The Top 7 mistakes people make when buying a steel building:
1. Buying the wrong type of building for your needs
2. Not figuring your TOTAL cost
3. Trying to buy the cheapest building
4. Buying on the spur of the moment
7. Not knowing the difference between zoning requirements and building requirements
1. Buying the wrong type of building for your needs
This is by far the number one mistake most people make! Before you buy any building, you need to answer some very basic questions about how YOU plan to use YOUR building. Many people forget that the building is there to serve their needs. If you don't define your needs, you don't really know what will work for you.You can avoid most mistakes if you'll just take some time and figure out what you want your building to do for you. (By the way, congratulations on finding my website! There's a bunch of information here that you simply can't get anywhere else. After you finish here, it will be easier for you to figure out what kind of building will be best for you.)
As an example of what I mean by "defining your needs", think back to when you bought your house. Before you ever talked to a realtor, did you have an idea on the style of house you wanted, square footage requirements, bedroom configurations, price range, lot size, neighborhood, and so on? I'll bet you did. Or what about when you bought your computer? Didn't you give some thought to the type, memory requirements, speed, relaibility, etc before you bought? How about your last vechile? A guy buys a truck or sports car based on what he wants that vechile to do, what needs it provides. You need to do give that same thought to your building! You need to consider some basics:
What's this building going to do for me? (Not what it is -- workshop, storage, garage, business, church, hangar, etc -- but what it will do? What in my life will be better if I have this new building?)
What size building do I think I need? (By the way, no matter what size you get, it'll never be big enough!)
What door size will I need for all my stuff? And should it be an overhead type of garage door or a sliding door?
Where should I place those doors ? On the sides or the ends?
How tall do I need the building?
Will I insulate the building?
Will I perhaps ever want to add on to the building? If so, would I likely want to add to the length or to the width? Or maybe both?
Would I want a second floor?
What overall appearance do I like? What color?
What shape: do I want a square building or more rectangular? Curved quonset hut? Straight-wall quonset?
What about roof pitch? Do I want a flat roof or more peaked?
Are you going to use your building for a specific purpose -- airplane hanger, horse arena, church, retail store, etc,? If so, then you'll have even more considerations based on your specific end use.
Will I need a building permit for my building?
Do I plan to erect the building myself?
Do I plan to pour the concrete foundation myself?
Will I need financing?
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2. Not figuring your TOTAL cost
Buying a steel building "kit" and putting it up yourself can save you a ton of money. In fact, I suspect saving money is probably one of the top reasons that people even consider buying a kit building, and probably what drove you to read this material. To save money and time. You still need keep in mind that the actual kit is just one part of your total overall cost. If you see an ad or talk to a salesman about a such-and-such size building for some ridiculously low price, be prepared! You're going to have to spend more than that! You will have additional expenses for:concrete foundation
doors (may or may not be provided by the building company as part of your package)
permits
land (if you don't have it already)
land prep: clearing, grading and getting the land level
delivery of the building (can be expensive: a complete pre-engineered steel building might weigh 10 tons and take up the better part of a flat-bed semi truck!)
erection of the building (however, most people looking into "kits" expect to do it themselves so this may not be an expense issue, just a time issue.)
taxes on the purchase
And, depending on your end use, you may have additional expenses for:
electricity
plumbing
insulation
interior finishing
higher property taxes (maybe)
and lastly, the every present "miscellaneous" stuff.
Since everyone's situation will be different there's no hard and fast rule about these additional expenses that is going to apply to everyone in every case. I'd suggest you analyze your situation and sit down with a pad and paper and list your expected expenses. After you arrive at that figure, add 10% (for the 'miscellaneous" stuff), then ask yourself: Can I live with spending this much? Is it going to be worth it to me? Also, note that most of these expenses will be consistent regardless of the building type.A slab is a slab, a door is a door, etc. You'll spend that money no matter type of building you buy.
Budget will be especially important if you are going to use your building as a part of a business venture. Payback and profits are determined by several things, including overhead expenses. Your building will be part (maybe a big part) of your initial overhead and/or start-up expenses. And unless you're able to pay cash for everything (there's always one guy out of a hundred that doesn't need to borrow money for a building or a house or a new business) you'll need some definite numbers on the finished project to get a loan.
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3. Trying to buy the cheapest building.
