FAQ's

Home Building/Buying Process FAQ's
Financing FAQ's
Customer Care FAQ's
Choice Studio FAQ's
 

Home Building/Buying Process FAQ’s

How long is the building process for a new HearthStone home?
The typical building process for a new HearthStone home is typically 8-9 months from when your reserve your home site.

Do I have the ability to personalize my home?
One of our three customer promises is More Choice.  Within this customer promise is our commitment to offering you the choice to decide from thousands of selections.  These included and optional choices range from exterior colors to the over 5,000 optional interior choices.

How is HearthStone Homes able to offer more square footage at a lower price then any other builder in Omaha?
HearthStone Homes is able to deliver more home for less money because of a revolutionary new building process that passes savings on to our homebuyers. This process called the HearthStone Homes’ Steady State operations model, allows us to offer predictable work to our vendor partners, as well as minimize wasted materials and labor, which translates into savings for you and a home delivered on time as promised.
    
Can I start building my new HearthStone home if I currently have a home to sell?
HearthStone Homes has several options for you to consider if you have a home to sell and would like to get started building your new home.  Through our lender partner, First Horizon Home Loans, you have the opportunity to qualify for a loan package called One Time Close which allows you to start the process of building your new HearthStone home without the worry of having to sell your current home.  We have also joined with Prudential Ambassador Real Estate to offer a Guaranteed Sales Program.  This program guarantees that your existing home will sell or be bought prior to closing on your new HearthStone home.  

When will I know my exact closing date?
Because of HearthStone Homes’ Steady State Building process we are able to promise you a 3-week window for closing when you complete your contract to purchase your new home.  When your home reaches the drywall process, which is approximately 2 months prior to completion, we will contact you with your exact closing date.  With the peace of mind knowing your exact move in date, you can plan your move with confidence.

Why should I purchase a new HearthStone home over a resale home?
Consider this; older previously lived-in homes come with a history, whether it’s leaky windows, tired plumbing, or worn carpet and not to mention that it can become quite costly to repair and replace these items.  New homes built today at HearthStone offer you the ability to choose from thousands of available options which allow you to move in with everything exactly the way you want it.  With your new home you also have the peace of mind with our 2-year builders warranty along with our 10-year structural warranty.  Every HearthStone home is EnergyStar® qualified which assures you that it is approximately 15% more energy efficient then a home that is built to minimum 2004 IRC code requirements.


Do I need to work with a real estate agent?
You are not required to work with a real estate agent to purchase a Hearthstone home; if you are currently working with a real estate agent we ask that they accompany you on your initial visit.  All Customer Relations Managers at Hearthstone Homes are licensed real estate agents who do not work on a commission basis.  By not working on commission it assures that you get the same friendly service at every location with no pressure.

Financing FAQ’s

Why should I use your preferred lender?
There are many benefits to using our preferred lender such as convenience, exceptional service throughout the process and competitive programs. First Horizon is our lender partner and they are one of the nation’s most respected bank holding companies. First Horizon is conveniently located within our Choice Studio and is electronically connected to our system which provides peace of mind for the buyer through the entire building process.


Loan Programs
What is the difference between a fixed rate and adjustable rate mortgage?
Fixed rate mortgages feature an unchanging interest rate, which is determined when you are approved for a mortgage and remains the same for the term of the loan. With adjustable-rate mortgages (ARMs) the interest rate may vary over the course of the loan. In a rising interest rate environment, the interest rate will normally be lower during the first year and will adjust upward in accordance with the terms of your Promissory Note. Market conditions dictate the amount that the interest rate will change. Prior to the interest rate adjustment, a notice will be sent to you that details the changes to your monthly payment amount.

Why do interest rates fluctuate?
Basically, interest rates are tied to financial instruments/indices that react to various market conditions such as inflation and the global financial market. An increase in inflation can be a contributing cause to a rise in interest rates. Although several other factors can play a role, interest rates will rise as the value of mortgage based securities decline.

