From the Ground Up

The last couple of weeks have gone painfully slow.  It is like that when you are anxious to start something but can’t.  We’ve been waiting for the draftsman to finish the blueprints.  While they aren’t completely finished I received the first set late Friday.

They still need to complete the elevation views but with the floor plans sent to us we can now scrutinize the layout for any last minute changes prior to printing out the full scale prints.  In the old days this would have been a face to face meeting with the draftsman.  Today with PDF files and electronic documents it is as simple as an e-mail. 

Even though we plan to make a few changes the basic foundation will not change so this morning I started making some calls for quotes on digging (excavation) and pouring the concrete walls.  Once again the PDF files make obtaining quotes a snap.  What once required every sub contractor to have a full scale blue print has now been replaced with most being able to quote from an electronic drawing.  In the past if you wanted to get (3) quotes on a foundation you needed to mail off, or deliver, (3) sets of blue prints.  Not only does that take a lot of time but it is expensive.  Then getting them back to use for other quoted processes can be a challenge too.

This morning in less than an hour I sent out (6) e-mails to (6) concrete contractors requesting quotes.  Along with the e-mail I sent an electronic PDF file of the foundation pictured below with full dimensions and an electronic scanned document of our lot.

I’m sure you’ve heard it is always best to get (3) quotes on things?  Well if (3) is best (6) is better!  It always amazes me what price differences there are between contractors that are busy and ones that are not.  When my son Joe wanted to pave his driveway this past summer all the quotes were coming in over what he had available to pay.  On the day we were ready to give up the last contractor called and asked what it would take to get the job.  He had a cancellation and his schedule was open for a few days and rather than make no money he figured he could at least make something.  I told him the budget Joe had to work with, which was about 50% below his initial quote, and he said he would do it. 

So while we wait for the final revisions and some elevation views I’ll take advantage of the wonderful world of electronic images and the internet to get the first step of this project quoted……the foundation.

I Want To Be An Energy Star

I love energy efficient products!  Kind of strange I know.  With each new house we've built through the years I tried to make them even more efficient than the last.  I also have some data to support my success.  I have tracked gas and electric consumption on various homes we've lived in.  My spreadsheet doesn't track costs but usage.  By looking at a constant unit of measure (btu's or kilowatts) I can accurately validate using statistics.  Our most recent house actually had almost 50% more square footage of heated living area from our first Cedar Falls home but used about 25% less energy.

Some of the energy improvements come automatically.  Gas furnaces, for example, are much more efficient today than they were 10 years ago.  Some energy efficient items aren't worth the added cost.  Kind of like Hybrid automobiles.  The average driver will probably not generate enough savings to justify the added expense but sometimes you just do it because you want to or you know its a good thing to do.  

I've always wanted to install a geothermal heating a cooling system (uses fluids circulated underground to naturally extract energy to heat and cool) but over the years the return on investment wasn't large enough to justify the added expense but today there are some huge tax incentives that are making geothermal installations far more common. 

One of my favorites is the tankless water heater.  This little box, no bigger than a small suitcase, provides all the hot water needs to a house.  You don't have a 50 gallon tank that is constantly being kept heated with a gas burner so you are only using gas when you require hot water.  Another big advantage is it is endless.  If you have 10 people visiting and they all want to take a bath or shower, no problem, it never runs out.  

Tankless heaters aren't cheap.  A unit for the cottage will be about $1000.  I can still get some rebates to knock a few hundred dollars off but if we don't go there for a month we're not heating water in a 50 gallon tank for a month for no reason.

Another cool product is the foam insulation.  It too is more expensive so you have to decide if it is worth it but with foam, unlike other forms of insulation, you don't have to worry about voids in the insulation.  It expands more than 100 times to fill in every little crack that might allow cold air to enter your home.  

Click on the link below to watch it applied.

http://www.youtube.com/watch?v=VFjxWdPPY1Q

Since we will be on LP gas at the cottage I was curious if things like furnaces, fireplaces and appliances come in LP versions and in every case that I have checked they do.

A Star is Born!

Easier Than A House

A little more than 2 years ago we built a house in Waverly, Iowa.  We had planned on it being our "dream house" where we did everything we always wanted to do in a house but sometimes couldn't because of budget constraints or resale considerations.  We figured since we would probably be there a long time we were going to do it just the way we wanted it.  So much for being there a long time!

Like this project, I acted as the General Contractor and did a lot of the work myself.  The biggest difference was I was still working full time AND we built at the coldest time of the year.  Kind of takes the fun out of it!