The famous economist John Ruskin once said, "Good things are seldom cheap, and cheap things are seldom good. The common law of business balance prevents you from paying a little and getting a lot." In other words, you get what you pay for!If the first question you're asking the salesperson is "how much is it?" you may be guilty of focusing on the price instead of the cost. Depending on how you want to use your building, the cheapest purchase price may not be the cheapest overall cost. (Price and cost are different!)
For example, I've seen many people buy a quonset hut steel building because they're so cheap. But then they have to insulate the thing (which is like trying to insulate the inside of a giant tin can) which drives up the cost considerably. Even after spending the money for insulation, the R value isn't all that great and so they spend much more on wasted energy over the next 5 years than they would have saved in the first place if they would have bought a more initially expensive (but much more appropriate for their use) type of steel building.
Of course, just as you can under-build, you can also over build. If all you want is out-of-the-weather storage for hay or equipment, you can't beat a quonset for price and ease of assembly. Why over-pay? It all comes back to your needs and determining what it is important to you in your building. Grain storage? You won't put grain in a church building any more that you'd put a church in a grain storage building!
And why do prices vary so much? If you're looking for a 40 x 60 building, you're gonna' get quotes from $6,000 to maybe as high as $60,000. That's a huge spread! That amount of variance is only there because you're not comparing apples-to-apples. It's kinda like saying, "How much is a truck?" Well, what kind of truck? New or used? Big or small? Loaded or striped down? Or it's like looking at a picture in a computer catalog and asking, "how much is that one?" You need to know the chip speed, RAM and ROM memory and a whole bunch of other stuff to make sure you're your getting a fair price. I'm sure you get my point: you need to get a valid comparison. After you've done your comparisons, you'll find that in most cases the prices will actually be very close. A pound of steel is a pound of steel. Competition, in steel buildings as in most everything else, drives the quality UP and the prices DOWN. The key is to get a level playing field to insure you're making a true comparison. If a company has been in business a good long while they must be providing some sort of value at a fair market price or they'd be long gone.
Frankly, the two easiest things to compare are price and size. They're just numbers, and you can get those numbers in 10 seconds looking at an ad or talking to a sales rep, 'cause every building has a size and every building has a price! And you know what? Most people quit right there! Price & size -- that's the extent of their research. And that's why so many people make most of these "7 Common Mistakes"! You need to take some time and compare the buildings, determine what is important to you in the building, and THEN go forward and compare the prices ALONG with everything else about the building. In many cases, the steel building may be the single most expensive thing you'll buy except for your home. Buy the right one, not the cheapest one.
While on the subject of buying the cheapest building, here's a good tip. Ask yourself, "If the price of each building that I'm looking at where exactly the same price, which one would I buy?" And why? When you answer that, you'll know exactly what you really like.
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4. Buying on the spur of the moment.
Buying a building from the first salesman you talk to is like marrying the first girl you meet! For heavens sake, you are going to spend a lot of your money, so take your time and make sure you make the right decision!Buying on the spur of the moment is usually only a problem if you're dealing with a "pushy" type of salesperson. I don't have a problem with salespeople; in fact, I have a great deal of respect for 'em if they are the right kind of salesperson. Times have changed. There a lot more options out there. There's more competition. You need to find an "enlightened salesperson", one that understands that times have indeed changed. The best salesperson will work with to help you decide what's best for you. The worst salesperson will simply work on you to get you to buy his product.
So remember, you're buying a building; not a bunch of sales hype and pressure! You're going to hear all kinds of stories designed to pressure you to making a decision RIGHT NOW. This is true if you are going to be dealing with a building company that sells in your home or by telephone, and especially true if you are considering a quonset hut. You'll hear about "there's one on the loading dock now" and "someone canceled their order and you can have it at such-and-such a price if you buy it right now" and "there's one left over from the state fair promotion" and "buy today and you'll get a free door or free shipping or free skylights". It's all "buy today, buy now, last chance, don't wait, hurry up.. bla...bla...bla." These tactics are designed to pressure you into making a decision immediately. Separate the information you need on the building from the hype about being pressured to buy the building.
Most potential customers are very in-tune to such tactics, and they don't really work anyway. But it's still nice to know what's going on so you can be prepared.
On the other hand, remember that ALL companies do occasionally offer legitimate promotions and sales that might, in fact, save you some of your hard earned cash. Have you ever bought anything on sale? If so, then you know what I mean. For me -- since I'm so cheap -- I usually don't buy UNLESS it's on sale! For example, I bought my new lawn mower on sale at Sears, my wife buys our kids clothes in the off-season clearance sales, and the last car I bought was discounted since I bought last years model. So I'm always looking for a sale and a way to save money...are you the same way?