What are points?
A point is 1% of the loan amount. For example, for 2 points on a $200,000 house, you will pay 2% of $200,000, or $4,000. The number of points charged for a mortgage depends on the circumstances. Sometimes it is advantageous to pay higher points and get a lower interest rate, as you'll end up paying less over the life of your loan. You will pay for the points at the time of closing and can deduct the point amount as interest on your income tax return. (Consult a tax professional).

What is PMI?
PMI is Private Mortgage Insurance. It is required when a borrower makes less than a 20% down payment on a house. This partially protects the lender from loss if the borrower fails to make the mortgage payments. Depending on your loan program, but generally when you've paid off 20% of your loan, you may ask for the PMI requirement to be removed. This will decrease your total monthly loan payment.  When your LTV (loan-to-value) ratio is 80% or below, you may ask for the PMI requirement to be removed. PMI deletion requirements vary according to loan program and state requirements.


Credit Questions
Can my loan application be approved before I shop for a house?
Yes. After a review of your credit history and the additional information you provide, the lender may be able to provide you with a conditional approval. This is called a pre-qualification. This conditional approval is subject to a satisfactory title review and appraisal of the property that will secure your loan and no substantial changes prior to closing in the information you provide. Generally, this will help you shop for a home in your price range, and proves to sellers you are likely to have the funds necessary to purchase their home.

How will my credit score affect my loan application?
Your credit score plays a significant role when you apply for a loan. People with higher credit scores are eligible for more loan options and better interest rates. If you've had credit difficulties in the past, you may still qualify for some mortgage programs, but these usually cost more, depending on the severity of your credit problems.

How can I improve my credit score?
Your credit score is based on the credit data available to the credit reporting agency on the day the score is requested by a lender. You can develop or improve your credit score by following these tips:

  • Pay your bills consistently and on time.
  • Check your credit report and work to correct any errors.
  • Keep your spending and debt under control.
  • Maintain only a reasonable amount of unused credit.

For example, keep the number of credit cards you use to a minimum. Avoid too many credit inquiries. Contact creditors immediately if you cannot make a payment on time. This may keep them from reporting your delinquency to a credit agency.

Customer Care FAQ’s

How can I obtain needed warranty service?
Your Customer Care Field Manager will provide you with your Customer Service Request forms at the time of your New Home Orientation and will explain how to fill them out.  This convenient form helps you list the items in need of repair.  Use these forms to request any service provided by your warranty.  When completed, at the appropriate time, please mail or fax the form to our Customer Care Department.  If you do not have the “forms” to use, a letter by mail, e-mail or fax will suffice. You can also submit your requests through this website.
 

Please do not delay reporting your concerns because you are unable to locate a form – written communication from you will be accepted in any format.  Please include your address and any updated phone numbers and e-mail addresses when submitting your request for service.
Except in the event of emergencies or priority requests, VERBAL MESSAGES OR TELEPHONE CALLS WILL NOT BE ACCEPTED.  Our Customer Care Department wants to respond to your service requests and therefore must have them in writing to avoid misplaced notes, errors in verbal communications, or delays in messages not reaching the appropriate person to process your requests.

What is the HBW 2-10 structural warranty?
The HBW 2-10 structural warranty is a "Builder's Structural Warranty".  This structural warranty covers the major structural items of your home, such as the footings, foundation walls, structural (load bearing) framed walls, and trusses.   This provides you with continued peace of mind with your home purchase.  This ten-year warranty automatically transfers to your buyer in the event you sell your home.

You can find guidelines for major structural element coverage of your home in your Home Buyers Warranty Booklet.  You will receive this booklet in the mail following your closing date.  If you believe you have a covered Major Structural Claim within the first two years, you need to notify the HearthStone Homes Customer Care Department in writing.  Past the second anniversary of your closing date, you will need to contact Home Buyers Warranty, Customer Service Office, directly.  Their address is 2675 S. Abliene Street, Aurora, Colorado 80014.  The toll free telephone number is (800)488-8844.  Please see your Home Buyers Warranty Booklet for additional information and the Major Structural Claim Form.

