals have long since been scoffed up by savvy buyers. There is no shortage of buyers still looking for some new home or build job that they can negotiate on, but the discounts are reasonable to say the least.

What has changed though, is the value of a new home; which has significantly improved because of factors listed below.

Reduced prices for building lots
Lower prices on almost all building materials
Reduced overhead by sub-contractors and builders

I would venture a guess, that a home built in 2006-2007 could be constructed today for about 10%-12% less. This is why existing homes, particularly those built between 2005 and 2008 may be worth less then the cost to purchase them new.

I believe we are in a very favorable period for building or buying a new home. I am also starting to see however some prices going up to inflation or other market conditions; like what has happened to roofing as a result of the spring hail storms in our Kansas City Metro area.

Currently, there are fewer builders, fewer sub-contractors and many fewer developed lots; any reasonable uptick in buyer demand will translate into higher prices and longer times for home construction.

Without question the hottest subdivision in Johnson County this past year has been Mills Farm on 159th Street between Quivira and Switzer in Overland Park, Kansas.  Mills Farm features three distinct areas, “Meadows” with homes in the $400,000-$500,000 range, the “Manor” with homes in the $600,00-$800,000 range and the “Estates” ranging from $700,000-over 1 million.

Mills Farm is certainly one of Kansas City’s finest neighborhoods with beautiful landscaped boulevards, fabulous bronze sculptures, and a clubhouse pool complex second to none. Basketball, sand volleyball and tennis courts round out the amenity package at Mills Farm.

Perhaps most importantly resales move quickly and with very little discounting which means that Mills Farm is a superior neighborhood in terms of protecting the value of the homes being built.

Currently, there are a dozen or so builders like Covenant Homes that are building in one or all of the different price points. If you are considering building a new home in Southern Overland Park then you would be remiss if you do not at least look into building or buying a completed spec. home in Mills Farm. If you would like to learn more about building in Mills Farm please give us a call at 913-451-9471 and let us show you that building in Mills Farm just might be the best place for you.

At Covenant Custom Homes we want to help prepare better prepare our clients to
build their dream home.  We are always thinking of ways and ideas to help educate the customer.  Below, is a list of 10 items that will help
you prepare to build your dream home.

1. Establish a reasonable budget – Agree on a maximum dollar amount you can afford and stick
to it.  Don’t over extend yourself.  Maintain a reasonable ratio of the lot cost to the final completion cost of your home.
A good rule of thumb is to keep the lot at about 16% to 17% of the final home price.

2. Do your research – Visit new homes being built in your area.  Look at builders plans online and or visit
home plan websites to try and determine a sense of floor plans and home sizes that work for your needs.  Check out the
many great home plans we have on the models and plans section of our website.

3. Make a list – A critical step is establishing a list of the specific needs you want
to address in your new home.  Numbers of bedrooms, baths, garages and other items.
This list should contain only those non-negotiable needs you truly must
have.  We call this list the must have list.

4. Make another list – This list is called the “like to have” list and is made up of
the various details that you might like to have if they work out in the plan or
fit your budget.  Perhaps, it’s a high end appliance package or built in bookcases.
Make the list as expansive as you would like and try to fit in as many
as you can afford; after all their just the “like to haves” and not the must haves!

5. Develop a design sense – Get online, buy some magazines, visit model homes and show
homes where possible.  Try and separate the look and feel of one home from another.
Perhaps, you can visit an interior decorator and interview them for your
potential project.  It’s important that you have at least a sense for the colors you like or dislike and the design
motif you prefer.  If your completely uncomfortable you can hire a designer or hire a builder who has an in-house
designer like Covenant Custom Homes.  Part of our team features an in-house designer.
Check our experienced team

6. Select your geography – Like they say “location, location, location”!  Look around, check out the schools (even if
you don’t have kids in school), where is the shopping, and the highway access as well.  Make sure you select a
subdivision that can protect your investment for example Mills Farm is
a great community here in Overland Park Kansas that Covenant Custom Homes builds in today.  The last thing you want
is to build and have your equity impaired because the neighborhood is failing in some way.

7. Identify a builder – There are a lot of builders, many of them today only build a few
homes a year, some build more then 50 or 60.
You no doubt want a builder with enough purchasing power to insure your
home is competitively priced but no a builder so big that you can’t get his full attention.  The important thing is
to try and find a builder you can work with after all you will be spending a lot of time working with your builder.
Don’t select a builder who is not fully respectful of your time or your
input.  Definitely, avoid any builder who comes across and impatient, arrogant or condescending.

8. Check it out – Sounds kind of basic but many folks just don’t have time or so they
say to fully check out their builder.  Start with the Better Business Bureau and see if any complaints have
been filed.  Ask for customer references, you should try and get at least three.  If
you turn up smoke don’t wait around for the fire.

9. Bank on It – If you’ve narrowed down your selection to a particular builder or two
then it’s time to contact their bank.  You need to determine the financial strength and viability of any
builder you’re going to give a large sum of money to.  Ask the bank for a letter testifying to the
financial strength of the builder.  Many home builders have gone out of business during this difficult real estate
market so don’t hand over your large deposit to any builder who refuses your financial inquiry.

10. Be a detective – Talk to real estate agents, builders, suppliers and developers to
try and ascertain what the “real estate community” thinks of the builder your contemplating using.  Ask the builder if
he has other projects you can visit.  If the builder has no current projects that is usually not a good sign.  Any builder worth working with typically has
no less than 2-4 jobs going at one time.  Likewise if a builder tells you they build 40 or 50 even 80 homes a year they are far from a custom home builder.

Ifyou would like to interview a custom home builder with a strong financials and
a passion for both customer service and excellent home construction quality please give us a call.  Covenant Custom
Homes would love to talk with you about building your dream home in the Kansas City area.

Every single home builder will probably tell you their quality is the best.  No builder would be in business very long if they admitted that their quality was run of the mill.

Quality is hardly an accident, it is always the result of intention; the kind of uncompromising intention driven by real effort and skillful execution.  Of course, you have to do things right but you also have to be willing to rip something out and do it again.  While undoing something may cost us in the short term it certainly pays off in the long term.

At Covenant Custom Homes, we take great pride in the fact that we never have more than five or six projects at a time.  This means that we are inside every home every day.  We also put every home we build through a continual and exhaustive quality control examination at every step of construction.  No one in our industry take quality more seriously than Covenant Custom Homes.