Is the salesman offering you a "deal"? If so, then use your common sense. First, and most importantly, ask yourself, do you like the building? (Never buy a building that you don't like just because it is cheaper than the one you do like.) Is the price legitimate? Is it a comparable price to others? What do I get for what I'm spending? (You really do get what you pay for!)
When you get down to it, after you've done your research it's going to boil down to a matter of trust: you gotta' trust the company and it's salesperson. And you gotta' like the building at the price it's being offered. If you can answer "yes" to those questions, then it's just a matter of details: making payment and arranging delivery and puttin' her up.
As a contractor with years of experience, I can tell you that most people do procrastinate. It's human nature. People are loath make a decision, even a good one! I've been in homes offering needed roof repairs, with roofs that have been literally leaking like a sieve, with buckets all around to catch the rain. And still I'd hear "I want to think about it." I've been involved in volatile red hot west-coast real estate markets that have seen the prices of homes go up $5,000 a week. I've experienced lightening-fast sales of building lots in two hundred unit developments that sell out in two days. And people still are so hesitant to make any decision. I've seen rocks with more common sense than some people when it comes to making a decision. They don't want to make a mistake, and making a decision involves the potential to make a mistake. Another side secret: understand that no decision is still a decision.
So never rush, but when the time is right, then buy it. When you like it, when you can afford it, when you trust the company and the product, don't procrastinate. Buy it.
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5. Not checking references.
Unless you are contacting a local dealer who will come out and try sell you a building in person, when you first talk to a building company it's just a voice on the other end of the phone from miles away, maybe even overseas. How do you know that you are getting 1) a good building, and 2) a good price? And even if you get both of those, how do you know if you'll get any service after the sale if you need it? One of the best ways is to ask a lot of questions up front and check the references of the building company.How long have they been in business?
Is making buildings their only business?
How does their literature look? Lots of photographs of various buildings? Do they have a video tape or CD?
Does their literature do a good job of explaining how the building assembles?
Are they members of their local Better Business Bureau? If so, how long have they been members? Do they have any un-resolved complaints against them?
Do they have actions or judgments against them by the attorney general of their state?
Do they have any industry affiliations or references?
Are they members of any steel building industry organizations?
Do they have any type of independent certification?
What is their guarantee?
Do they work directly for the manufacturer, or are they a dealer, distributor or broker?
Do they have any buildings in your area?
I realize that's a pretty long list. So, when checking references, what's one of the most important questions to ask? Actually, it's the last one: do they have any buildings in your area. You'll learn more in 5 minutes looking at the product than you will in an hour talking with some sales guy.
It also can be a big tip-off if they DON'T have anything in your area. Frankly, most people buying a building don't want to be pioneers -- especially a building kit that they likely will be erecting themselves. They want to know that other people in their area have bought buildings from the same company. They want to know that they are built to withstand the local conditions. They want a building that looks nice and will last. They want a company with a quality product, fairly priced, backed with reasonable customer service. However, they don't want to be first...nobody wants to be first guy in the swimming pool....someone else better check the water.
It's OK to ask the company directly, "Can I look at one of your finished buildings?" (Not a model! Those are always perfect and staffed by expert salespeople...never bring your wallet to a model building!) Of course, don't expect every neighbor down the street to have one, but the company should be able to provide a reference or two. If you live out in the boonies somewhere you might have to expect to take a drive, but it will be worth it.
This can be an important step, and you shouldn't do things backwards. Since it is your time you are investing in your research, get all your basic questions answered first: then go look at a building if you feel the need. Get the size, height and door configuration figured out, make sure the building is within your budget, and make sure you like the company and the building style BEFORE you go look. You want to be fair to yourself (and the company) and be serious about making your purchasing decision. Looking at the building should the last thing you do, not the first. So get all your groundwork (no pun intended!) done first.
And then go look! Ask questions, take notes, find out what they liked (and didn't like) about the building. Find out how the company treated them, did they have any problems, if so, were they resolved quickly and fairly. Check on how the delivery went, how the erection and assembly of the building went, etc. Another huge advantage of looking at a building is the fact that you'll be talking to an actual building owner, not some commissioned salesperson that just wants your money. You'll gain incredible insight by looking at a building instead of a brochure.
In fact, you may not even have to look at his building: sometimes just talking on the phone can be a huge benefit. So if the company doesn't have any buildings in your area, or if you don't want to spend a whole lot of time driving and looking, maybe a phone call and a few minutes on the phone would be the next best thing.
