You have found a plot at a price you can afford. You have also set aside what you think the house will cost. It feels like a complete plan: land on one side, building on the other. But a lot of money gets spent in the space between the two, and it rarely appears in either budget.
The belief
Once I have bought the land, the hard part is done. After that, it is just the cost of building.
Buying the land is a big step, and it is easy to feel that the biggest decision has been made. But the plot you buy decides what the building will cost, sometimes more than the design does.
What sits between “I own a plot” and “I can start building”
Some of these costs depend on the plot, so they are different for every buyer. All of them are worth checking before you pay, not after:
- Checking the documents and the boundaries. Confirming who really owns the land and that the plot is the size you were told. This is work for a lawyer and a registered surveyor.
- Understanding the ground. Soil, water level, and whether the plot floods or sits lower than the road. A soil test tells you what the foundation will need.
- Preparing the site. Clearing, filling, levelling, and in some places drainage, so that the plot is ready to build on.
- Getting access and services. A way in for lorries, and a plan for water, power and drainage. In some areas none of these are at the gate.
- Approvals and fees. The drawings, the permits, and the charges that come with them.
- Design and engineering. The drawings the building will be priced and built from, including the structure.
- Security and temporary works. Fencing, a gate, a watchman, a place to keep materials.
- A reserve for what you did not expect. Prices of materials move, and every site surprises someone.
Questions to ask yourself
Go through the list once more, and for each item ask: do I know what this will cost on this plot, or am I assuming? A few prompts to help:
- If the plot is cheaper than similar ones nearby, do I know why? Is it low-lying, hard to reach, or far from services?
- Has anyone looked at the ground before I paid, or will I find out when the foundation is dug?
- How will lorries, water and electricity reach the site, and who pays for that?
- Does the size and shape of the plot allow the house I have in mind, with the setbacks the authorities expect?
- If the real total turns out higher than I planned, can I still finish, or will the building stop halfway?
- Am I comparing plots by price per plot, or by what each one will cost me to build on?
A cheaper plot that needs a lot of preparation can end up costing more than a dearer one that is ready to build on. The reverse can also be true. You will not know which, until the questions above have answers.
Who can help you answer them
Different questions need different people. A lawyer checks the documents. A registered surveyor confirms the boundaries. A soil test comes from an engineering firm. A designer or builder can tell you whether the house you want fits the plot, and roughly what the site work will add. The cost of asking before you buy is small next to the cost of finding out afterwards.
This article is general information, not legal or financial advice. For decisions about a particular plot, speak to the professionals above.
Before you pay for a plot
If you are looking at a plot and want a second opinion on what it might take to build on it, tell us about it. We are happy to talk it through, whether or not you end up working with us.
