If you have ever considered building a custom home, perhaps you have driven around, looked at lots in the area, and even drawn a sketch of your dream floor plan.
We strongly believe the most important part of the custom home building process is choosing the right lot. Some lots cost substantially more to build on than others, and it is important to know this upfront.
Here are some important things to consider as you evaluate properties and plan your budget.
- Are utilities on site? It is very important to understand how you are going to get power and water to your home and take waste away from the property. Do water lines run to the property, or will you need to figure out how to install a water tank? Is there a well you can share and, if so, is the well agreement favorable? Is the sewer in and connected, or will you need a septic tank? Is there gas in the area, or will you need to install a propane tank? How far are the main utilities from the property, and what will the cost be to get them connected to your property? The costs for all these issues can run in the tens of thousands of dollars, so know what you are getting (or not getting) before you buy.
- Conduct a soils test. Soils vary in type, composition and strength, and the right combination is necessary to support the weight of a foundation. Knowing your soil is critical to getting proper pricing for lot preparation.
- Understand the topography. So many lots in our area are on a hillside or have natural washes running through the property. The cost of grading them and installing proper drainage and retention can escalate quickly into the tens of thousands of dollars. Get all the details, so you understand what it will cost to get the property ready to build.
- Will the house you want to build fit on the lot? Understand the lot setbacks, slope and limitations (rights-of-way, easements) before you design your dream home. Make sure what you are looking to create will fit on the property.
- Is there a homeowners association? Most HOAs require architectural review, and do so at a cost. Find out how much it will cost to have your plans reviewed, and be sure the type of house you want to build will fit within the building requirements for the subdivision.
- Select a well-established builder with the experience to build a quality home and keep you on budget. You can make or break your budget on the ceiling you choose, how your finishes are selected or even on the length of your driveway. A great builder can help you save money while still helping you get the home of your dreams.
John Karadsheh is the Designated Broker for KOR Properties. He has been a Multi-Million Dollar producing agent for more than 13 years and is an Accredited Buyers Representative (ABR) and Certified Residential Specialist (CRS). In 2014, John was voted the No. 1 Real Estate Agent in Arizona by Ranking Arizona. You can reach John at (480) 568-8684, or visit his website at KORproperties.com.
KOR Properties also is the creator and one of the founding sponsors of Mesa Food Truck Fridays.
1 comment
I’ve never really thought about the importance of finding the right lot when it comes to building a custom house. Now that I’ve read this however, I can say that I’d probably agree with you. Building a house is one thing. Building a house in a location you want to be in, with all of the access that you’d like to good soil, neighbors and everything else. Thanks for helping me see the bigger picture of a new home!