Aesthetic Benefits | Home Plans and Design

Homogeneous Home Plans – Are They Good For the Neighborhood?

There has been much debate recently regarding the affects of the standardization of home plans in new developments. Developers work with architects to design a home plan that is both cost effective and aesthetically pleasing. They then build entire neighborhoods or developments using this home plan. These actions result in pleasant but homogenous neighborhoods. There are many advantages and disadvantages to using the same home plan for all parties involved including the developer, investor, and the homeowner.

The Developer: Building an entire neighborhood is an extremely expensive endeavor. To minimize the cost of creating the home plans for the development as well as the cost of the material and labor, developers will often create one prototype of a home plan and use it over and over. This way they are able to purchase materials on an economy of scale by buying in bulk. The labor is also more efficient since the contractors are building the same home plan each time. There area few issues for developers when building neighborhoods with these standard plans. If they overbuild and they encounter a recession in the housing market, they often end up with a glut of vacant housing. These units often sit there for months unoccupied and are hard to sell.

The Buyer: There are both economic and aesthetic benefits to living in communities with these standardized home plans. The first benefit is that you can purchase a cheaper home since the developer is building at a lower cost. Although the properties all have the same plans, they are new buildings and are generally decent looking.

The Investors: usually gravitate towards these types of properties as they are cheap investments and are generally cash flow positive. They are not as concerned with the aesthetics and design of the home because they don’t actually live in the neighborhood.

However, investors face the same disadvantages as the developers. If he over builds and the market collapses, they will have to sell cheaply because of the glut in the market of properties with the exact same home plans.

Homogeneous Home Plans – Are They Good For the Neighborhood ?

The Developer: Building an entire neighborhood is an extremely expensive endeavor. To minimize the cost of creating the home plans for the development as well as the cost of the material and labor, developers will often create one prototype of a home plan and use it over and over. This way they are able to purchase materials on an economy of scale by buying in bulk. The labor is also more efficient since the contractors are building the same home plan each time. There area few issues for developers when building neighborhoods with these standard plans. If they overbuild and they encounter a recession in the housing market, they often end up with a glut of vacant housing. These units often sit there for months unoccupied and are hard to sell.

The Buyer: There are both economic and aesthetic benefits to living in communities with these standardized home plans. The first benefit is that you can purchase a cheaper home since the developer is building at a lower cost. Although the properties all have the same plans, they are new buildings and are generally decent looking.

The Investors: usually gravitate towards these types of properties as they are cheap investments and are generally cash flow positive. They are not as concerned with the aesthetics and design of the home because they don’t actually live in the neighborhood.