Keep An Eye on These Lot Development Restrictions
The restrictions associated with developing a lot are rarely straightforward.
There’s a common misconception among hopeful homeowners and even some real estate agents that building a new home will be as easy as finding an affordable lot in the right area, then building a home on it that fits the on lot’s square footage. In reality, there’s a bit more nuance involved. We talked with Tracy Delgado, Senior Manager of Land Acquisition at Atmos, about often-overlooked restrictions for lot development.
Many people searching for a lot, and even real estate agents who don’t specialize in new construction, often miss seemingly small details that can make a huge difference on a lot’s actual amount of buildable area. This means that an initial search for lots in a given area might give the impression that a certain budget or price range for a lot is reasonable, when really the lots at these lower price points may not have much buildable area or may not be buildable lots at all.
Understanding the factors that can restrict the buildable area on a given lot can help buyers and real estate agents to gain a more realistic view of the required budget for a lot in their desired area and can eliminate the risk of unknowingly purchasing an unbuildable lot. Look out for the following restrictions when searching for the ideal lot.
Watershed Restrictions
In addition to zoning restrictions and setback requirements, watershed restrictions add another layer of complexity in determining buildable area. Watershed restrictions vary in each municipality. In some areas, like Charlotte, NC, if a lot is in a critical area watershed, only 6% of that lot can be used for an impervious area. Impervious areas include driveways, the footprint of the home, concrete around a swimming pool, and more.
There are also restrictions on how much wooded area can be cut down or or taken away, and these rules can be as detailed as specifying the size of the trees that can or cannot be cut down. Many people don't understand that these restrictions are in place, and you have to know the watershed maps and pull that information in order to understand how much buildable area a lot can actually offer.
Stream Buffers
If a parcel of land has any type of water stream running through it, there is typically a 30- to 50-foot buffer that goes around that water where no one is permitted to build. This water does not necessarily have to be visible. Sometimes, the way water runs off creates divots and canals through the land. The water and the buffer surrounding it cannot be built on, including to build sheds or other small structures.
On a small lot, that water and buffer area can amount to a large portion of the overall land. Builders also have to consider zoning setbacks that may require up to 40 feet along the back of the home’s footprint and 10 feet along the sides. Altogether, these aspects can quickly reduce the buildable area, making it difficult to find workable floor plans for the lot or even to build on it at all.
Post Construction Buffers
Post construction buffers are similar to stream buffers and often run along the same areas. They address water runoff in an effort to protect stormwater quality and natural areas. They still impact the buildable area of a lot, but they may require a different amount of square footage for the buffer itself. If both the stream buffer and the post construction buffer apply, builders must use the larger buffer. It’s also important to keep in mind that it may be more expensive to own a lot in a flood zone area as far as insurance is concerned.
The lack of knowledge about restrictions like these create misinformation about how much lots cost in general. People enter the building process having seen lots online and assume those prices are realistic, but often, those low-priced lots are not buildable lots. Working with a knowledgeable real estate agent and build team can help in avoiding the purchase of a lot that won’t accommodate your ideal floor plan. Atmos is here to help you create your dream home, every step of the way. Get started today!
