What is a Model Home vs. a Spec Home?

While semi-custom home builders focus on building new homes for customers from the ground up, they may also offer a selection of pre-built homes for sale.

These pre-built properties tend to fall into one of two categories: Model homes and spec homes.

While these property types serve some similar functions, they are built for two different purposes. This difference in purpose affects their design and the special features potential buyers may see in them. In this blog, we’ll break down the distinctions between these two property types and discuss the process of their construction, exhibition, and sale.

What is a Spec Home?

The term “spec” is short for speculation or speculative. It refers to a house that is built without a confirmed buyer in mind, under the speculation that it will sell easily thanks to its desirable characteristics and popular layout.

For example, in a Country Joe Homes new development community, there are typically a few spec homes available for purchase at any given time. These homes usually follow the most popular floor plans in a builder’s catalog, featuring few (if any) special upgrades to ensure the greatest flexibility and widest appeal.

The Design of Spec Homes

Spec homes usually follow the most popular floor plans in a builder’s catalog, featuring fewer (if any) highly specific, custom upgrades to ensure the greatest flexibility and widest appeal.

Who Are Spec Homes Built For?

A spec home is the perfect option for buyers looking to move in quickly without wanting to wait the several months it takes to build a custom or semi-custom home from scratch.

Pros and Cons of Spec Homes

Pros:

• Move-in ready: Built without waiting for a lengthy design and construction cycle.
• Wide appeal: The neutral, practical layouts appeal to a very broad range of buyers.
• Efficiency: Because builders use highly requested floor plans, construction is streamlined.  

Cons:

• Limited customization: Because the home is already built (or in late stages of construction), buyers have little or no input on finishes or structural choices.

What is a Model Home?

Like a spec home, a model home is also built without a confirmed buyer in mind initially. However, unlike a spec home, it is designed and built to show off all the bells and whistles a builder can offer.

The Design of Model Homes

It literally ‘models’ a builder’s full capabilities and demonstrates the most exciting, high-end upgrades to potential buyers. Builders use model homes as a live portfolio to showcase their craftsmanship, high-end finishes, and complex building capabilities.

The Best Time to Tour Model Homes

Many builders, including Country Joe Homes, aim to introduce a new model home for each Parade of Homes season. This ensures buyers who use this event to shop for their dream home get the most up-to-date impression of what a builder has to offer, though you can typically tour model homes throughout the year depending on your location and season.

Pros and Cons of Models Homes

Pros

• Top-tier craftsmanship and upgrades: They feature the highest quality building materials, luxury appliances, and trending interior design layouts.
• Inspiration: They serve as a great live portfolio to inspire prospective buyers.  

Cons:

• Not always immediately for sale: Builders often retain model homes as a sales tool or showpiece during active selling seasons (like the Parade of Homes) before they are ready to part with them.
• Premium price point: Due to the premium upgrades and luxurious additions, they may come at a higher investment than a standard spec home.

Can You Buy Spec and Model Homes?

The ultimate goal for all spec and model homes is to sell them to a home buyer. For model homes in particular, a buyer is often found during the Parade of Homes itself. However, at Country Joe Homes, typically all spec and model properties are available for purchase at any point during their construction. In the case of a model home, this means an interested buyer can sign a purchase agreement even before a Parade season has begun, and close on that home shortly after the season is finished.

Once a model home is sold, the builder will usually work to get a new one built ASAP, so that buyers interested in a given community always have a showcase property to tour. However, if a model home is not currently available, a spec home can typically be toured as a stand-in. This is because a quality home builder will construct their spec homes with the exact same commitment to craftsmanship and quality as model homes; just with a simpler overall design.

Spec Home vs. Model Home vs. Custom Home

To give buyers a complete view of the market, it helps to understand how both of these options compare to a fully custom home:

• Spec Home: Quick move-in, highly functional, cost-effective, but with limited design control.
• Model Home: Loaded with premium upgrades and luxurious details, acts as a builder showcase.
• Custom Home: Built from the ground up on your lot (or a purchased lot). It offers total control over every layout and finish, but requires a longer financial and time commitment.

To learn more about the various types of new home builders, check out our article comparing custom, semi-custom and production home builders. You can also read more about the semi-custom home building process here.

Tour Country Joe Model and Spec Homes Today

At Country Joe Homes, our neighborhoods are growing every day. That means brand new, beautiful spec and model homes are constantly being added to our list of available properties. If you’re interested in seeing for yourself what our 100% local, award-winning team of expert home builders can do for you and your family, reach out to our team today.