Subdivision of land is beneficial if you are interested in developing your land for construction or sale. The process will create multiple lots, so you can earn more by selling them independently than as a single block. Also, smaller lots are more marketable than large tracts of land. In addition, you can sell part of your land and still have a piece for personal use if you subdivide. However, you should note that subdivision is not a simple procedure which can be conducted on a whim. If you do not plan with care, you could end up with significant losses. Here are some practical tips to help you avoid development problems during your subdivision project.
Understand Your Zoning
You should confirm that the zoning regulations in your local area will allow for the subdivision of your piece of land before beginning your development planning. You should not assume that the rules will allow your project to succeed just because your property looks large. If you proceed with planning before confirming the zoning rules, you will end up wasting your money. You should be particularly keen in evaluating the land size. You should make sure that you have sufficient land area to create two or more legally acceptable lots. You can hire a land surveyor for the evaluation of your property, and you should also speak to the local council about your expectations and concerns.
Consider Legal Restrictions
You should find out if there are legal restrictions imposed on your specific piece of land. In simple terms, there are some legal issues that you might not know that could interfere with the subdivision and general development of the land. If you do not deal with issues and proceed with the project, you could face legal consequences. Moreover, some of the restrictions are not easy to handle. Therefore, continuing with your development plans might be futile. For example, easements and encumbrances on your land might restrict the actions you can take, and extinguishing these limitations can be difficult and might necessitate going to court. You should take note of issues involving tree removal and storm drainage.
Determine the Costs
Finally, you should calculate the potential costs of the subdivision work during the planning phase. Under ideal circumstances, you will earn more money by subdividing your property. However, if the total amount required for subdivision is low, you could make losses. You should determine the cumulative expenses for land taxes, structure demolitions, engineering requirements, surveying costs, title costs and storm drainage network installation.