This project should be a lot more fun.  My work schedule is MUCH more flexible and we will build at the nicest time of the year.  Another factor, related to costs, is that we won't be using high end materials since it is more of a weekend, part-time residence.

My biggest shock when we built the house was the cost of cabinets and counters.  It had been a while since we had built and we had never used high end stuff before so I went into sticker shock when we got our first quote for nice cabinets and quartz counters.  For the cottage it will be nice but average cabinets and formica or similar quality counters.

Having built so recently this project is already seeming a lot easier.  Many of the decisions we had to make the last time around will be the same ones again.  Who to use to draw up the plans, who to supply the lumber package, and, with a little luck, I'm hoping to convince a sub contractor or two to drive a little farther than usual and perform some work again for us.

It never ceases to amaze me how fast new and improved products are coming out.  You would think in just two years things wouldn't change much but they have.  Denise and I went to Lumber Liquidators last weekend in Des Moines to look at wood floors.  We really want to find something that looks rustic.  We have always used 3/4" solid wood floors in the past.  I've gotten pretty good at installing them so our only costs are the materials.  We didn't really see anything in Des Moines that we liked.

Saturday we made the rounds to Mendards, Home Depot and Lowes in Waterloo looking at a variety of products, one of which was flooring.  I also have been doing a lot of reading on-line about alternate products like laminates.  I've known many friends that have installed the "floating" floors that literally lock together like a jig saw puzzle.  They were very happy with the products.  They might not be solid wood but there are some really nice styles available with a look more like we are after.  I must say the ease of installation is appealing as is the price.  At Home Depot they showed us a brand new product that is more of a cross between a wood laminate and a vinyl material.  Basically a picture of a wood pattern covered with some extremely durable resin coating.  If you would have described this to me prior to seeing it I would have laughed but the look is really amazing.  It is waterproof and much more scratch resistant than real wood floors.  We haven't decided what we will use yet but it is definitely in the running.

So while many the decisions are no brainers based on our project two years ago we can't get tunnel vision because we might miss a "new and improved" product that wasn't on our radar before.

Bad Budget Start

I think the thing that gives me the most stomach aches when it comes to building is all the rules, applications and fees.  It just seems like everybody has their hands in your pockets and there is nothing you can do about it.  Rules are rules.  What I've now also learned is that when you build in a specialized lake community you can multiply the fees, rules and applications by a factor of three!

I'm not saying we don't need building codes and rules to protect the quality of these areas but some of these sure seem redundant, excessive or unnecessary.  I'll let you be the judge but suffice it to say I did not have this much budgeted for permits and fees!

Association Fees:
Building Permit                          $500    plus $.55 for every square foot over 800 sf  ($885 total)
Environmental Debris Bond       $500    refundable I guess as long as I don't alter the environment
Environmental Impact Fee         $1100  non-refundable.  What the heck is this all about?
GPS Fee                                  $325    to plot everything on the lot after we finish building
Sub Contractor Fees                $225    the subs have to pay to "register" with the association
General Contractor                   $325   to register.  If homeowner acts as own general fee is waived!
                  
County Fees:
Application                                $50   base fee
Building Permit                          Didn't I have one of these already?  ($300 - $450)
Inspection Fees                         $50 per inspection  (I think there will be 4 required)

Then there will be applications and fees to the health department because there will be a septic system.  Fees to connect to the water and electrical systems and I'm certain there are some I have forgotten or haven't learned of yet.

All of this before you can even dig a hole or pound a nail!

Kind of takes the fun out the big start.  I'll come to grips with it in a week or so but for now I have a stomach ache and am going to bed.

The Right Tool for the Job

Over the last 30 - 40 years I have built my entire tool collection free of charge.  Got your attention?  OK maybe not exactly but here is what I do.

If I built a deck that would have cost me $2000 to contract but did it myself for $1000 I rewarded myself with a tool I wanted.  Many times that is a purchase "in advance" because it was a specialized tool either needed for the job or one that would make the job much easier.

Having the right tools can be critical to doing a quality job.  I usually like to buy high quality tools but not always.  If it is a tool I will use frequently then I usually buy the best or something high end.  If it is something I might not use again I won't spend any more than I have to.

For example:  I bought a ceramic tile saw when I did my first tiling job.  There were several for $300 to $400 but the typical tile job doesn't require that many cuts and I didn't have plans to use it a lot so I found a cheap one for $100.  I've used it probably 5 times since, still the original blade and it works fine.

