Housing is one of the major needs we have, and as we grow, we want to move beyond rent to ownership. It’s always an interesting journey, and as they say ‘there are many ways to skin a cat’. There are several ways to make this dream happen; outright purchase, mortgage, custom building with professionals, some even do direct labour although this is not recommended.

One major thing that determines what method you opt for is funds. How much do you have to commit to the project? Secondly what location are you looking at?

The cost of a house includes the value of the real estate it stands on. Therefore location affects price. The more exclusive the location, the more expensive the house, if you are buying outright or building, because you still need to purchase the land.

Land value appreciates in Nigeria, but your choice should not just be based on the cost of the land but the accessibility. Your place of work or business location has to be considered. This is a place you want to live in. You dont want to buy a cheap plot somewhere that you spend hours travelling to. the so called savings in cost of the plot has been eroded by cost of transportation to your place of work, wear and tear on your vehicle if you drive, and wear and tear on your body.

It would be wiser to wait a little bit, save some more and buy the land at a more accesible location. If you have a family, school for the children should also be considered. Will they be changing schools or able to remain where they are without being late to school?

Most people, have a piece of land and want to develop it gradually. This is actually an easier way for most people, since you will be going at your pace.

I have supervised some building projects and I’m amazed as to how literally, little drops are able to make a mighty ocean. None of these house owners can be called a millionaire but guess what, they did it!

Fear is a major deterrent to build a house on a budget. Fear of the cost and fear of insincere workers. The first thing is to break down the cost and take it one piece at a time. Get an accurate bill of quantities for each stage.

Avoid waste

One thing I have learnt is that many of us spend so much because we want to build large structures. Many large houses today are empty and just wasting because of this. Even if you have five children at the moment, they will all leave. Who will then live in that massive house?

The rate at which many of us and our children are relocating tells us something. Those children are not coming back to live in those houses. They are going to make a new life for themselves abroad.

It would be wiser to build a block of 4 flats, complete one fully and live in it , if funds are not available, and they complete the rest as time goes on. This is if the funds are available. This kind of property sells more easily or rents more easily so your asset is earning for you.

Efficient building

If you are on a tight budget, a three bedroom bungalow is more than adequate. It’s a first house. It will cost far less and you can complete it in a shorter time frame. There is no point trying to impress anyone. How many people will visit you? What will their being impressed do for you?

Since resources are scarce, avoiding waste that can amount to millions is so key. A cute building with good quality finishing is the beat way to go on a budget.

Patience

You don’t have to start and finish in six months. Ours took us two years plus to complete. Break down the bill for each stage  and decide what you can do many e every quarter.

Self discipline and savings

This means you need to set money aside in an account you can’t easily access as money comes in. It also means leaner times as regards other expenses while this project is on. You can’t expect to live and spend the way you always have when you have a project.

It’s amazing how many things we can do without and save money on, if we put our minds to it. Check previous post for more savings tips

Small loans

Those who have a regular paying job with a salary account can actually easily access loans from their banks for major stages of the project like the foundation and roofing stages, then you can pay bak in installments.

As a business owner you can also take a loan through your business account. Its all about planning and repaying promptly so you can borrow again for another major stage. The advantage of taking a loan is that you are forced to discipline yourself to pay back.

Pay for services

Many of us find it difficult or are unwilling to pay for services rendered by professionals. The Manager of the site, architect, engineer or the technical team. The losses fron substandard work are usually much more than the cost of paying the professionals. Remember there is one for every pocket. You can shop around, but please dont build without some professional help. It always backfires.

There is something for every pocket

For finishes, there are materials to suit every budget. Yes the cement and sand, other initial building materials may cost the same, but for finishing, there is something for every pocket. Tiles can cost anything from 4000 per square meter to 50,000 per square meter. Same for doors, bathroom accessories, paint and so on.

Conclusion

The satisfaction and peace that comes with sorting our the issue of a roof over your head is priceless. It requires discipline though, but you can do it.

Please don’t let fear cripple you. It’s a step by step process and you can do it. You will be surprised how many low income earners live in their own houses. It always amazes me.

You can be on your way to achiving your dream in 2022 if you implement these tips for building your house on a budget.