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What to Know Before Buying Land for Your New Home in Maine

Updated: Oct 21

Buying land to build your dream home can be an exciting yet complex process. In Maine, with its mix of rural, coastal, and urban settings, there are many factors to consider to ensure you make the best choice. In this blog post on "What to Know Before Buying Land in Maine", our building experts at Canbury Homes share their insights on the essential aspects of selecting land, from zoning regulations and site preparation to financing and other important cost and lifestyle considerations.


Colorful Fall leaves on top of a home roof

Budget Planning


Why It Matters: 

Setting a budget is the first step in any successful land purchase. Without a clear and realistic budget, you could face financial strain, unexpected costs, or even an inability to complete your home-building project.


Advice:

Your budget should account not only for the cost of the land but also for additional expenses like site preparation, utility connections, and permits. Other costs, such as legal fees, land surveys, soil testing, and road maintenance, can also add up quickly. By setting a detailed budget, you can evaluate land options more realistically and avoid financial surprises with your home construction project.



Neighborhood Considerations


Why It Matters:

The neighborhood and surrounding homes can have a significant impact on your lifestyle, the home you build, and the value of your property.


Advice:

When selecting land, think about the style of house you’d like to build and compare it with the homes in the surrounding area. Building a home that is much larger or drastically different in style than the neighboring properties might make it harder to sell in the future. Additionally, consider the general atmosphere of the neighborhood and find out how neighbors use their properties and how adjacent properties are zoned - is the surrounding area quiet and residential, or busy and commercial? Choose a setting that matches your needs and lifestyle preferences.



Proximity to Amenities


Why It Matters:

Being close to schools, hospitals, grocery stores, and other essential services can significantly enhance your quality of life.


Advice:

Consider how far you are willing to commute for everyday needs. In more rural parts of Maine, you might find affordable and spacious land, but it could mean driving longer distances to access essential services. Balance your desire for seclusion with practical needs.



Financing Options


Why It Matters: 

Financing undeveloped land can be different from financing a home, with higher interest rates and shorter loan terms.


Advice:

Research loan options available for purchasing land, such as raw land loans, construction loans, or owner financing. Some banks require a larger down payment, and your credit score will play a significant role in the interest rates offered. Our building experts at Canbury Homes can assist in matching you with lenders who specialize in land purchases to understand the terms and options available.



Zoning Regulations


Why It Matters:

Zoning laws determine how land can be used, specifying whether it’s suitable for residential, commercial, agricultural, or mixed-use purposes.


Advice:

Before purchasing, verify that the land is zoned for residential use and understand any restrictions or requirements. For instance, some areas may have regulations on the size of the home, the type of structures allowed, or even aesthetic guidelines. Contact the local town or city planning office for detailed information.



Site Preparation & Terrain


Why It Matters:

The land’s topography and condition can greatly impact the cost and feasibility of building a home.


Advice:

Look for land that is relatively flat and free from obstacles like large rocks or excessive vegetation. Hilly or uneven terrain may require additional grading and foundation work, which can increase construction costs. Also ensure there is adequate drainage to prevent future flooding issues. At Canbury Homes, our all-inclusive approach includes a comprehensive land evaluation as part of your home pricing, providing valuable insights into how site preparation will affect your budget.



Land Survey


Why It Matters:

A land survey will confirm the property boundaries, which is crucial to avoid disputes and ensure you’re not building on someone else’s land.


Advice:

Hire a licensed surveyor to perform a detailed survey of the land. This will also help you understand any easements, rights-of-way, or restrictions that might affect your property. This is especially important in rural areas where boundaries might not be clearly marked.



Title Search


Why It Matters:

Ensuring the property has a clear title means there are no legal claims or disputes over the ownership of the land.


Advice:

Conduct a thorough title search to verify that the seller legally owns the land and that there are no outstanding liens or claims. Consider purchasing title insurance to protect yourself against any future disputes.



Soil Test (Perc Test)


Why It Matters:

Soil conditions affect the type of foundation you can build and are essential for properties that require a septic system.


Advice:

If the land is not connected to a municipal sewer, you’ll need to conduct a soil test to ensure it can support a septic system. Poor soil conditions can lead to additional construction expenses or even prevent you from building altogether. Be sure to also test for environmental hazards that might complicate construction.



Access & Road Maintenance


Why It Matters:

Easy access to your property is essential, especially during the construction phase and for daily commutes.


Advice:

Check if the property is accessible via a public road or if you will need to build a private driveway. If you’re purchasing land in a rural area, find out who is responsible for road maintenance. Properties accessed via private roads might require you to contribute to maintenance costs or obtain easements for access.



Environmental Considerations


Why It Matters:

Environmental regulations can impact what and where you can build, especially near bodies of water or protected areas.


Advice:

Be mindful of protected wetlands, flood zones, and wildlife habitats. In

Maine, there are areas with strict environmental regulations to preserve natural resources. Make sure the land you’re considering isn’t subject to any conservation easements or environmental restrictions that could affect your building plans.



Other "Hidden Costs"


Why It Matters:

Additional costs can quickly add up, making the overall project more expensive than initially planned.


Advice:

Consider the costs of connecting utilities (water, electricity, gas), road access, septic systems, and any permits required for development. Rural properties might require significant investment to connect to the grid or establish well and septic systems. Additionally, factor in property taxes, which can vary based on location.



Conclusion

Purchasing land to build your home is an exciting but complex process that requires careful planning. By taking the time to research zoning laws, assess site conditions, plan for hidden costs, and secure financing, you can ensure that your land is a solid investment for your future home. Whether you are looking for a secluded retreat or a spot close to amenities, contact us today to have one of our building experts at Canbury Homes to help assist you in making an informed and confident land purchase decision!

 

 

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