The Greatest Tool Invention

By far the greatest tool invention ever is the nail gun!  Back in the old days when deck boards were nailed down, not screwed,  I spent an entire day nailing by hand...with a hammer.  The next day the back of my hand was so swollen from the vibration and pounding that I couldn't put on a glove.  I agree I am a wuss but thank God I don't have to do that anymore.  Nail guns that run from compressed air come in a wide range of applications.  The differences are the result of different types of nails.  A "framing" nailer will shoot nails required to generally perform rough construction like framing walls to a house.  A "finish" nailer or "brad" nailer on the other hand will shoot smaller, thinner, nails used in performing more artistic interior finishing jobs.

    Finish Nail Gun                        Framing Nail Gun

Trivia 

Did you know that the tip of the nails for air driven finish nails aren't pointed like the finish nails you would drive with a hammer?  One problem with manually driving finish nails is the pointed end creates a wedge that stresses the wood more and leads to split trim boards.  A nailer on the other hand uses a more squared off or blunt end on the nails.  This acts to crush the wood fibers instead of driving a wedge into them and far less splitting of the wood.

I've even got as creative as sharing the cost of a tool.  My good friend Tom Glancy is another do-it-yourselfer.  We were both interested in learning to install wood floors but the specialized "cleat" nailer cost about $400.  Since neither of us were in a big hurry we decided to buy it together and trade it back and forth when needed.  To make things even more interesting Tom lives in St Louis and I in Cedar Falls, Iowa.  That old nailer has some miles on it and has done a lot of floors over the years.

                                         Cleat Nail Gun for Wood Floors


So maybe the result of your hard work won't be to buy a tool for yourself but regardless don't forget to reward yourself with something.



 

Rules of Thumb

OK these pictures have nothing to do with our cottage project but they have to make you smile!

Kelsey and Jay are out-of-town and we are babysitting their "Dottie".  She's the light colored one.  I think I know why Dottie likes to stay at Grandma's house!

I like “rules of thumb”.  They give you a rough estimate or rough guidelines to use in planning.  All my life I’ve used several rules of thumb when it comes to personal financial planning.  Maximum mortgage payment as a % of take home pay, % of stocks to have in an investment portfolio, etc.  I’m also a big “goals” person.  I think goals give you the vision you need to be disciplined enough to achieve them.

After building (5) houses in our lifetime I have some construction rules of thumb.  They are not entirely unique.  Many I’ve read through the years then either tried to confirm within my own projects. 

Here are a few related to total cost estimates.

In a typical average house the breakdown is as follows:

            25%  Materials

            25%  Labor

            25%  Land

            25%  General Contractor Mark Up

Does that mean the general contractor makes a 25% profit?  No.  Many times they have employees and significant overhead costs so realistically their profit margin is probably half of that.

I’ve read where people say take your material package times 2 or times 3.  I would lean towards times 3. 

Another one I use for a one story is $150 per square foot not including the lot and $75 per square foot for the second floor.  This is not a house with Granite counters and high end accessories.  These are costs having a contractor do everything for you and using average quality products. 

So what does that mean if you are willing to act as your own general contractor and / or do some of the work yourself?  I would say you can save 10% acting as your own general contractor and another possible 10% if you are willing to do a lot of work yourself.  We’ll talk a little more about “sweat equity” in later posts.

So with my rules-of-thumb noted, here is my preliminary estimate / goal.  Having no plans or quotes yet, having minimal contacts in the area we are building and having not built for several years this could be way off.  Once I have plans and a lumber package I’ll be able to tell if I’m on track or not but here is my GUESS.

1000 sf @ $150          $150,000

  500 sf @ $ 75           $  37,500

1500 sf @ and average of $125 / sf or $187,500 if I was to have someone do it for me.

My goal (not including the land or the lot) is to complete the project at $100 per square foot or $150,000 total.  IF successful I think I can have between $30,000 and $40,000 in equity the day we move in.  

No Way Out?

While I've never been a big winter person and sometimes feel rather trapped it was slightly disappointing coming to the realization we will probably never be able to escape the Midwest winters for long but having made that decision I am now seeing new possibilities for "embracing" the winter.  Nothing prettier than a walk in the woods after a fresh batch of snow, taking ATV's for a ride through the drifts, getting back to skiing which is a short drive away, and maybe even taking up some ice fishing!

We haven't even closed on our lot and have had welcomes extended to us from several people at Apple Canyon which further enforces that we made the right choice.  Got a cool calendar today in the mail from our friends featuring pictures from Apple Canyon so I can scan them and will periodically feature a photo.

