Debt-Free Home Building

Enlarge Image Image Gallery Lynn Underwood has reason to smile. He and his family built their home, paycheck-by-paycheck, without incurring debt. He drew the floor plan while watching the Super Bowl. Many people would trade some paint and landscaping for the security of not owing on a mortgage.

Picture this: You, sipping lemonade, relaxing in the living room of the home you built yourself. It's taken the better part of three years, but you own the house free and clear. No mortgage company has their hands on your home.

Sound impossible? Are you convinced you haven't got the talent to build your own home? I'm here to remove those misconceptions. You can achieve your dream of home ownership by building it yourself. I did. Hundreds of other people I know have done the same thing. They directed their ambition and took charge of their lives and destiny.

Consider this: A residential mortgage will amount to as much as three times the purchase price of a house over the life of the payment schedule. A $100,000 house would cost more than $314,000 at 10 percent interest amortized over 30 years. The monthly mortgage payment can amount to as much as half your regular income. What would you do with an extra $873 every month? Another important reason for building your own home is the family. Building your family home will bring a family closer together in ways you wouldn't dream possible. The greatest reward is each family member recognizes their contribution made a difference, providing self-esteem that will last a lifetime.

I can practically hear your reaction now: I can't possibly build a home. I know some carpentry, but I know nothing about electrical or plumbing or roofing. To these concerns, I would say: Reach inside yourself for the strength that will sustain the pursuit of your objective and go for it. My family and I did, and here's how:

In 1992 I unexpectedly lost my job and nearly lost my home to a mortgage company. My wife, Cyndi, and I agreed we never wanted even to approach that fate again. We resolved to build a home, paycheck by paycheck, without a mortgage. If we could live on the property, we could spend the equivalent of a mortgage payment on building materials each month. We explained the decision to our two children and sought their commitment, as well. At the time our son, Darius, was 10, and our daughter, Cassandra, was only 7. I remember her big, round eyes looking up, asking if she would have her own bedroom.

The whole family began the project with enthusiasm. My wife knew construction was in my soul, and even though she felt overwhelmed by the project, she expressed excitement and optimism. This early commitment was essential to the success of the project. My son always echoed our motivation when, for instance, we'd pass up first-run movies or dinner in a nice restaurant. "We need to save money for building materials; let's wait till we're finished building," he'd say. Big words and big concepts for a preteen, and his focus on our goal kept us inspired.