Buying vacant land feels like freedom. You’re not competing over someone else’s design choices or paying for their renovation mistakes. But sooner or later, every lake home buyer asks the same question: How do I know what I’m really buying beneath that view?
I’ve seen too many buyers fall for a postcard-perfect view without realizing what lies beneath the surface. Freedom without due diligence can turn into expensive guessing. What looks like a peaceful lakeside retreat can quickly become a maze of permits, soil issues, and setback restrictions.
The good news? With the right steps and a little patience, you can avoid the hidden costs and build your dream with confidence.
Why Due Diligence Matters More Than You Think
Most people underestimate how much unseen work goes into buying a parcel and building on lakefront property. Due diligence isn’t just paperwork. It’s your financial protection.
Zoning reviews, surveys, wetland checks, and soil borings aren’t just technical steps to hand off to someone else. They are what keep you from facing five- or six-figure surprises later.
Unlike an existing home, vacant land doesn’t show how it drains or how stable the ground is. There’s no inspection report to rely on. Every unknown is yours to uncover, and every skipped step can turn into a costly problem.
Check the Zoning First
Before you fall in love with that sparkling view, check the zoning. Is it residential, recreational, or conservation-restricted? Can you actually build what you want?
Many Michigan lake communities have shoreline setbacks, septic rules, and design restrictions that can block your plans before you even start.
I keep municipal contacts on speed dial for this reason. One quick call can confirm buildability before you invest emotionally or financially. That’s the difference between dreaming wisely and just dreaming.
Get a Current Property Survey
A current survey is nonnegotiable. Old surveys often miss easements, shifting shorelines, or encroachments that change your boundaries.
One missing stake can cause financing delays or spark neighbor disputes. “Measure twice, buy once” might sound cliché, but in real estate, it’s how you protect your investment.
Review the Environment
Many Michigan lakes sit near protected wetlands that come with strict building limits. A spot that looks perfect for a walkout basement might actually be a regulated wetland that needs costly permits or mitigation fees.
I always recommend hiring a local environmental firm before closing. A single red flag in their report can save you months of design work and tens of thousands in lost plans.
Test the Soil
Here’s where things get real. Soil borings reveal how stable your foundation will be. Weak soil can require helical piers, which are metal anchors drilled deep into the ground to support your home.
Most townships require soil borings before approving a foundation, and costs can rise quickly depending on soil type and depth.
It’s not the glamorous side of lake life, but it’s what keeps your dream standing. I’ve seen clients skip this step and end up facing huge mid-build expenses. A few tests upfront can save you serious money and frustration later.
Budget for Buildability
Once your land passes the tests, it’s time for a reality check. What will it actually cost to build?
I connect clients with trusted local builders who give real-world price ranges and feasibility advice. That early transparency helps align budgets and expectations before blueprints ever hit the table.
Buying land is exciting, but it’s also a process of preparation. You can dream big as long as your dream is grounded in facts.
Work With Local Experts
Here in Michigan, soil types, shorelines, and regulations vary from lake to lake. Some waterfronts have sandy soils that are perfect for walkouts, while others sit on heavy clay that needs reinforced foundations.
Timing matters too. Some permits are only processed in specific months. Working with a local team that understands those details can make or break your project timeline.
The more you understand your site before closing, the smoother your build will be. That’s how buyers move from “I hope this works” to “I know this will work.”
Common Questions I Hear From Vacant Parcel Buyers
How long does due diligence take for vacant land?
Usually two to four weeks, depending on how fast surveys and soil testing are scheduled. I always suggest leaving extra time. Rushing can lead to missed red flags.
Can I get financing for raw land?
Yes, but lenders often ask for detailed feasibility studies, appraisals, and larger down payments. A complete due diligence package can strengthen your application.
What if the land already has a foundation or an old structure?
Still test the soil and confirm setbacks. Older foundations might not meet current codes, and rebuilding on them can get expensive fast.
Do I need a builder before buying?
Ideally, yes. Having a builder involved early helps you estimate true costs and confirm that your vision fits the lot.
Know Before You Build
If you’re serious about finding the right lakefront lot, start your due diligence before making an offer. I’ll walk you through every step, from zoning to soil testing, so you know exactly what you’re buying.