How Do You Choose a Lot Before You Build a New Home in Western Pennsylvania?

By Aubre J. Stacknick, Global Real Estate Advisor, Piatt Sotheby's International Realty. Originally published on aubrestacknick.com.

Walk the land in the rain and ask three questions before you fall for the view: where does the water go, what is it going to cost to get utilities and a driveway to the house site, and what are you allowed to build there. The lot decides much of the cost of the house.

Buyers pick a lot the way they pick a house: by how it feels on a sunny afternoon. A builder reads it differently. A lot with a lovely view and a steep slope, poor drainage, or no utilities at the road can cost far more than the lot next to it, and none of that shows in a photograph.

Aubre J. Stacknick is a Global Real Estate Advisor with Piatt Sotheby's International Realty in Pittsburgh, PA, helping buyers and sellers across Western Pennsylvania see a home through a builder's eyes. I have stood on a lot of lots, and the questions below are the ones I ask first.

Why does the lot matter as much as the house?

The house is the part you can design. The lot is the part you inherit. Slope, soil, water, access, and rules set what the house can be and what it costs to build, before you pick a single finish.

Two lots at the same price can differ by a large amount once you add excavation, drainage, a retaining wall, a long driveway, and utilities. Pricing the lot means pricing everything it takes to make it buildable, not just the number on the sign.

Where does the water go?

Start here, because water is the thing that hurts a house over the decades.

• Look at the slope. Water runs downhill. A lot that slopes toward the house site, or one where runoff from neighbors crosses the building area, needs a drainage plan.
• Walk it in the rain, or the day after. Standing water, soft ground, and channels in the soil are information you will not get on a dry day.
• Look for low spots, springs, and wet-weather streams. Ask the neighbors what the lot does in spring.
• Ask about stormwater rules. Your municipality may require you to manage runoff on site. That affects where the house, the driveway, and any basin can go.

A lot that sheds water naturally, and lets you grade it away from the foundation, is worth a lot more than one that needs an engineered fix.

What is under the ground?

Soil decides what the foundation needs. Western Pennsylvania has a mix of conditions, including clay, rock, and hillside soils that move, and you will not know which you have by looking.

• Ask whether a soil or geotechnical report exists for the lot or the subdivision.
• Ask what the builder expects for the foundation: footings, retaining, or special engineering on a slope.
• Look at neighboring homes. Cracked retaining walls, tilted walls, or patched foundations nearby are a signal to dig deeper.
• Ask about rock. Hitting ledge during excavation is a classic cost surprise.

If the lot is on a steep hillside, bring in a geotechnical engineer before you buy. The report costs a fraction of what a surprise would.

What does it take to get utilities to the house?

This is where lots hide their real cost.

• Is public water and sewer available at the road, or does the lot need a well and a septic system? A septic system needs a suitable site, and the soil has to pass testing. Ask whether a sewage permit or percolation test is on file.
• How far is the electric service from the building site, and who pays to run it?
• Is natural gas available, or will you heat with electric or propane?
• What are the tap fees, connection fees, and any impact fees the municipality charges?

Ask for these in writing before you commit. A lot with every utility at the curb is a different purchase from one that needs a long trench.

What can you actually build there?

Zoning and deed restrictions decide the answer.

• Zoning sets the setbacks, the maximum height, the lot coverage, and the minimum house size. Read them for the exact lot, not the town in general.
• Deed restrictions and an HOA can add rules on materials, style, fences, and outbuildings.
• Easements for utilities, drainage, or neighbors' access can take part of the lot out of use.
• Wetlands, floodplains, and steep slope ordinances can limit or complicate building.

Confirm the buildable area on a survey, and have the builder or an architect place the house on it before you close.

How will you get to the house?

Driveways cost money, and steep ones cost more. Measure the grade, check winter access, and ask about turning room for a plow, a delivery truck, and a fire truck. A long driveway on a slope can need grading, drainage, and retaining. Ask where the road access is permitted, because a curb cut may need approval from the municipality or the state.

What should you ask the builder and the seller?

• What is the total site cost beyond the lot price: excavation, grading, utilities, driveway, drainage?
• Is any of this included in the builder's price, and what is an allowance that can grow?
• Has the lot had a survey, a soil report, or a percolation test?
• Who is responsible for the permits, and what do they cost?
• What are the setbacks and the buildable area?

Get the answers in the contract. An allowance is a guess until it becomes an invoice.

Should a lot be flat?

Not necessarily. A walkout basement on a gentle slope can be the best part of a house, and a hillside lot can give you views that a flat lot never will. The question is cost. Slope adds excavation, retaining, and drainage work. If the budget is clear and the plan accounts for it, a sloped lot can be a great choice. If the price assumed a flat lot, the difference shows up as a change order.

Who should be in the room before you sign?

An agent who reads land, a builder who will tell you the truth about site costs, and, on a challenging lot, an engineer. For more on the choice between a new build and a resale, read New Build or Existing Home: Which One Is Right for You?. For what to inspect once construction starts, read What Should I Look For When Buying New Construction in Pittsburgh?. And Why Independent Representation, Construction Knowledge, and Early Guidance Matter explains why I like to be involved before the lot is chosen.

The common mistakes buyers make with lots

• Falling for the view and skipping the drainage
• Assuming utilities are at the road
• Not confirming the buildable area on a survey
• Treating an allowance as a final price
• Signing before an engineer has looked at a steep lot

Common questions

If you are thinking about a lot or a new build and want a builder's read before you sign, book a 30-minute call. Bring the address or the plat.