Building Houses: The Top 4 Things to Know Before You Start
If you’ve ever dreamed of building your own house, you’re probably already picturing yourself in a pair of construction boots and a bright yellow hard hat. But before you run out and buy a hammer, some nails, and a set of blueprints, you might want to double-check that you know what you’re getting yourself into. Because no matter how much you want to build a home for yourself, it’s probably not the best idea if you’re entirely new to the construction game. That is unless you’re prepared to learn many new, helpful things. Fortunately, with a bit of research and patience, you can build a house without becoming a building wreck. Here’s what you need to know before you start.
What is the land zoned for?
Different areas will be subject to different zoning laws. This regulates what is and isn’t allowed to be built in a particular area.
For example, suppose you are buying land out in the country with only agriculture surrounding it. In that case, you might not get planning permission for multiple residences if that isn’t within keeping with the local area. The same for trying to erect commercial properties in residential zones and vice versa. There will also be limits to building single-family dwellings, condos, multi-family dwellings, etc. So before you rush ahead making plans, know exactly what you are allowed to build.
What horizontal development do you need to consider
Do you need to pay for horizontal development? For this, you need specific contractors, such as a drilling contractor, to help you ensure you are set up and connected as per guidelines and make the project complete and attractive to buyers if applicable. You need to include sidewalks in your plans, roads, connecting utilities, etc.
What are your financial limits are
Before you go out and buy a hammer, nails, and blueprints, you should probably double-check just how much money you’re willing to spend on your new home. This is particularly important if you’re planning to build on your own. For example, if you know you have a big budget for the house you’re building, it’s good to figure out how much you can afford to spend. This will help you determine what size and style of house you should build. However, even if you have a general ballpark idea of your budget, it’s still good to sit down with a financial advisor and figure out exactly where your money is going. This will help you avoid any costly mistakes down the line. Don’t forget to have contingency funds and plan for your budget to be over, so you have money ready in case you need it.
Whether or not it is a viable investment
Every investment has its risks — and building a house is no different. If you don’t know what you’re getting yourself into. If you decide to build a house, you’ll need to make sure it is a viable investment. What does this mean? Let’s say you choose to build in a high-growth area experiencing high growth levels. But is it a good idea to build in an area experiencing high growth levels? Not necessarily. It depends on a few things, but one of the most important things to consider is land cost. The higher the price of land, the more difficult it is to build a profitable home. If you decide to develop in a high-growth area, you’ll need to ensure that the land you’re building on is worth the cost. You can do this by looking at local land records and asking real estate agents to give you a ballpark estimate of the cost of the lot.