Find the Right Builder
1. Look for a builder with a good reputation. Ask for references from previous customers.
2. Visit their completed and under construction homes.
3. Are a wide variety of options offered?  Are there allowances for things you would like to select, such as flooring, appliances, lighting, cabinets and hardware.  Will the allowances given by the builder actually cover your selections? This is an important aspect in the estimate process.  (There are many builders who will give you a lower estimate on your house by giving very low allowances. The problem with this method is that when you actually select what you want for flooring, appliances etc., is that you will end up $20,000 - $50,000 over budget at the end of your home construction. ) If you are having a custom home built, your allowances should be comparable to the size and style of the home and your particular preferences.
4. Does the builder address your needs and concerns? Look for a builder that is personable and that you feel comfortable with.
Look for a builder that is knowledgeable about the area in which you want to build your home.
Look for a builder who has a plan and a timetable for walk-throughs, selection deadlines for options, etc.  Open communication is a must in this area to address questions and concerns.  Does the builder emphasize these things?  Building a home does not have to be stressful.  It can be enjoyable and exciting if it is well organized.
7. Extra’s – Often during the construction process a customer will change their mind about what they want in the house.  This is known as a change order.  Extra’s are different from allowances in that they were not included in the original contract.  For example, originally you chose vinyl siding for your house, but then before the siding is installed you decide you would rather have cedar siding.  There is a price difference and possibly an additional labor charge for a change like this.  Your builder should give you a change order with the additional costs and a description of the work.  Make sure when you request these changes that you can pay for them.  You would be surprised how fast a few changes can add up.