With land sale, what does builder tie-in mean? Is it optional to use their builder? Is their a cost savings?

Asked by Stephanie Jeskey, 02155 Wed Jan 14, 2009

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Judy Boyle, Agent, Marlborough, MA
Wed Jan 14, 2009
Hi SJ,

Based on the information you provided in your post, it is hard to answer your questions but I will address them in general terms...

Builder tie-in could mean a couple of things depending on how "raw" the land is. It most likely means that the builder must tie in to sewer and/or water lines.

Unless otherwise specified in the listing, you should be able to use any builder you choose. Be very careful, however!!!

You asked if there is a cost savings. If you are referring to the cost of building over buying an existing home, there can be a cost savings but you really won't know unless you compare apples for apples.

If you are referring to using the builder who is selling the lot, as opposed to using your own builder, that is really going to depend on what each builder is providing for the price. You will want to compare builders' packages (specifications), paying particular attention to the quality of the materials and allowances for things like cabinetry, lighting, appliances etc. These details can really add up if not included in your "base" price.

It's a lot of fun building, though! I've done it before and would love to do it again!!!! Good luck!
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Marianne Avi…, Agent, Andover, MA
Wed Mar 2, 2011
Simply put "builder tie-in" means just what it implies. You must use the builder and their specific plans to build your home on the lot that you select. This is sometimes dictated by the covenants associated with that subdivision or the style restraints dictated by the topography of the land on which the house is to be built. Now that doesn't mean that you are totally restricted with minor changes to the structure or interior but you cannot build the house yourself or choose another Builder. I hope this information helps but please feel free to contact me with any other questions or for further clarification. My office is located right in Andover and I am very familiar with the area and property values!

Marianne Avila (978) 984-3188
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Ken Lambert, , Exeter, NH
Thu May 28, 2009
Hi SJ- They are correct- those that say "builder tie in" means that you must use the builder/ GC listed in the docs to build your home, and usually there is a time constraint on that as well- meaning you must start construction within 12 months or something...
This means that you cannot get 3 general contractor bids, so normally this means that the builder is not going to give you some fantastic "deal" because you have to use him. I am also a licensed builder and know how this is all done.
These days with all the property values declining for the last 18 months, there are no significant savings in building your own home vs. buying a pre-existing home. Ask other builders, or ask an appraiser. So with that said, it is a lot quicker and less stressful to buy an existing home that you really like, and maybe tweak it a little if needed. Please let me know if I can be of help in any way. Thanks, and good luck,

Ken L.
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Kelli Cassidy, , 01950
Sat May 23, 2009
A builder tie-in also means the builder owns the land or has a builder and is requiring the buyer to use him as the builder, this is normally the case for subdivisions. Most listings will state no builder tie -in or builder tie-in, It will normally state on a listing sheet where the utilities are for example, at street, none ect.
If you need help looking for land in the area e-mail anytime, kellicassidy@remax.net
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Scott A. Nel…, , 02155
Wed Jan 14, 2009
It usually means tie ins to the local utilities. There may be cost savings, the only way to tell is by having a general contractor get you an estimate or 3. You'd want to check with the town building department for requirements, setbacks etc., other requirements specific to the property & neighborhood.
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