The following is a list of questions that will allow you as the client better understand the pieces and terminology associated with building a custom home:
Q: What is a purchase agreement?
A: A purchase agreement is a legal document which outlines the terms and conditions associated with purchase of a home. It outlines the specific requirements for both the builder and the buyer to adhere.
Q: What is a lien?
A: A lien is a claim that can be put on a house for a legal obligation that an owner must comply to. The reasons for a lien can vary: from unpaid charges for building supplies and labor to outstanding balances on mortgage loans or taxes.
From a custom home builder’s perspective:
A lien can be put on a house by a vendor or subcontractor for unpaid charges on services or materials they have provided for the construction of a home. In order for contractors to avoid a lien, a lien waiver should signed by vendors or subcontractors each time a payment is made for an invoice over the amount of $1000.00. When a vendor or subcontractor signs a lien waiver, they are acknowledging that a payment for a particular amount of money was received for material and labor for a said address, and therefore waives all rights of lien or claims on the described property as of the date of the presented document.
Q: What is a quitclaim deed and when is it used?
A: A Quitclaim Deed is the transfer or to “Quit” an interest on a piece of property.
From a custom Home Builder Perspective:
A quitclaim deed may be required if the piece of property that the builder is going to begin construction on is in the name of the individuals that are having the home built. Quitclaim Deeds allow for the builder to acquire proper insurance and assume risk over the property while the home is under construction. The land would then be quitclaim deeded back to the original owner at the close of the house. (Make sure that the detail about any quitclaim deeds are in your purchase agreement before the transaction is completed.)
Q: What is Impermeable Membrane?
A: Impermeable membrane is a flexible membrane that is bonded to the foundation and roof eaves. The impermeable membrane not only helps to waterproof the foundation and roof, but also reduce the amount of moisture intrusion, bridge small cracks, and reduces water penetration through bulk water movement.
Q: What are fascia and soffit boards?
A: Fascia boards are a type of roof trim that is used to cover the exposed ends of the rafters on the exterior of a home. Soffit boards are the boards used to connect the bottom tips of the eaves of the roof with the side of the house at a 90 degree angle. Soffit boards are similar in function to fascia boards; both are used to smooth out the appearance of the outer edge of the roof and work to protect the roof and the interior of the house from weather damage.
If you have any additional questions, Please contact us.