To Build or Not to Build: Key Factors to Consider Before Starting Your Cayman Property

1. A New Build or Custom-Built?
Are you looking for a brand-new house that’s never been lived in, or would you prefer a custom-built home tailored specifically to your lifestyle? This doesn’t necessarily equate to luxury or high expense—it’s about the difference between a pre-designed “cookie-cutter” house and one that’s uniquely yours. Both options are valid, depending on your vision and needs.

 

2. What’s Your Investment?
How much are you willing to invest in both the property and its design? Would you like a home that’s specifically designed to take advantage of the site’s conditions, or will a simpler design suffice for now, with future enhancements in mind? It’s important to evaluate your financial readiness and long-term plans before deciding.

 

3. Custom or Stock Design?
Would you be comfortable with a home built from a stock set of plans or a developer’s standard design? If you don’t find exactly what you want, consider how much you’d need to modify pre-existing plans. Keep in mind that developers often charge for changes, and minor adjustments can quickly become costly. Is it worth it, or would a custom design be a better option?

 

4. Do You Like the Area?
Is the neighbourhood you’re considering conducive to custom designs, or will you need to adhere to specific architectural styles? Will the area align with your home’s value and your family’s needs? Ensuring your design fits within the context of the neighbourhood while meeting your personal preferences is crucial to long-term satisfaction.

 

5. Where to Build?
Can you find vacant land in a location you see yourself living in for years to come? Or would it be better to buy an existing home in an established neighbourhood with amenities and character? Choosing the right location can be just as important as the design of the home itself.

 

6. Hiring a Design Professional?
Are you open to hiring an architect and investing up to 10%* of the construction cost for a design that’s tailored to your family’s evolving needs? A well-thought-out design can serve you for years, and viewing this expense as part of the overall investment could add immense value to your project.

 

7. Who’s Looking Out for You?
If you rely on a builder or project manager without an architect, are they providing unbiased advice, or just pushing their own design preferences? It’s important to ensure the person guiding your build genuinely understands good design and isn’t just promoting their own offerings. How receptive are they to exploring new ideas that align with your vision?

 

8. Construction Costs?
Cayman construction costs can currently range from US$200 to US$400* per square foot (or higher) for a custom home, depending on finishes and materials. Are you prepared for these costs, or do you have a budget in mind? Mass-produced homes may be more affordable, but they often come with fewer design options and may lack the quality of a custom build.

 

9. Carrying Costs?
If you’re financing your new home, don’t forget that you’ll need construction financing, which means paying both your current mortgage or rent alongside instalments on your construction loan. This financial balancing act can be challenging, so make sure you’re prepared for the added costs.

 

10. Timing and Delays?
Build times in the Cayman Islands typically start at 8 months*, but it’s wise to plan for delays, especially given the challenges of living on an island. How much time do you have to wait, and how much time can you commit to managing the build process? Remember, overseeing a project can be more demanding than expected.

 

11. Have You Done Enough Research?
Thorough research is essential to making informed decisions. This is where we can offer real value. Are you aware of any upcoming changes to the neighborhood you’re considering, such as new roads or developments? The impact of large projects, such as those by Dart, could affect the area. Reach out to us to ensure you have all the information needed before making a decision.

 

*Costs and timelines are subject to change based on current market conditions.

 

Source: Property Cayman