More Cost Savings, Better Design: A Plan Refresh Case Study

We’ve all seen them, home plans that are perennial bestsellers even though they’re a little long in the tooth. A plan that is so dated you consider killing it every year, but it just keeps selling, so why mess with a good thing?

We get it. There’s just something about these plans that homebuyers love. Their magical mix of features and layout attracts them over and over again, but just because the plan keeps selling doesn’t mean you shouldn’t refresh it. A plan update can turn a popular plan into a new bestseller, save you costs, and potentially command a higher price. And in a tough market where pricing is tight and buyers are picky, gaining a competitive advantage is critical. Refreshing house plan designs is almost an imperative.

Let’s take a behind-the-scenes look at a plan refresh, including detailed changes and measurable results.

Table of Contents

• Project Overview
• The “Before”
  • The Good DNA
  • The Bad DNA
• The “After”
  • Simplified the Construction and Reduced Costs by $5-$7/SF
  • Modernized the Program
• The Result
• Start Your House Plan Refresh

Project Overview

Here’s a refresh of a 50’ wide, single-family detached plan for a Fortune 500 national homebuilder. The project’s objective was to improve and modernize the plan for sale in a new community. Its scope included updates to the layout and program, construction improvements, value engineering, and freshening up the elevations—all while keeping the DNA (the magic) that had made the plan so popular with previous buyers. The builder also wanted to lower direct costs to really knock this plan out of the park. Could it be done? Read on to see!

The “Before”

PLAN SPECS: 3,000 SF, 2 stories, 4 beds, 2 ½ baths, main-floor primary bedroom suite, and 3-car tandem garage

The Good DNA

The plan already had a lot going for it, with good flow and a balance of private and shared spaces (it’s a popular plan for many reasons, after all). Its strongest features include:

• Double-height foyer and great room add volume and natural light
• Large covered front porch creates a welcoming sense of arrival
• Main-floor primary suite is a popular feature
• Shared bath between secondary bedrooms with split vanities is a must

The Bad DNA

Addressing the home’s outdated features, inefficient use of space, and construction complexity will create a contemporary home that meets current buyer needs. Here are the plan’s opportunity areas:

• Plan is expensive to build, from the complicated foundation, framing and trusses, to the rounded stairs and railings
• Its dated layout includes a formal dining room and study that can be put to better use
• The primary bathroom layout was dated, including the walk-in closet that was too small for the suite
• The second-floor layout is inefficient and poorly laid out. For example:
  • The fourth bedroom has awkward access to the shared bathroom
  • The optional third bathroom includes a bonus room that came with a $50k price tag, which tanked sales
  • Wasted space at the top of the stairs isn’t large enough to be useful
  • The shared bathroom is dated and poorly laid out
  • No secondary living space or loft, which is a helpful differentiator in homes of this size
• The fireplace blocked views out of the rear of the house
• A second mechanical unit was located in the attic
• Elevation styles were outdated and needed to reflect current style preferences

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Plan Updates:

1. Upgraded the primary bath with a freestanding tub, glass-enclosed shower, and split vanities.
2. Moving the everyday entry and laundry to a different location made room for a 70% larger walk-in closet for the primary suite.

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The “After”

UPDATED PLAN SPECS: 3,000 SF, 2 stories, 4 beds, 3 ½ baths, main-floor primary bedroom suite, secondary living space and loft, and 3-car tandem garage

What’s changed? Here are the features that transformed a good plan into a bestseller:

Simplified the Construction and Reduced Costs by $5-$7/SF

• Reduced corners from 14 to 10
• On the roof, made top plates consistent and eliminated several girder trusses, low-slope roof areas, and crickets
• Replaced curved stair with L-stair

Modernized the Program

• Replaced the formal dining room with a flex room
• The optional butler’s pantry allows for a dining room option with the flex room, per the buyers’ preference
• Added a secondary living space with a loft on the second floor
• Updated the primary bathroom and closet
  • Replaced drop-in tub with freestanding tub
  • Upgraded to a larger glassed-in shower
  • Included split vanities
  • Enlarged the primary closet by 70%
• Improved the second-floor layout
  • Added a third bathroom for the fourth bedroom while lowering direct costs
  • Added a loft space
  • Optimized the shared bathroom layout
  • Deleted curved railings

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Plan Updates:

1. The formal dining room is put to better use as a flex room, with the option for a dining room with butler’s pantry per the buyer’s preference.
2. The curved stair and angled wall are dated and expensive to build, replaced with an L-stair.
3. The laundry and everyday entry were moved to a new location to make room for the upgraded primary closet.

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The Result

By taking the leap to “mess with a good thing,” this builder created a best-in-class plan that created more market differentiation. The plan not only became hugely popular with their homebuyers but also increased builder margins through lower direct costs and higher demand that supported price increases. The plan refresh made it even more appealing to buyers, commanded a higher price point, and reduced building costs. Win-win-win!

Start Your House Plan Refresh

Let KGA help you transform your existing plans into future bestsellers. Contact us to schedule a consultation.