Turnkey build: What Is the Difference Between Turnkey and Design-Build Construction?

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What Is the Difference Between Turnkey and Design-Build Construction?

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October 15, 2019

Building projects have different starting points. You might hire out for a set of plans for a structure and contract a company to build it—that’s the traditional approach. But today, in the modern age of customization, many project owners want more control. It’s led to a rise in both design-build and turnkey construction.

But what’s the difference between the two? Does it matter? If you’re getting ready to build in Indiana and are trying to figure out the right starting point, it’s best to know the difference between the two concepts. Both give you control over the structure you want to build, but they offer that control in different capacities.

Design-build

Design-build construction is aptly named because the same firm does both the designing and the building for your project. Project owners dictate the process, telling the firm exactly what they want, when they want it and how they want it done. If you’re looking for complete control over your building project, it’s often best to work with a design-build firm.

Of course, there’s a dark side to all this control. Design-build projects often take longer and can run over budget if you’re not careful. The ability to make changes and set deadlines often leads owners to overshoot their own expectations. It’s a lot to handle—especially if you’re unfamiliar with construction.

Turnkey

Turnkey projects also give owners the control to say what they want and how they want it done. The difference? The construction company provides the project management services, dictating things like schedule and budget allocation. Working with a turnkey company can protect you in case your project hits setbacks—the firm often covers overages, since they fall under project management responsibilities.

Handing off the project management aspect of your job may seem like giving up control, but it’s often well worth it. Not having to worry about overseeing a massive building project is worth the cost alone! Your structure is likely to get built on time, under budget, with an end result that looks exactly like you want it to.

Which is better?

So, now that you better understand some key design-build and turnkey construction facts, which one is better? Well, it all depends on how much control you think you need or want to have. Are you a Type A person who needs to be in control of everything, including schedules, contractors and budget? Design-build might be for you. Are you fine making high-level decisions and leaving the day-to-day details to someone else? Turnkey construction is probably smarter.

There’s no right answer to this question—only preference. It’s best to look at how involved you want to be and what responsibilities you want to have before making the decision. Just remember, either way you’re going to get the results you want!

The difference between design-build and turnkey construction comes down to how intimately involved in the building process you want to be. Either way, it’s best to consult at length with a reputable contractor in Indiana before you break ground.

Everything You Need to Know about Turnkey Construction — Custom Home Construction

Building a new home can be financially complicated. Obtaining both a construction loan as well as a mortgage is frustrating, to say the least. But construction loans aren’t the only way to fund new home construction. The turnkey construction process provides a way to cut through that red tape and simplify the financial aspect of home building. Here’s what you need to know about turnkey construction.

When a builder agrees to a turnkey construction process, they’re the ones held financially and legally responsible for the design and construction work.

“Turnkey” refers to a product that is sold as completed. So the buyer is not legally or financially obligated to assume responsibility of the work in process; they only buy the finished product and can “turn the key” to their new home. 

The turnkey process is similar to the standard construction process. You’ll still meet with your builder to agree on specifications for your new home. Then the builder is in charge of the building’s project management, including overseeing budget allocation and schedule. Everything is completed — including the construction and the finishes — before the builder turns it over to you. 

Note that with Fortin Construction, you have full design input at the beginning, but that isn’t always the case with every builder. Some may allow buyers to have input in only certain aspects of the home, like choosing paint colors or tile types, for example. Make sure you are clear at the beginning what input you’ll be allowed during the turnkey process.

The biggest obstacle that turnkey construction clears is the need for you to obtain a construction loan. Construction loans can be difficult to obtain and often have higher rates than typical loans or mortgages. Not only does turnkey construction save you the hassle of getting a construction loan, but it also saves you money in the process for the extra interest you might be paying. 

The extra time you’ve saved can allow you more time and financial bandwidth to negotiate with lenders for the best mortgage rate as well.  

It also makes sense logically that builders will be more motivated to stick to deadlines and budgets when they are the ones responsible for those. Although we have a reputation of meeting deadlines at Fortin, many other builders have the opposite notoriety. Turnkey construction can provide a much-needed motivation for builders to stay on track.

