Building Your Home on Raw Land: Zoning, Permits & Practical Tips
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Purchasing raw land can feel like the first step toward your dream home, but undeveloped parcels come with unique challenges. From zoning restrictions to utility hookups, you’ll need to verify several factors before you can legally and safely build a house on raw land.
Zoning & Land Use
Check the local county or municipal zoning ordinance to confirm that residential construction is permitted on your parcel. Some rural or agricultural zones prohibit homes or require minimum lot sizes. Contact the planning department to review:
- Zoning designation (e.g., R‑1, agricultural, mixed‑use)
- Setback requirements (how far structures must sit from property lines)
- Height limits and any architectural design standards
Permits & Building Codes
Before breaking ground, secure all necessary permits. Typical approvals include:
- Site development permit: Reviews grading, drainage and erosion control
- Building permit: Ensures your plans comply with the International Residential Code (IRC) and local amendments
- Health department approval: Required for well drilling and septic systems
Utility Access & Infrastructure
Raw land often lacks connections to utilities and roads. Investigate:
- Electricity: Cost to extend power lines, typically $10,000–$30,000
- Water source: Well drilling fees vary by depth and geology
- Sewage: On‑site septic design and installation
- Road access: Legal right‑of‑way and maintenance obligations
Financing & Budgeting
Lenders often view raw land loans as higher risk. You may need:
- 20–50% down payment on a land loan
- Construction loan: Converts to a mortgage once building is complete
Before moving forward, it’s advisable to consult a licensed local attorney or real estate agent and verify requirements with county planning and health departments. With thorough due diligence, you’ll transform that blank parcel into a solid foundation for your new home.