Find the Pins

One thing before closing on a property and certainly before you build is to make sure you understand exactly where the property pins are.  These are usually a metal spike driven just below the surface of the ground at the (4) corners of the property.  Our last house we built I was able to find (3) but the 4th I could not locate.  It was the one in the front yard by the street.  Since the sidewalk stopped right at our property line I just assumed the contractors putting in the sidewalk accidentally knocked it out.  So I used the edge of the sidewalk as the 4th point.  You know what they say about making assumptions don't you?  Well a couple of years later when we were selling the house the pin was discovered about 2 feet inside of where I had assumed it was.  Luckily our house was still in far enough from the property line but the irrigation line we had installed was not.  It was 2 feet onto the other owners property.  About $400 later we had the problem corrected.  

When you take on a project like this you are going to make mistakes.  Don't let that scare you off.  There are lots of people out there willing to help if you just ask.  Kelsey asked me one time where I learned to do all the little things I can do.  That answer is simple.  I tried, screwed up most in some fashion, and ultimately learned the wrong way and the right way.  My favorite quote of all time is "the wise man learns from his mistakes and the fool is destined to repeat himself".

I promise I will share the successes and failures as I go in hopes someone reading this might learn from my mistakes and and find that road to "wisdom" a little shorter path.

Lofty Expectations

So now that we know where the next question is what to build?  While we want something with a rustic look and feel I’m not that into the log exteriors.  I am more of a maintenance free exterior guy but I do LOVE the feel of the inside of a cabin.  I also love lofts.  There is something about a big open loft overlooking a cathedral ceiling family area that just says “vacation”!

Denise and I have been to Log and Timber Homes shows gathering ideas and while the convenience of buying a “package” from one of these companies sounds appealing I have reservations.  It is just too easy to bury excess costs and overhead in a package deal.  I want to control and know ALL the costs that go into this.  That is the only way I have a chance of keeping this on budget (which we will discuss in future blogs). 

Before you buy a piece of property you need to make sure you are aware of all the restrictions, rules and covenants.  In our case a one story residence needs to be at least 1000 square feet.  If you have a second floor you can reduce the first floor to 800 square feet as long as you have at least 200 sf above.  My plan is to try keep the design as simple as possible to hold down construction costs but not to eliminate the things that give a place character.    

After looking at hundreds of house plans on-line we have decided on roughly 1000 sf on the main level and a loft of about another 400 sf. 

Teamwork

In all my years at Deere one of the most significant things I learned was what a powerful tool brainstorming can be with the right group of people.  Watching ideas get suggested that in turn fuel a better idea and so on is exciting.   

A friend from Waterloo, “Tiffin”, currently works for John Deere but was an architect in her former life.  I showed her some of my drawings and we “brainstormed”.  The unfortunate result is that Tiffin’s ideas and sketches are going to add some costs to this project!  Her ideas were great and she convinced me that the additional costs would be worth the added investment.  It was kind of like when I took my son Joe with me to buy a couple of flatscreen TV’s.  I would have been very happy with a Visio but he managed to talk me into the Samsung at a higher price! 

So with sketches in hand it is time to meet with the draftsman and get this party started.

The Name Game

Early on when discussing our project we kept referring to it by many different names.  Cabin was the first reference but to me a cabin is with the big ass logs and that wasn’t our vision.  Lake House was considered but our good friends call their place the lake house so that should remain special to them.  Retreat? Lodge? Get-a-way?  Jeez, if we’re having this much trouble naming it what is building it going to be like?

With some input from daughter Kelsey we decided on Cottage.  Being the teacher and writer she is she liked the possible “alliterations”.  OK I had no idea what alliteration meant but after looking it up it seemed like Kuebler Cottage was a good choice.  What sealed the deal was when I remembered Norman and Ethel’s place in “On Golden Pond” being referred to as a “cottage”.  Done deal!  Not only is that the greatest movie ever but an inspiration.  Don’t know if we’ll have any Loons their to greet us but we’ll sure be looking for them.

That’s A Lot!

It never ceases to amaze me what waterfront property costs.  At Apple Canyon Lake you can buy a nice waterfront lot for the bargain price of $250,000!  Needless to say ours will not be lakefront.  When we visited the area we looked at a bunch of lots for sale.  Surprisingly both Denise and I liked the same one.  Some of the things that we liked were:

1)      The lot faces west so the hot afternoon sun will be out front and the back will be shaded.

