What to Know When Purchasing Land

What to Know When Purchasing Land

Regardless whether you want to build your dream home, invest in land, or start a farm, consider a site feasibility study to give you the peace of mind, wisdom, and answers you need as a due diligence prior to closing on that property. A site feasibility study helps ensure your dream home or land investment is a sound decision by providing valuable insights and addressing potential challenges. It offers peace of mind by assessing the suitability of the land for your plans, ensuring you're fully informed before moving forward.

Central Texas and the Austin area are rapidly growing regions known for their unique blend of rolling hills, lakes, ranches, and vibrant urban life. However, with this growth comes limited availability of buildable land, especially as zoning regulations can be complex and difficult to navigate. If you're considering buying land in the area, you may find yourself asking questions like: What is the property zoned for? Can I build on it? What are the land use restrictions? A site feasibility study can help answer these questions and give you the confidence you need to move forward with your investment or dream home in Central Texas or Austin.

This is where a feasibility study becomes essential…

"New U.S. Census Bureau estimates show Central Texas remains one of the fastest-growing regions in the country, although the pace of the Austin area's annual population growth is slightly slowing...The Austin-Round Rock-San Marcos metropolitan area—including Bastrop, Caldwell, Hays, Travis and Williamson counties—saw population growth of 7.53% between July 2020 and July 2023 with 173,000 new residents added." Ben Thompson Community Impact March 2024
While the influx of new residents to the Austin area has slowed compared to previous years, the city continues to see steady growth. (Photo Courtesy of Community Impact)

What is a feasibility study?

Feasibility Studies

A feasibility study is a specific amount of time (negotiated in a contract) that gives a buyer time to conduct any test or study necessary to verify that the property will meet the buyer’s needs.

  • City code and zoning restrictions
  • Land use
  • Utility availability and Water/Sewer lines install
  • Structural and MEP engineering factors
  • Costs related to construction and design of the building on the site?
  • Site Development
  • Site Orientation and Site Topography
  • Tree Preservation
  • Concepts of schematic design of building to maximize rent/sale possibilities

The cost of a feasibility study in Austin, Texas can vary depending on the project's size, complexity, and scope:?

  • CG&S Design-Build: Feasibility studies cost between $1,000 and $4,000?
  • Moontower: Feasibility studies cost $5,500 for remodels or additions, and $7,500 for new construction?

You might be thinking, “Wow, $7,500 is a lot of money!”—and you're right. However, when you're planning to invest hundreds of thousands of dollars in a property, spending that anywhere between $1000-75000 is way less expensive than buying and closing on a property that you cannot do the build out on, to avoid this getting with an architecture firm and or a builder to help facilitate a feasibility study is a smart move. It offers valuable peace of mind by confirming the property's potential, ensuring your vision is achievable, and equipping you with the insights needed to move forward confidently with your next steps.

How Can I find Zoning Information?

Almost every city or county, including Austin, provides a zoning map online. You can easily access this information by visiting the City of Austin's zoning map here at this PropZone interactive grid. Additionally, land use codes are typically available on the city or county’s planning or development services pages. If you're unsure or need more specific information, you can always reach out directly to the city's planning department for answers regarding a particular property.

Filter real estate investment sites by specific zones and land uses to easily assess the feasibility of your next project. Make informed decisions and ensure your investment aligns with your goals before moving forward

If this process feels overwhelming, consider working with a real estate agent. A skilled agent acts as the “glue” in these situations, helping you navigate zoning regulations, reach out to local authorities with any questions, and connect you to the right resources. Having this support can also be a powerful tool in negotiating the final purchase price, helping to turn your dream of owning land in Central, Texas into a reality.

Contact Me

If you're thinking of buying land, building on a lot, or interested in starting the feasibility study process. let's talk about how I can help you navigate the process with our trusted vendors and team. Whether you are in the market to buy or sell land, or just have a general question, contact me and I’m happy to assist and serve you. I look forward to hearing from you! #RealEstate #ClosingProcess #HomeSelling #TexasRealEstate #SageSells #SageRealEstateTX

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