Moderator: Welcome back to the Online Home Buyers Conference with today's guests, Darlene Williams and Tom Ptak. Darlene and Tom, thank you for joining us and let's get started with this question: What customizing parameters should a home buyer consider when purchasing a new home?

Darlene Williams and Tom Ptak: DW
First, a buyer should thoroughly review the many available options offered by the builder because these are typically what they have found to meet their needs. Then if additional customization is desired, the buyer should have a discussion with the builder as to what is most cost effective as well as what will increase the potential value of the home when they are ready to resell it. Most often non-structural customization will be the most cost effective as opposed to major structural customization.

Moderator: What are the most frequently requested customizations?

Darlene Williams and Tom Ptak: TP
The most frequently requested customizations from NVHomes buyers has been additional window locations, tele-communication, networking, and entertainment system wiring specific to their needs; kitchen modifications including granite countertops, and cabinet styles and layouts; expanding existing living areas and/or garages; additional landscaping and decking.

Arlington VA: What does your company have in the way of a standard package for wheelchair users? Is this a "customization" need, or do you have some sort of ADA-compliant model?

Darlene Williams and Tom Ptak: DW
Due to the fact that many of the ADA regulations do not apply to single family homes, specific needs of a wheelchair user would be a customization issue.

Upper Marlboro,Md: Does NVHomes give allowances for standard options not taken, so the buyer can choose what or whose upgrade they want?

Darlene Williams and Tom Ptak: DW
If a customization is requested by a buyer and is agreed upon then when we price the customization (NV's term is a "non-standard" option) out and take into consideration the cost already in the home for what is standard.

Fairfax, VA: How do I know if my builder is using quality materials - tile, paint etc.? Other than taking the builder's word or becoming an expert is there an objective reference for the new home owner?

Darlene Williams and Tom Ptak: TP
The builder should be able to provide you with product specification literature from the manufacturers. Many builders typically use easily recognizable brand names that already have a good reputation with consumers, such as Whirlpool, Jacuzzi, Duron Paint, Florida Tile, etc.

Another source we recommend is manufacturer websites when can be located through any search engine on the web.

Vienna, VA: How involved should I get in the construction of my home? Is it recommended that I visit the site, meet the contractors, inspect the craftsmanship? Do you guys dread guys like me?

Darlene Williams and Tom Ptak: TP
With regard to NV, no, we don't dread guys like you! We welcome our customers to visit and have structured pre-arranged meetings with our construction supervisors and the homebuyer during normal working hours and they are informed about at point of sale.

The quality of craftsmanship is our construction supervisors' job to monitor and we have extensive quality control measures in place with our subcontractors which allows us to have consistant performance.

falls church, va: I've been looking at a number of new home models recently, and although homes do seem more spacious with updated features, many are still basically center-hall colonials. Is that still the most popular style in this area, or do you see that changing?

Darlene Williams and Tom Ptak: DW
For the most part, the Washington marketplace is a center hall colonial marketplace and I don't see this changing drastically in the future. Interiors are becoming more "transitional" looking on the inside to accomodate different lifestyles, however, exteriors still remain traditional.

Alexandria, VA: I've been looking at new homes for several months and the prices seem to have gone up considerably. One townhouse is selling for 25% more than an identical one sold 6 months ago. Is this a trend in new homes throughout the area? If so, do you think it will continue?

Darlene Williams and Tom Ptak: DW
The homebuying market has been very heated for the last 2 years and shows no sign of slowing up. The rise is sales pricing is a function of supply/demand, land costs sky-rocketing over this time period, and material and labor increases due to the tight labor market as well as manufacturers not being able to keep up with demand on the material side of things.

Buying now, rather than later, will definitely save you money and provide you with maximum equity for when you wish to resell the home.

In addition, due to the buyer demand, you will probably find delivery dates to be 8 or 9 months out in lieu of the typical 3 to 4 months delivery timeframe.

Good luck!

Springfield, VA: How does customization affect the delivery date of a new home . . . i.e., if I want to add a deck or, let's say, intricate woodwork?

Darlene Williams and Tom Ptak: TP
It depends on the degree of dificulty of the customization requested and the availablity of specialized materials.

With regard to adding a deck there should be minimal delay in completing the home. With regard to intricate woodwork, this type of customization could add as much as several weeks or longer due to availablity of materials, whether it is paint grade or stain grade material, and location of the installation in the home.

With this type of change, early planning at the point of sale is a must to minimize the delay.

Indianapolis,In: Are 9 foot ceilings becoming the standard for the first floor?

Darlene Williams and Tom Ptak: DW
9 ft. on both floors is NV's standard and has been for some time. We are currently designing homes with 10 ft. or more on the first floors. This applies to all of our markets that we currently build in. I am not familiar enough with the Indianapolis market to say it is the same, but, I'd check with local builders to see if I were you.

Herndon, VA: How are recently built homes appraised? Is it the same as the sale price? Just curious.

