Bright Bay’s longevity and sterling reputation is the direct result of our listening to and understanding the needs and desires of our clients during the past two (2) decades. While each homeowner will have different goals and concerns, below are some of the more common questions we have been asked over the years.
 

Should we build a new home or renovate our existing home? What are the primary factors of New Construction vs. Custom Renovation?

Since each home (and homeowner) is different, there is no simple answer without a consultation. However, consider the following benefits for new home construction: Building new is a great option due to many factors which include:

* Your new home will be built pursuant to the most recent hurricane standards, making your new home safer in a storm.

• Your new home will qualify for certain insurance discounts because it will be built at or above the most recent standards..

• Your flood insurance will be minimal since your new home will be built at or above the most updated requisite flood-zone height.

• The cost of new home construction per square foot is less than the cost of renovating per square foot.

On the other hand, the following factors should be considered with respect to custom renovation:

• You love your current home, but want to add space or modify existing areas.

• You may be able to preserve the “save our homes” tax benefit on the existing portion of your home.

Should we hire an Architect and Builder separately or a combined Builder/Design Firm?

There are several benefits to maintaining a separate architect and builder. First, an independent architect is trained, experienced, and dedicated to only designing homes, which should result in a better production of the client’s vision. Maintaining the separation between architect and builder also allows the client to accept bids from different builders while considering each builder’s particular strengths. Moreover, an independent architect and builder can oversee each other to the client’s benefit since they are not financially tied to each other. Furthermore, an architect who is connected to a builder may design a project while considering his builder’s preferences rather than focusing exclusively on the client’s goals.

What is a “Cost Plus Contract” and how is it different from a “Fixed Price Contract?”

A “cost plus contract” is a contract in which the client pays the actual costs of the project, plus a builder percentage for overhead and profit. In this type of contract, the client sees every invoice that is paid during construction.

A “fixed price contract ” is a contract in which the builder submits a specific bid for the project based on the specifications provided. The “fixed price” remains constant aside from changes or additions requested by the client.

For new home construction, our clients may choose either a “cost plus” or “fixed price” contract.

For custom renovations, we offer only “cost plus” contracts due to the unpredictability of the costs during the renovation.

How can I be sure I receive a Competitive Bid?

First, we recommend that you consult several different builders before selecting the one that is most qualified for your specific project and goals. A qualified builder should provide you with a detailed bid based on specific construction documents along with your personal specifications.

At Bright Bay, Paul A. Haggar personally prepares each bid for our clients. By collecting detailed estimates from our list of reliable subcontractors and suppliers, we are able to submit detailed and accurate quotes to our clients. Additionally, we request estimates from several different subcontractors and suppliers before finalizing our bid, so that we ensure the best possible price for the quality materials we require for our projects.

Lastly, a builder should provide a detailed bid based on the construction documents provided along with any personal specifications you have provided.

What is FEMA & the 50% Rule?

FEMA is the Federal Emergency Management Association, and it passed the so-called “50% Rule” which can affect renovation projects in flood zones. This rule can be important since many areas of Pinellas and Hillsborough Counties are flood zones.

Essentially, the “50% Rule” states that if your home is in a flood zone, and it does not meet the current mandated height, any renovation is limited to a cost equal to or lesser than 50% of the value of the structure. As an example: The combined value of your structure & property is at $800,000. With a breakdown of the structure value at $600,000 and the land value at $200,000, the renovation would be limited to $300,000.

It is important to note that each municipality interprets the 50% Rule differently. Moreover, the proper calculation of your home’s value is extremely important for any proposed renovation. At Bright Bay, we have been able to obtain many FEMA permits in the past, and have the expertise to help our clients deal with the 50% Rule.

For additional information on the 50% Rule, please check the following links:

www.fema.gov

www.stpete.org/pdf/femasubimpr.pdf

Are there any zoning limitations on the design or size of the home we want to build?

Each municipality has its own zoning ordinances. A survey of your property will need to be reviewed by your local building department to determine how the zoning rules can affect your construction project.