New Home Construction Challenges

[Jon Pacitto]

I was recently told that constructing a new home has become much more expensive recently due to more and more regulations having to be met by those building the new property. I didn't think that it was something excessive to worry about but is this the case? I've always thought it would be great one day to build a home from the ground up but is it always going to be more worthwhile to start with something already built and customize it from there? 

[Kelly R.]

Storm water management has become a big issue in recent years and as you have heard it is not inexpensive to install the facilities required by the counties.  At some point I foresee a tax for the maintenance of said systems by the county or state.

Another increase cost is the new "bubble systems" required on all septic installations.  Howard county has craftily named the new requirement "BAT" Best Available Practice, so the specific system requirement can change at any time.  If you are on public sewer and water you can expect a water tap fee to equal the cost of a septic system because the larger water tap required for the fire suppression system.

http://www.mde.state.md.us/programs/Water/BayResto...

These systems have increased septic installation cost by many thousands of dollars.

Impact fee's are another large cost.  In Montgomery county you can expect to pay as much as $35,000 to $40,000 depending on location and home size.

As you can see those three items alone can increase the cost of a home by $75,000 - to $100,000.