One last comment about looking at buildings: for some people this step isn't at all necessary. It can be overkill...and it may even be a big waste of your time. If you're comfortable with the aspects of the building, the company and the rep, you don't need to look at a finished building. And that's O.K. Not everyone needs to go look. Frankly, most people don't need to look! (I had a friend recently buy a brand new pickup truck ...and he never even took it for a test drive! In fact, he never actually spoke with anyone or even sat in the driver's seat until after he bought it and they handed him his new keys. He completed the entire transaction online over the web. They even delivered his truck to his office so he never even had to step foot in the showroom.)
And, of course, recognize this secret that is often missed by common sense: the company would NEVER provide a reference that would say bad things about it's own product. So you may not have to go look, since you know everything will be fine or the company never would have provided the reference in the first place! That's why some of the other reference points are easier and more objective.
While on the subject of references, here's a neat tip that I learned recently from another contractor friend. Years ago, when he first got started as a contractor, he was in the process of buying some expensive used equipment from an out-of-state company. He needed the equipment and it seemed OK and the price fair but he still wasn't convinced. So he checked directory assistance to see if the salesman (not the company) was listed in the phone book! He figured that if the salesman had an unpublished number, he's got something to hide. In this case of my contractor friend, the salesman did have a listed phone number and everything worked out fine. On other occasions in other dealings with other companies, he's also directly asked for the salesman's home phone number. And do you know what? Lots of salesman won't even give out their home number when asked! (Which isn't hardly fair, since they call YOU at home, why can't you call THEM at home?)
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6. No building experience.
Most -- but certainly not all -- steel building kit packages are designed for the "do-it-yourself" market, so you shouldn't have too much difficultly even if you are a complete novice. However, if you are planning on a building that is very wide, say over 80 feet (25 meters) or very tall, say over 18 foot (6 meters) or if you have an unusual configuration, you may have some challenges in erecting the building yourself.In any case, you should ask the company rep very detailed questions on how their particular building goes up to check if any procedures are going to be a problem for you. Ask the rep to carefully explain each of the steps necessary for the complete erection of the building. Is everything included? Are steel end walls and columns included? Doors? If so, is all the hardware for the doors included? Are all the fasteners provided? If so, what type of fastener is it? Is all the trim included? Is the exterior sheeting pre-cut to the exact length? Are holes pre-drilled? Do you have to weld anything? Drill anything? Cut anything? What type of foundation do you need? Do you need a crane or any heavy equipment to unload or erect the building? What else do I have to buy locally? (There's always something!)
Frankly, lack of construction experience doesn't usually come up very often as one of the "Top 7 Mistakes", since most people that are considering a steel building kit are doing so because they are specifically seeking out a building they can erect themselves. It's using your own "sweat equity", since you can do all (or most) of the work yourself and save a ton of money. Steel building kit buyers generally expect to erect their building themselves.
If you are a novice, you'll want to pay close attention to service AFTER the sale. What are the hours of the company? When you call, do you get a "real person" or voice mail? Can someone answer your questions right away, or do they have to call you back? If so, are your calls returned promptly? Is the organization oriented just to sales? (Some brokers may not be as interested in your after-the-sale problems as a factory rep or distributor, for example.And worse are the "parts houses" where they get the truss legs from one company and purlins from another company and the sheeing from yet another source.) Do they have on-staff customer service people? How about on-staff engineers? What kind of "feel" do you get when talking with the company? Are you "just another guy to sell a building to", or do you really feel the company and/or it's salesperson is really looking out for your best interests? Do they have a local office? Do they have a video tape of CD to help explain the erection process? How does their website look? Do they have any erected buildings in your area? Do they have any customers that you can talk to?
Here's another tip: How you've been treated BEFORE the sale can be a great indicator of how you'll be treated AFTER the sale. How fast did the brochure arrive? Or, if it's a local company, how long before the rep stopped out to see you? If you call the company, how long before your calls are returned? Did the salesman take a little time to talk with you about how you wanted to use your building and what was important to you -- or was it a rush "got one left gotta buy it now" kinda' presentation? Was he concerned about your door height, square footage requirements, door configuration, (and your budget)? Did he offer to explain things, or did he just wait for your questions? Where all your questions answered to your satisfaction? Were the answers direct and specific? Did he help you buy your building (best), or did he sell you the building (worst)?
