Depending on the market, the cost of building your house (whether through your own financing or builder financing) is significantly higher than the cost of an existing home.
In my market, I'm seeing people paying in excess of of $105/square foot to build, where existing homes (similar build quality) are going for $75/square foot.
Also, there are not as many options for construction loans, and generally you would have an interest only period during construction, and at the end of the construction it can be converted to a fixed rate. So there is bound to be fluctuation in the market. What will fixed rates be 6 months from now?
Just a few reasons why I would not consider building, at least not in my market.
Ohio Loan Officer / Manager @ Mortgage Broker
NMLS ID 164070
Ohio Mortgage Solutions
Ohio FHA Mortgage