Module 5 — Building Lot Purchase Considerations

Once you’ve decided to build a new home, selecting and purchasing the property is the next step. Evaluating your property and home needs before you buy involves three interrelated groups of considerations.

1. Location - and Habitability

  • Town or neighborhood preferences
  • Proximity to roadways, highways, transit, shopping, schools, parks and recreation, work, or family
  • Distinctive content: privacy or closeness of neighbors, family area or private community, water or mountain views, lake rights, or recreational amenities
  • Any habitability factor that motivates you to build in a given location

2. Property Physicality and Zoning

  • Land topography — sloping or level, wooded or pasture
  • Zoning rules for home placement on the site
  • Zoning for residential, multi-family, or commercial use
  • Deed restrictions governing home architecture, size, or content
  • Home-site orientation for passive or active solar, if desired
  • Access to town water and/or sewer; well-water availability
  • Location and availability of electric and natural-gas utilities

3. Purchase Economics and Site Development

  • The purchase price and its impact on your building budget
  • Potential appreciation or depreciation of the completed land-and-home package
  • Building components or system installations that add to or reduce project cost
  • Financing costs and the type of financing required
  • Engineering or surveying requirements and costs

Summary

Defining these underlying considerations — location, then physical, zoning, economic, and site-development conditions — sharpens your decision-making before you commit to a property.

Next steps: See the Property Evaluation Tool and the Property Evaluation Form Instruction Booklet to score and compare the properties you’re considering.