Darlene Williams and Tom Ptak: DW
It is done based on area comparables, just like on resales. If there are no comparables they do a fair market value appraisal. Sometimes you will find a combination of both done. Just like on resales, the sales price does not necessarily match exactly with the appraisal due to various conditions in the marketplace at any given time.

Centreville, VA: Is radon gas a problem in this area? If so, what are builders doing to control it?

Darlene Williams and Tom Ptak: TP
Because radon gas is a colorless, odorless, and natural occurring gas it cannot be accurately detected until a home is completely built and occupied for a period of time. If radon is detected in a certain geographic area due to testing of existing homes there, the likelihood that radon gas would be in a new home built in the same geographic location is possible. To my knowledge, the Centerville area is not known for high radon levels.

Some builders, including NVHomes, will provide a passive radon system in a single family home that provides the homeowner with an easy ability to install a vent pipe/fan to the outside to remove high levels of radon should it be found to be an issue in the home.

Moderator: Why should a buyer consider NVHomes as opposed to others?

Darlene Williams and Tom Ptak: DW
Being the NV of the Neighborhood does have benefits! Seriously, our reputation in this marketplace of providing high quality homes with superb customer service is certainly reason to consider us in your homebuying decision. We are a leader in the industry in both area mentioned and also one of the most copied builders by some of our competitors......and we take that as a compliment to our knowing what the buyers are looking for and delivering on it. Our professional sales and production staffs are another reason to buy an NVHome.......best floorplans, best quality, best locations, best professional staff, best customer service.....the NV of the Neighborhood!

Herndon, VA: I've heard that new homes are more energy efficient than older homes. How signicant a difference is it? How much will it reduce my electric bill? What would be the best customization for energy efficiency?

Darlene Williams and Tom Ptak: TP
Yes new homes are more energy efficient than old homes. One of the more significant changes that has made this possible was the adoption of the Model Energy Code (MEC) several years ago that required significant reduction in air infiltration and increasing the thermal envelope of the homes with adequate insulation.

Energy use is based on personal lifestyles so, I can't give you a specific dollar amount, but, it would be in the range of 20% to 30% better efficiency in a home built today compared to one built 10 years ago.

The best customization for energy efficiency would be to specify high efficiency HVAC equipment, 2 x 6 exterior walls with R-19 insulation and low-E double or triple paned windows.

Silver Spring: The text begs the question, what is your recommendation on the amount of customization? Thanks.

Darlene Williams and Tom Ptak: DW
I can't give you a dollar amount or even a percentage amount because it would vary depending on the community, the customization requested, etc.

Basically, the criteria a homebuyer should use is:
1) Don't make your home the most expensive home in the neighborhood by the customizations that you want done;
2) Make sure the cost of doing the customization will be realized in your resale value of the home;
3) Make sure it is something that is cost effective to do now vs. by you at a later date.

Remember, the goal of the homebuyer should be to have a livable home that meets their needs as well as could meet future buyers' needs of the same home. At NV we try to make homebuying easy by taking all of this into account when we design the home and its available options.

Gaithersburg, MD: I've noticed many builders are using a cardboard-like insulation instead of wood to "box-in" homes these days -outside walls-. How well does this really insulate from the elements when most homes are built using siding? Do builders offer additional insulating options?

Darlene Williams and Tom Ptak: TP
If you are referring to the 3/16" sheathing (T-Ply) applied to exterior walls, this material does have adequate insulation value and structural integrity for the walls. If you compare this to 1/2" foam type sheathing panels or 1/2" plywood it does not have the same R-values. However, the T-Ply is widely used and more cost effective without signicantly jepoardizing the total R-value of the wall. The cost of the other materials does not offset the energy cost savings that you would benefit from.

Builders do offer additional insulation options. For exterior walls you are limited to the thickness of the wall panel the builder is working with. To achieve high energy efficiency with exterior walls you need to consider the amount of glass area relative to the wall area. More importantly, having adequate attic insulation of R-30 or greater more than offsets the savings of using plywood or foam sheathing.

Paris, France: How do wood floors enhance the value of a home? What are the pluses and minuses of this expensive option compared to carpet or linoleum or tile?

Darlene Williams and Tom Ptak: DW
Wood floors are a personal choice as well as geographic trend, i.e., wood floors prevalent in northeast and mid-atlantic area and ceramic is the choice in southwest and south and west coast.

Wood floors enhance the value because older homes were predominately wood floors and were considered appropriate for the formal areas of the homes, especially the center hall colonial homes.

Darlene Williams and Tom Ptak: We'd like to thank everyone for the questions submitted and we hope we were able to shed some light on the customization question.

If you would like more information on the communities NVHomes is building in please feel free to call one of our local division offices listed here:
In Montgomery and Frederick counties (301)258-0002
In Baltimore, Howard and Anne Arundel counties (301)858-0522
In Fairfax county (703)641-0700
In Loudoun and Prince William counties (703)279-3100

Again, thanks for the opportunity to help you.

Moderator: Our thanks to Darlene Williams, Tom Ptak, NVHomes and all who participated. Join us tomorrow at 1 pm for a discussion about new homes design trends.