Housing

[MajorRewrite]

Los Angeles building permits are 2% of value for the basic permit.
The plan check fee is about 1.4% of value.
Coastal Development Review starts in at $12,000 and can easily run into the hundreds of thousands for certain properties such as we see in Malibu after the fires.
CEQA review starts in around $25,000 not including additional legal fees.
If the house has an onsite-septic system or OWTS then that review alone can easily surpass $100,000.

You can also run into conflicting regulatory jurisdictions where one agency requires you to build certain things while another forbids you from doing them. Property owners caught in the middle bear the responsibility of sorting out the mess in court.

In LA the median home price is right now around $1.2 million.

Assuming the new construction home can be connected to a sewer line the cost runs out to $40,000 to $50,000 including street excavation. This is still cheaper than the OWTS would be.

So, based on the median price of $1.2m (for a new 3/2/2 home) the numbers work out like:

Building permit: $24,000
Plan Check Fee: $16,800
CDR: $12,000
CEQA: $25,000
Sewer connection: $40,000

In this case I chose the low end of the expense range and the total?

$117,800

Making up numbers is fun.

 

[Baztrachian]

Making up numbers is fun.

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