The idea of buying your own piece of land – own raw piece of untouched land for your dream home is always thrilling. But picking up the perfect piece can be a bit more complicated than the way you expect. So we have gathered some points to help you navigate through this process.
• Checking local zoning laws
If you think that you have got the site for your future dream home, before you start focusing on that offer, make sure that you check the local zoning ordinances. Because the land you’re buying might seem attractive, but if the land doesn’t suit the specifications for the intended use then it would be a worthless expensive heavy junk.
Zoning and the other land regulation records can be accessed through public records at the local zone in office. Some important things to check are:
Access from a street: unless you’re planning on parking your car on the roadside or hoofing in at your home, your property must be properly accessible from the main road. If the lot is landlocked, you will need special permission for trespassing through your neighbour’s land
Setbacks: if you are having a 20-foot setbacks structure but your lot is just 50 feet then you cannot expand your house for greater than 10 feet so it is a loss.
View ordinances: the local ordnance company may also limit your ability to add a second story to the building.
• Figure out the cost
If you are thinking of building a house from the scratch you need to spend much more money and should be ready with your bucks. There are also many other costs like survey, permits from the municipal corporation and health department approval.
• Determine the utilities that you want to install
You would always want your home to have water, electricity and other day updated convenient supplies. These installations are not cheap and one of the major installations is the construction of the sewage system. While most of the houses are directly connected to the municipal sewage system, but since you are building a new house you would need extra cost for building your own septic system.
• Be ready with the financing
Getting a raw land loan is different from getting a simple house loan. Due to the risk of money, some lenders require higher down payment that is 20 to 50% of the actual value.