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7. Not knowing the difference between zoning requirements and building requirements
Getting permission to build is usually a two-step process: the first step is zoning and the second step is structural. Zoning is usually a size and appearance issue. Your local zoning officials may limit the size of your building (square footage as a percentage of the main dwelling or as a percentage of the lot size) the height (blocking views), outside appearance (color, shape, finishing materials) or door configuration (making sure you have multiple egress doors in case of fire) or setbacks (making sure your building is set back a certain distance from your property line) or wetlands issues (you can't build on or close to a watershed) or any one of a number of other issues specific to your particular area. Zoning isses are NOT structural issues, usually you'll only need a plot plan of your property and the size you want to build and where she'll go on your property. It won't (or shouldn't) cost you a dime to check into it since you don't need structural plans yet.
Zoning issues are often consistent in a given area. One of the easiest ways to check if it'll be OK for you to put up your building is to just look around and see if other similar buildings (similar in exterior appearance and rough size only, since at this point that's the best way to compare) are already up and in use in your neighborhood. If so, you shouldn't have any problems clearing zoning for your building. Others have gone on before you, and if someone else has already received permission to build, they certainly can't deny you. That's discrimination; and the mere mention of that word to a permitting guy is enough to strike terror in his heart. He'll welcome you to build!
In many situations, you may not even need to worry about zoning or permits if your building is for agricultural or storage or workshop use or if you live out in the sticks where building permits aren't even necessary. Or, in these areas, if there is a building permit required you might just have to fill in a form and shell out ten or twenty bucks for a permit to help fill the local coffers. That's it. Ready to roll; skip the zonng stuff and the structural stuff and go ahead and build right away.
After you clear zoning (if you need to), you'll need to clear the second step: proving to the building inspectors and permitting officials that the building you want to put up is structurally sound for your state and local conditions. Depending on where you live, this might be a VERY critical part that may determine what type of building you'll buy. Some areas of the country (for example, southern Florida or metropolitan southern California) have VERY strict guidelines covering the wind load and seismic ratings of buildings. This is especially true for buildings that are designated as high-occupancy buildings, likes churches and retail stores. Do you live in an area that gets a lot of snow? Then you'll have to make sure the building will comply with the snow load ratings for your city and county. Are you right on the sea coast? Then you'll have high-wind requirements your building must comply with. In "tornado alley"? Then you gotta' comply and make sure you building meets the requirements.
How to check? Ask the company if they provide certified, stamped engineered blueprints, plans and calculations for the building. These blueprints (which usually are independent and separate from the general assembly blueprints and bolt pattern plans) are "wet-stamped" and signed by a licensed engineer. (Important: they must licensed in the state in which the building will be erected, and be stamped with that state's particular stamp). And you'll probably need at least three originals -- photocopies generally are not accepted. These plans prove the building will meet the local loading and structural conditions. If the company can NOT provide these stamped blueprints, you should wonder why. Be careful. (Speaking personally, if they can't provide solid, independent proof on the quality and structural integrity of the building, I'd immediately hang up the phone, walk away or give the guy the boot out the door! Why in the world would you buy a building if it can't be proven and guaranteed to meet your local conditions?) Even if you live in area that doesn't need structural plans and/or a permit, I'd still insist that the supplying company provide the certified blueprints. Without those you have absolutely no proof of what's going to be delivered. No layman (or even an expert!) can look at a pile of delivered building materials or even an erected building and say with certainity that, yes, it meets a 40 lb/sq feet roof load and a 100 mph wind load. They need to see the structural plans.
Here's another tip: in addition to stamped, certified blueprints for the building, you may need stamped, certified blueprints for the foundation. By definition, a pre-engineered building already has been designed, tested and is ready-to-go. Building companies design and build the structure, but that 30x40 steel building structure may be shipped and then erected next to a swamp in Louisiana, a dry lake bed in Nevada or the tundra in Alaska. Obviously, the soil conditions will vary with each location, even though it's the same 30x40 building, and thus, the foundation requirments will be different based on those local soil and frost conditions. If you need certified foundation drawings, you'll want to make sure the building company can help you or that you have someone locally that can take the building criteria and then design the foundation based on that critieria, the soil and frost criteria and your slab requirments based on your building's use.
Most other types of permits are usually independent of any specific building. For example, plumbing and electrical permits. If you'll need permits for these, the actual type of building is not usually an issue. A bathroom is a bathroom whether it is in a quonset hut or a pole barn or a steel building or a house.
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