Guides / Choosing the home

How to Pick the Right Lot in a New Community

By Charles CarperUpdated October 20263 min read

Look past size. Check how the lot drains, which way it faces, what's behind it, any easements, and what's planned for the land next door. In 2025, the median new single-family home sold sat on about 8,500 square feet, a little under a fifth of an acre.

What to check on every homesite

Size gets the attention, but these matter as much:

  • Drainage. Where does water go when it rains? Look at the lot after a storm if you can. The ground should slope away from the house on every side.
  • Slope. A sloped lot can mean steps, a walkout, or more foundation work.
  • What's behind you. Open space, another home, a road, a stormwater pond or a future phase.
  • Easements. Utility or drainage easements limit what you can build there, like a fence, shed or pool.
  • Orientation. Which way the back yard faces changes sun, shade and heat.
  • Flood risk. Look up the address on FEMA's Flood Map Service Center, which lets you search by address.
  • What's planned nearby. Ask for the community plan. Empty land won't stay empty.

What is considered a good lot size?

A good lot is one that fits how you'll use it. A big yard is great if you'll garden or have a dog. It's work if you won't.

For context, NAHB's analysis of Census data shows the median lot for a new single-family home sold in 2025 was 8,543 square feet, just under a fifth of an acre. About 38% of new homes were on lots under 7,000 square feet.

Is a 10,000 sq ft lot big?

For new construction today, it's larger than typical. At about 0.23 acre, it's above the 2025 median of roughly 8,500 square feet.

Compared with older neighborhoods, it may feel ordinary. Lots have gotten smaller over time as land costs rose.

What's the average lot size in a subdivision?

It depends on the community and the region. In new communities, it often clusters close to the national median, with a range from smaller lots for townhomes or alley-loaded homes to larger corner or cul-de-sac lots.

Ask the builder for the range in the community you're considering, and where the lots you like fall in it.

When is a lot premium worth paying?

Many communities charge more for certain homesites. It can be worth it when the premium buys something you'll use or that buyers will pay for later:

  • More privacy, like backing up to open space
  • A flatter, more usable yard
  • Better orientation for your patio or garden
  • A quieter location away from busy streets

It's less worth it for size you won't use, or a view that could change when the next phase is built. Ask why a lot carries a premium and whether anything could change that.

Questions to ask before you choose

  • How does this lot drain, and where do the neighbors' downspouts go?
  • Are there easements, and where?
  • What's planned for the land behind and beside it?
  • Is it in a flood zone?
  • Which plans fit this lot, and does it allow a patio or porch option?
  • Is there a premium, and why?

Who's writing this. I sell new homes for D.R. Horton at Collins Ridge in Hillsborough, so I represent the builder, not you. This guide is general education from my years on job sites and in sales. It isn't legal, tax or lending advice, and it doesn't describe any specific home, price or incentive. Check the sources linked below, and talk with your own lender, agent or attorney before you decide.

Looking at new homes in Hillsborough?

I sell new construction at Collins Ridge, about 20 minutes from Durham and Chapel Hill. Narrow the 12 floor plans to the two or three that fit, then come walk them with me.

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Sources

  1. Shrinking Lots Trend Levels Off as Smaller Lots Remain the Norm, NAHB Eye on Housing, using Census Survey of Construction data
  2. Flood Map Service Center, FEMA
  3. Characteristics of New Housing: Highlights, U.S. Census Bureau