Different Types of Homes You Can Build

Building your own house is a major decision. There are so many things to think about, such as where you will build it, the materials you will use, the size, architectural style, etc. One of the things to also consider is what kind of home you want to build. Houses are usually categorized with different parameters such as size, architectural style, materials, etc. Here, we highlight the types of homes by construction, and their advantages as well as disadvantages.

There are three types of homes you can build.

Tract or Production Home

This is a home built by a general contractor with specific features, floorplan, designs, etc. for you to pick from.  It is a model home of sorts.


  • This home is usually cheaper to build since the general contractors are generally building many houses similar to that simultaneously.
  • You can move into this type of house within a few months since the builders are building to order and have more resources available at their disposal.
  • You are usually shown a model home, so you have a concrete idea of how your house will look.
  • The builders are usually professionals with decades in the business, so you can count on their support and certainty of fulfilling their promises. 


  • Your home surrounding is likely to be small because production builders don’t usually build on large lots.
  • You can’t build the home to your very own tastes as the options for customization are limited.
  • Most times, production builders save money on quality as well. So, you might be getting a cheaper and substandard house.
  • If you are taking a mortgage to build the house, your lender’s options might be limited to the builder’s in-house lender.

Spec Homes

Speculative homes are semi-custom homes where the builder starts with building and leaves room for some changes. Therefore, you have more options to customize the house but still not enough to reflect all your tastes.


  • Houses are available in varieties from small to large. Prices also vary, so you have more alternative options.
  • Your house is most likely a unique one because spec builders rarely build two similar houses.


  • You can’t fully customize the house the way you want, but you have more options than a production home
  • Spec builders are usually small to medium scale, and they may not be in your area for a while as they go to build another house. Any issues with your home might have to wait.

Custom Home

A home built by a general contractor or custom home builder based entirely on your plans. Most times, you have to buy the land for the home yourself. 


  • You can build any style of home you want. It is fully customizable, and all the builder does is build your dream house
  • You can build your home anywhere you wish. So, your land can be as big as you want it.


  • It is expensive to build
  • It will take a longer time for the home to be built
  • You are required to pay more upfront since the builder is at risk of developing a unique home that might be difficult to sell if you pull out.