2)      There are a row of evergreens along the rear of the lot and behind that a wooded area that is not on the lot.

3)      There is a trail that goes all the way around the lake that is over 15 miles long.  You can drive golf carts and ATV’s on the trail.  The trail runs along the back side of the lot we like behind the evergreens.  Very convenient.

4)      The street where the lot is located is a dead end so it is private with not much traffic.

5)      Right off the dead end is a short trail that walks down to a quiet bay (Presidents Bay) and there is even a little beach there.

6)      The dead end and trail is literally a one minute walk from where our driveway would be.

7)      Finally the asking price is $9,900.  Just a little less than the waterfront one!  

Heck even Norman and Ethel had to walk down a path to get to their “Golden Pond” so I think this will work. 

Made an offer of $7500, owner countered at $9300, we countered at $9000 and now own a lot!

These Snowbird’s Have Been Grounded

The term Snowbird is used to describe people from U.S. cold weather states who migrate South to spend the winter in warmer locales such as Arizona and Florida.   Denise and I always talked about someday becoming snowbirds.  We even went as far as visiting several fabulous Del Webb retirement communities. 

Del Webb - Sun City Anthem (Arizona)

One of our favorites near  Mesa, AZ, had everything you could want.  Heck even the name was perfect “Sun City”.  Community center, pools, golf courses, tennis courts, clubs, warm weather, everything……almost!  What it didn’t have was our family.  Sure the kids could come visit us but realistically how often or for how long?  Call us crazy but the thought of being away from them for several months was not something we could imagine.

Del Webb Nashville Tennessee

So our next strategy was to have a place close enough to drive to within a day, maybe a long day, but a day none-the-less.  So we took a trip to Nashville.  Great city, still warmer weather, but could get to in a day.  On the 10 hour drive home we both looked at each other and agreed that a full day’s drive was still too far. 

So it looks like the “Kuebler Cottage” will have a furnace and a snow shovel in the garage! 

With our search criteria narrowing we concluded if we were going to have something we would use, and our kids would use, it needed to be convenient to get to.  A good friend once told me he had read a study that determined the best distance for a vacation home was within a 3 hour drive.  So we took out a map, and like Gilligan and the Skipper plotted our 3 hour cruise.  Much to our surprise there were more choices than we thought  and we spent the next several weeks making short day trips to explore. 

And the winner is?

                            http://www.applecanyonlake.org/

                            http://www.galena.org/

Our ultimate decision came down to a place I had been familiar with for over 20 years, Apple Canyon Lake in Jo Daviess County, Illinois.  An additional bonus was that a few years ago we learned some close friends from the Chicago area also own a home at ACL.  After a couple of trips there we agreed that this was the spot we had been searching for.  Check out the web sites above and see all the cool stuff there is to do.  Some beautiful countryside in the heart of the Galena Territories.

Walk the Talk

We all have people in our lives that make a big impact on who we are.  One of those people in my life was Bob Leisinger.  I first met Bob when I was in my 30's.  We both worked for John Deere.  He was asked to come to the Quad Cities, from Waterloo, to help on a project.  Bob, at the time, was in his 50's.  We worked closely together on the project and became very good friends.  Since he was the "outsider" at the East Moline Foundry I helped him get acquainted and comfortable in his new environment.

We learned a lot from each other but to be fair I learned much more from Bob.  Many nights, while working on 3rd shift, we would have some long conversations on just about every topic from family to politics.  One of the topics we spoke frequently about was retirement.  When would be the right time?  How much money should someone have saved?  Etc.

Another very frequent topic was our shared dream to someday have a vacation cottage on a lake somewhere.  Bob told me a story about a time he had a chance to buy one at a very good price but talked himself out of it.  He said he always regretted that decision but that he still planned to one day have that place.

Ironically many years later the East Moline Foundry closed and I was transferred to Waterloo.  Once again Bob and I got to work together on a very important project.  This time I was the "outsider" and Bob went out of his way to help me and my family feel at home in my new job and in a new community.

I lost my good friend Bob several years ago.  Bob had a wonderful wife and loved his family but never realized that one dream of his to have a vacation get-a-way.  As I sit here tonight, now in my 50's, it's time for me to walk-the-talk, put-up-or-shut-up, or whatever old cliche you want to use.  I don't want to someday look back and "wish I would have".  My wife Denise's favorite encouragement cliche is "life's too short" so get on with it and as usual she is right.  So here we go.  Over the next several months I am going to build that cottage.......for me......for my family.......and for Bob.