A friend of mine (a Bi-coastal Family) bought a lot in in CA to build a spec house. It's similar to what he's done here on the Cape with a few properties.
He told me that the building permit application fee was over $127,000!!! One hundred twenty seven thousand dollars! (I spelled it out so that there wouldn't be any misunderstanding or assumption that I made a typo!)
You can build a house in some areas for that Fee!!!! How is that justified in CA? I believe that there was a 25% cost of building fee that is applied to affordable housing, but still $127,000?!?
Gives a whole new meaning to the word "californication".
Don, Only the "Rich Peoples" live in CA. The rest of us squander our life's elsewhere. 😉
That's outrageous for San Francisco and I would suspect SF is one of the more outrageous. Its only $9813 more to build a $50 million dollar house within The City ($136,813). Are they building a $50m home?
Cities and counties here have had their shares from the tax man chopped up pretty bad here. The only recourse they now have is to pass the costs onto the consumer. That being said,I have to admit that is one of the largest checking fees (taxes) I've heard of yet. Had a friend build a house west of Escondido about 12 years ago. Now this is in the " backwoods" pretty deep. The county hit him for around 40k. Which I thought was outrageous at the time. Today that is a drop in the bucket.
They are building a "normal" 3 bedroom home in Petaluma. Nothing fancy, not waterfront or anything. I guess the fee includes the fees for water and sewer? But not the installation or hook up cost. Just Fees.
Somehow I think that is crossing over into interfering with god given rights.
I think there's some sort of miscommunication going on. I just looked at the City of Petaluma website, and for a $1M new single-family residence the building permit fee is around $40k (the city estimates 4% of value). There are a bunch of other impact fees (not building permit fees) that come to another $40k or so, but we're still only at $80k. Is your friend building a multi-million-dollar house?
Jim Frame, post: 419901, member: 10 wrote: only at $80k
Only?
Brad Ott, post: 419903, member: 197 wrote: Only?
When you start at $127k, lopping off $47k makes $80k "only."
Jim Frame, post: 419911, member: 10 wrote: When you start at $127k, lopping off $47k makes $80k "only."
Only from a surveyors mind set. 80k in fees is crazy for the average person. Jp
Those folks in CA are all movie stars and millionaires, they can afford it.
Edward Reading, post: 419913, member: 132 wrote: Those folks in CA are all movie stars and millionaires, they can afford it.
Sorry, but that isn't true. We are all mostly suffering under the boot.
Jp7191, post: 419912, member: 1617 wrote: 80k in fees is crazy for the average person.
Everything is relative. Houses in CA cost more than they do in many other states, but incomes tend to be higher in here as well. It's not a consistent ratio (example: the ratio between median home sale price and median income in CA is twice what it is in Iowa), but it does help to keep things in perspective.
imaudigger, post: 419915, member: 7286 wrote: Sorry, but that isn't true. We are all mostly suffering under the boot.
Sorry, forgot to use the sarcastic font.
Edward Reading, post: 419919, member: 132 wrote: Sorry, forgot to use the sarcastic font.
I figured that...and I forgot to look and see that you are from California. You are well aware of the situation we are dealing with.
imaudigger, post: 419930, member: 7286 wrote: I figured that...and I forgot to look and see that you are from California. You are well aware of the situation we are dealing with.
Yep, We had to sell two houses out of state to afford a "starter" house here.
I think my dad said his building permit in 1976 cost $250.
The complexity and multitude of additional requirements dictated by today's building code is what is contributing to the expense of a building permit.
[SARCASM]You got something wrong with your head if you moved FROM Idaho/Wyoming to California!!!![/SARCASM]
I love where I live, there are just a few things I wish were easier.
Can't beat the weather and variety of scenery in California. It's a desirable place, the economy is doing well and lots of jobs, especially in the Bay Area.
The housing thing is going to catch up to us very soon, lack of affordable housing contributed to the Oakland fatal warehouse fire. There are lots of jobs in the Bay Area but you might have to drive 2 hours to afford housing unless you are a big time Tech Engineer or have family that bought in decades ago. The Postal Service is having trouble finding letter carriers in the Bay Area, they've made the job so poorly compensated that who would want that job in the Bay Area?
Jim Frame, I could be wrong about Petaluma. I assumed that was where his lot is because that is where he has a home. But that doesn't mean that's where he's building. I'll find out where.
