If you are looking to build a custom home, you may be wondering exactly how and when to procure your lot. In fact, the decision to purchase a lot before hiring a builder – or vice versa – can present you with “chicken or the egg” dilemma. Which comes first?
The thing about real estate, is that there are very few absolutes. What works one day, may not work the next.
The market ebbs and flows, as does the inventory – so the elements which go into your decision making may change.
Truthfully, there are both pros and cons to purchasing your own lot, or leaving lot selection to the builder. We have assembled some considerations for those of you looking to build a new Sarasota home.
Buying a Lot Yourself
Pro: Perhaps your perfect lot has an amazing view of Sarasota Bay, or is within walking distance of shops and restaurants. Finding your own lot allows you to choose your dream location for your new home.
Pro: You can generally hold a lot for several years without building on it, allowing you to break up the cost – buy the lot today, save more money and build the home in 24 months. It is important to note that different communities may have different rules regarding how long you can delay building.
Con: Once you have committed to buying a lot, the footprint and style of the home you can build may be restricted based upon the dimensions and topography of the property.
Con: You may need to wait for quite some time for the right lot to come up for sale. If the neighborhood is a desirable location to build in, your options may be limited.
Tip: Before you buy your land, perform due diligence to ensure that you can build the style of home that you want, as well as to understand the timeframes, restrictions, and land covenants.
Hiring a Builder First
Pro: Once your plans are drawn up, you will understand the dimensions needed, and be able to search for a lot which will be able to accommodate the home you have designed. If you cannot find a lot which will work with your specifications, your builder can help you to revise your plans based upon what is available.
Pro: Your builder may already own lots which they can build on, creating not only economies of scale for your purchase, but allowing you to begin building more quickly. This “pro” has an inherent con, however; your choice is limited to your builder’s inventory.
Pro: Your builder can provide invaluable input when you are considering a lot for purchase, helping with due diligence and providing insight as to building codes and limitations.
If you are considering custom home construction and do not yet have lot, it may be best to interview and hire a builder first.
A local Sarasota contractor may have connections and contacts which can help, and as stated, they can help to determine lot requirements to look for.
In the end, whether you end up buying a lot or the builder provides it, their advice could prove a valuable asset in the overall process.
The team at Lindahl Construction is proud to provide all the knowledge, expertise, experience and community connections you’ll need to build the Sarasota home you’ve been dreaming of – from the ground up.