Why is condensation showing up on my windows?  
Condensation is an indication that there is too much humidity in the home with relation to the temperature outside.  The colder the temperature outside, the lower the humidity you need your home to be.  If you have installed a power humidifying attachment, make sure to follow cold weather operation of the humidifier.  WARNING:  Too much moisture in your indoor air can lead to condensation damage to your home.  Be sure to keep your humidifier set in relation to the coldest outside air temperature of the day.  If you expect the low temperature to be 20 degrees the humidity level in your home should not exceed 35%.  If you anticipate a low temperature of zero the humidity should not exceed 25%.  If the expected low is -20 degrees the maximum humidity should be 15%.  You should turn your power humidifier off if the low temperature is below -20 degrees.

I am building a fence, how do I find the lot lines?
The proper and legal way to determine your lot lines is to hire a surveyor to stake out your lot lines.  If you have an As Built Survey (if applicable) from your closing, do not use this to determine lot lines for installing fences, sprinkler systems, etc.

Can I use my attic as storage?
No, attic spaces are not designed or intended for storage.  Using attic spaces as storage will reduce the R-value of your attic insulation due to the compacting of the insulation.

If I finished my basement after I closed on my home, is it covered by warranty if it were damaged?
No, your warranty does not cover personal property and items not installed as part of the original construction of your home.

Choice Studio FAQ’s


Choice Studio hours are designed to accommodate your busy lifestyle and provide flexibility when scheduling appointment times.  We are open:
    Monday, Friday, Saturday: 10 am — 6 pm
    Tuesday, Wednesday, Thursday: 12 pm — 9pm
    Sunday: Not Open

What are the advantages of personalizing you home now?
The cost of upgrades may be added on to your home mortgage so it is not necessary to take cash out of pocket.  Your mortgage interest rate is also usually lower than other kinds of financing options such as credit cards.  Your mortgage interest is also usually tax deductible.

Products and workmanship are covered under builder and / or manufacturer warranties.

If you choose to upgrade later, you may potentially pay for the labor twice, and you may also have to pay an additional removal fee.

Provides peach of mind and convenience because selections are already installed and ready for your use.

How much should you expect to spend on your choices?
In most cases, 15-20 percent of the total cost of your home should be set aside for choices.  Homebuyers often underestimate what they can afford.  The important thing is to go for the dream; choices turn out to be only dollars a month in the mortgage payment.

How will my total choice purchases affect my budget?
Most people view choice purchases by how much it will increase their monthly mortgage payment.  Another consideration may be to look at the cost in relation to how long you intend to stay in the home.  This chart will help to evaluate both of these criteria.

 Total Choice Amount
 Affect on Monty Mortgage Payment  Amount you will have paid after 5 years
 $1,000  $6.65
 $399
 $5,000  $33.27  $1,996
$10,000
 $66.53  $3,992
$15,000
 $99.80  $5,988
 $25,000
 $166.23  $9,980
 $30,000  $199.59  $11,975
 $40,000
 $266.12
 $15,967
 *Based on 7% interest and 5 years in the home.  The average homeowner stays in their home 5-7 years.  Amount will vary based on interest rate and loan type.  See our loan consultant for details

What is the HearthStone Homes’ Choice Studio?
It is a 14,000 square foot showroom that offers over 5,000 choices, allowing you countless personalization choices for your home.        
                                                                                                                                  
What choices do I have in my home design?
HearthStone Homes has options from which you can choose. In addition to these options, you can further personalize your home by selecting your finishing selections with our Choice Studio Specialists.

I'm not an interior designer - how can I be sure the home options I select will work well together?
The Choice Studio Specialists at HearthStone Homes’ Choice Studio will provide you with design advice as you like. Because they are familiar with the home plans offered by HearthStone Homes, and of the options available, they can provide you with valuable insight during the selection of your home options.

 

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