Does this sound almost too good to be true? Understand that the turnkey construction process benefits builders as well. Builders and contractors who use a turnkey process can build homes more quickly and efficiently because they aren’t tied up waiting for potential buyers to be approved for multiple loans. Because building loans can be difficult to obtain, it also provides more potential buyers for custom-built homes. 

Additionally, the turnkey process tends to make customers happier and more satisfied at the end of the building process. Happy customers refer their builders to friends and family. Happy customers bring in more business.  

At Fortin, we attempt to simplify the home building process as much as possible for our customers. Turnkey construction is just one more offering to keep our homeowners happy and in the home of their dreams. 

Have more questions about how the Fortin building process works? You can find answers to many of your questions at our FAQ page. If it’s not there, feel free to contact us directly. We’d love to hear from you.

Turnkey construction of houses and cottages in Samara: projects and prices

Our advantages

The Osobnyak company is engaged in the construction of private houses in Samara and offers a rational approach to the choice of materials and technologies. The whole complex of works is carried out by our specialists. This allows you to effectively manage each stage and organize technical supervision.

We actively use modern technologies of stone housing construction so that our customers invest in good quality and comfort.

Country monolithic houses, cottages made of aerated concrete, expanded clay concrete, brick, KERAKAM ceramic blocks are designed for year-round use and serve for decades. Facades are immediately ready for finishing, which reduces the time of project implementation. Warm walls help save on heating costs in winter and keep you cool in summer.

Lack of advance payment for construction work

After approval of the project of the house, estimates and conclusion of the contract, the first stage of work begins – this is the construction of the foundation.

Before starting work, you pay only the cost of materials, and not in full (50%)

After that, we carry out the work, build the foundation. And you pay the rest of the payment for the material and the payment for our work when you see the finished foundation on your site.

The next stage is the construction of ceilings, partitions and load-bearing walls. Everything is exactly the same. You are paid 50% for the material.

Full stage payment occurs only when everything is built and you see the result

For the purchase of materials, you will receive all receipts from the stores, plus a photo report on the progress of work from our foreman. And, of course, you can come to the site at any time and check the progress of the work yourself.

Call us at +7 (846) 277-04-09, we will answer your questions and calculate the estimate for the work

We specialize in turnkey construction – we design, build, finish inside and outside, connect communications. Competent calculations, careful preparation of documentation and attention to the wishes of the client are responsible for reliability, functionality and convenience.

  • We do the project for free. We create a concept, select options for the facade and layout, taking into account the requirements and taste preferences.
  • We provide flexible terms. We develop individual projects, offer standard options and make adjustments to them.
  • We help to choose wall and finishing materials. We openly talk about the features and benefits of each technology.

The Osobnyak company designs and builds small dachas, classic cottages and mansions with an area of ​​more than 500 m 2 in any architectural style from modern to classic. The cost of building a house depends on the complexity of design solutions and equipment.

Project selection

Project selection

Construction stages

1

Material selection

2

Estimate preparation (free of charge)

3

Development of a house project (free of charge)

4

Drawing up an accurate estimate (free of charge)

5

Signing of the contract

6

Construction works

7

Installation of utilities

8

Finishing the house and facade

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We have been building country houses for more than 10 years, we work without intermediaries and 100% prepayment. Cooperation with reliable suppliers guarantees the use of materials that have been repeatedly tested in practice. Uninterrupted technological processes and responsibility exclude violation of obligations – the objects are handed over just in time.

The Osobnyak company relieves its customers of any risks. We take care of the budget – we accurately calculate the volumes and cost of materials in order to stay within the agreed estimate. Independent solution of all related issues – from engineering and geological surveys to connection to engineering networks reduces costs. The guarantee for the work performed confirms that we are confident in the quality of houses, compliance with building codes and standards.

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Turnkey construction of cottages, houses, dachas and baths at an affordable price in Tolyatti, Samara, Syzran and the region.

Projects of houses from a construction company.

Turnkey construction of houses, cottages and baths in Tolyatti, Samara, Samara region.

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