When you’re buying new land, you may have a variety of reasons for doing so. Perhaps you want to build your own home, just the way you want it, or maybe you’re looking to explore the agricultural sector. Whatever your reasons, you’ll need to find land that you can afford before you sign on the dotted line. Here, we provide some tips to help you budget for your new land.
Consider development cost factors
Buying land is quite different from buying a home. First off, it’s undeveloped, so you’ll have to spend extra money making it suitable for living. But what exactly will you have to spend your money on? Here’s a quick list:
Excavation, cut-and-fill, and blasting (though not all of these will be required)
Paving for road, driveway, and patios
Permits and fees
Legal costs for title search and other closing costs
Think about costs after building
Once everything is built, you’ll still be paying money. You may have a mortgage, taxes, utilities, and more. Try to get a rough estimate of how much you can pay each month in these expenses before you commit to a specific property.
When in doubt, use a cost calculator
Everyone is different, and each person has their own unique financial situation. Nevertheless, if you’re truly at a loss, you can use a cost calculator to get you started. At Gwyn Goodman Realty, we offer an affordability calculator and mortgage calculator to help you determine if you can afford the land you want.
For more information on how to find the best land in Camarillo, Moorpark, or Somis, contact Gwyn Goodman today at 805-987-6695.