What Are Lot Fees in 55+ Communities?

home-b4dd65fd3e653186ddd04bb0e4d0eac0

Building a new home from the ground up is an exciting prospect. When constructing a home, residents are allowed the ability to customize their finishes and add additional features that may not be found in actual models. However, depending on where you choose to develop your home, you may come across what is known as lot fees. As the name implies, lot fees, otherwise known as lot premiums, are an additional cost given to homeowners looking to start construction on specific lots.

High Demand, Higher Cost

Oftentimes, lot fees are applied to land that is more in demand. Certain homesites will be more desirable than others, adding further value to their worth. Depending on the price of the home you’re planning to build, lot fees themselves can cost homebuyers thousands of dollars. One key factor that may influence whether or not there are lot fees is location. If the lot you are looking at offers scenic views of the community or surrounding area, then it is more likely that it will have a larger fee attached to it.

The same goes for waterfront properties or lots that are located in a cul-de-sac. In the case of properties in a 55+ community, a more desirable space might be one closest to the clubhouse, parking lot, or pool areas. Should the lot offer any sort of perk or unique feature, it is plausible that builders will take advantage of this fact and attach a lot fee.

Of course, the desirability of each lot is subjective to each person interested. While some may be interested in having a view of the community golf course, others may not. Therefore, lot fees can be considered a good use of money if it helps in securing homebuyers with a site that’ll further them along in creating their perfect home.

Size Matters

Another factor is the size of the lot. Should your homesite have a large square footage that requires constant upkeep, this will likely cause an added fee. This is especially likely in communities that offer exterior up-keeping services.

In Conclusion

It is important to take these factors into consideration while beginning the process of where you’d like to build. Ask to see the list of lot premiums in a community in order to compare prices and see if it is a price that you are willing to pay. Make sure to check with the developers of the community to see their regulations on lot fees in order to determine if this is the right space for your future home. Another thing to keep in mind is that these lot fees may be negotiable. Unless otherwise stated, the cost of lot fees can be challenged, hopefully saving you money.

Building a home is an exciting venture, though it does require a lot of time and money. Always make sure to stay up-to-date to avoid any surprises. By researching potential homesites and recognizing the lot fees that come with it, you’re one step closer to turning your dream home into a reality.

Can you spot the $207,744 difference between these identical homes?

Financing is the difference!

Get the details in The 62+ Loan Homebuyers Guide.

55places Mortgage is a joint venture between Mutual of Omaha Mortgage and 55places.com.
Details here.

We're here to help! (800) 928-2055

Call us to speak with a customer service representative.

Subscribe to Our Newsletter

Get Weekly Updates

I agree that 55places and its affiliates, partner providers or agents may call, text, or email me about my inquiry, which may be made with automated means. I understand that my consent is not a prerequisite for buying a property. I may revoke my consent at any time by contacting optout@55places.com. Message/data rates may apply. I also agree to 55places.com’s Privacy Policy and Terms of Use.

The Best Places to Snowbird in 2021

We’ve gathered 25 of the best places for snowbirds, including cities in Florida, Arizona, California, Texas, South Carolina, and Nevada. For each entry, we’ve also provided a list of recommended 55+ communities in the area. If you’re ready to find your own winter retreat this season, here are some of the best places to consider.

Closed up on a tiny wood home model on green grass with sunlight background.

This Month in Real Estate: A Housing Market Summary

The housing market continued to see a growing trend through the month of August. For 55+ homebuyers, there’s some competition still and some changes to look out for as the summer ends.

Landscape view of Glendale, Arizona in the summer.

Benefits of the 55+ Lifestyle in Glendale, Arizona

As the locals know, Glendale is also a spectacular place to call home. But what’s it like living in this sun-soaked city just eight miles outside of Phoenix? We’ll take you through what you should know.

About 55places

We’re changing the way people 55 and older are searching for their perfect next place. With a national network of hand-selected real estate experts, plus comprehensive information, unbiased content, and on-the-go insight about thousands of communities across the country, we’re a trusted resource paving the way from here to home. Whether you’re interested in a low-maintenance single-level residence, an active lifestyle or age-qualified community, an intimate enclave, or anything in between, we can help you make your next move the best one yet.

Scroll to Top