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A Guide to Land Due Diligence in New Jersey

Introduction

You can change the paint color. You can change the kitchen layout. You can even add an extension later. But the one thing you can never change about your home is its location.

For clients looking to build new construction homes in New Jersey, finding land is often the biggest hurdle. New Jersey is the most densely populated state, meaning "easy" vacant land is rare. Most available lots have some sort of challenge—whether it's wetlands, steep slopes, or rocky soil.

At Sharpline Inc., we advise our clients never to sign a contract for land without a "due diligence" period. Here are the critical checks you must perform before buying a lot.

  1. Zoning and Setbacks Just because a piece of land is empty doesn't mean you can build whatever you want on it. Every municipality has a "zoning schedule" that dictates:

Setbacks: How far the house must be from the street and the neighbors.
Lot Coverage: The percentage of the land that can be covered by the house and driveway.
Height Restrictions: Some towns limit houses to 35 feet or 2.5 stories. Sharpline Inc. can review the zoning map to ensure your dream home actually fits within the legal "building envelope" of the lot.

  1. Environmental Constraints (The DEP) In New Jersey, the Department of Environmental Protection (DEP) protects wetlands and flood zones aggressively.

Wetlands: If a property has "wetlands," you typically cannot build within a certain buffer zone (often 50 to 150 feet). This can render a large lot unbuildable.
Flood Zones: Building in a flood zone is possible, but it requires elevating the home and expensive flood insurance. We help you check the FEMA maps to understand the risk.

  1. Soil Feasibility You need to know what lies beneath the grass.

Perc Test: If the land does not have public sewer, you will need a septic system. A "perc test" (percolation test) measures how fast water drains through the soil. If the soil fails (e.g., it is solid clay or rock), you cannot install a standard septic system, which might make the lot worthless for a residential home.
Oil Tanks: If you are buying a "teardown" (an old house to demolish), you must scan for abandoned underground oil tanks. These can leak and cause massive environmental cleanup costs.

  1. Utility Access Don't assume utilities are available just because there is a road.

Gas vs. Propane: Is natural gas running in the street? If not, you will need a propane tank.
Electric: How far is the nearest pole? Bringing power 500 feet down a long driveway can cost thousands.

  1. Tear-Downs vs. Raw Land In many desirable NJ towns (like Summit, Short Hills, or Princeton), there is no raw land left. The only option is to buy an old, dilapidated house and tear it down.

The Benefit: Utilities are usually already there, and the location is established.
The Cost: You have to factor in the demolition cost (approx. $15,000 - $30,000) and asbestos removal.
Conclusion Buying land in New Jersey is a high-stakes game. You need an expert eye to spot the "red flags" before you commit your savings. Sharpline Inc. offers site consultation services to help you evaluate potential lots. We ensure that the ground is ready for one of our stunning new construction homes in New Jersey.