What Are Development Charges

Most new home owners cringe every time they hear the words “development charges.” Everyone knows they are expensive, yet necessary, and there is no way around them. Development Charges are paid to the municipality in which you are building your new home. Development charges are collected from new home buyers to cover the costs of infrastructure upgrades within the community. They are typically due upon release of the building permit. Development charges can vary significantly between municipalities.

Always be sure you have verified these costs and any “hidden” additional costs. Alair Homes understands the impacts of up front costs involved in the home building process. Development charges are one of these. We often are able to negotiate with the land developer or vendor to “carry” these costs as well as a portion of the land costs until a time that construction has begun onsite. This is commonly referred to as “builder’s terms.”

Let Alair guide you through this process to minimize your initial required cash flow at the early stages of your new home building experience.