King County Real Estate: A Guide to Buying Land and Building

The real estate market for King County is ever changing, but demand is not one of them. There are more buyers then sellers which is a good thing if you are thinking about listing your home. Even better if you are looking to relocated to either a less popular area or out of the state completely. Potential buyers are doing what they can to obtain the home ownership dream. Some are turning to buying vacant land to build their weekend get away or dream home. Whatever your motivation is, make sure to do your homework on what it takes to build your Shangri-la. Let’s go over some points to help you get started.

Local Building Codes.

The first and best place to start would be looking up your county’s local building laws or codes. Sure they can be confusing to read and at times just impossible to understand. Nevertheless, reviewing the laws can help. You will gain some understanding of any restrictions on the land. From whether a vacant land is used for residential (R) to Commercial (C). On how much of the land you can build on. They also decide how big of a home you can build. Additionally, they specify whether you are allowed to raise livestock if that is a feature you are into. They also guide you if you want to use the land for mixed use. You should understand the climate and geographical specifics. This knowledge will help you make informed decisions about where to build.

Budget

Your Budget is the most important of all the steps to take. You need to clearly understand what you want. Knowing just how much it will cost from start to finish is crucial. Some major costs to consider include land acquisition and land development. Permits and architect plans are also significant expenses. Talking with a mortgage broker is beneficial or consult your bank about the type of construction loans that are available. These steps will go a long way in this process.

I found the Perfect Spot!

So, you found the right spot and are ready to build. Well, maybe not totally ready. Once you find the land you want there are steps to take before you can even think about building. Evaluate the location of the land to proximity and access to amenities and (water, gas) utilities. Look into any future development plans for the area. You may not want to have neighbors to close. Getting a land Survey is a must to uncover any hidden obstacles from geological hazards and encroachments. Also, finishing an environmental impact study is a must. This will account for the impact your project will have on the area.

Helping hands

I am sure at this point all of this is sounding way too much and that is Ok. It is going to feel overwhelming. There are a lot of pieces to the puzzle to be put together. Take each step of the process one at a time. There are helping hands to help guide you. As I mentioned above talking with a mortgage broker or your bank are great resources for all things financial. Consulting with a local Real Estate agent can help find areas and properties that may work. Another great resource is working with an established builder. They can help manage with cost and the approval process for your build and land development. And then the fun part, working with someone to help with the interior finishes.

$$$$$$$

Lastly, here are some numbers to keep in mind. To help understanding the financial cost, the average to build a home can range between $100-$400 per square foot. This will depend on the complexity of the build. The national average for land Development is around $80,000. For Framing you could be looking at around $50,000. The average cost of vacant land in King County is sitting around $630,000. Total construction cost might make up around 61% of your budget and finishing cost around 18%. Make sure you leave room for any overage in your budget that could land around 15% of your overall budget.

You may be building your forever home, the weekend get away, or for investment. The process can be scary, but thrilling all the same.