Build Your Own House: The Real Estate Broker
Your real estate broker will help you locate and buy a lot so you can build your own house. Your broker should specialize in land and know all the factors to review before you buy a lot as an owner builder. Not just any realtor will do in this case. Some of the factors to consider before you buy a lot to build your own house include: zoning, utilities present, HOA requirements, and valuation methods.
When evaluating a potential lot, you should know the zoning for it and the surrounding area. You don't want to build your own house next to the future manufacturing facility or shopping plaza. The adjacent zoning will affect the value of your home now and into the future.
Your broker will also be able to tell you what utilities are present. In some areas it's very difficult to get a water meter permit and can literally take years because of shortages. You don't want to hold onto a property for years while waiting to get utilities. Therefore, it will be helpful if your broker has contacts within the local utility companies to find out relative costs and time frames to add any utilities not currently present.
You will also want to discuss with your real estate broker the homeowners association (HOA) requirements. Many HOA have specific architectural requirements that stipulate minimum square footages, house style, materials and colors. You will want to know these before you buy a lot to build your own house.
Carefully review real estate brokers to find the one that specializes in land that can find the answers to all of these questions (including local zoning codes) before you buy a lot to build your own house.
