Timeline & Expectations

Typical build timelines for new construction on LBI range from 8 to 14 months, depending on design complexity, permitting, and contractor availability. We’ll help you map out:

• What steps to take before buying a lot

• Whether it's smarter to renovate or build new

• How to vet contractors and stay on budget

• What kind of rental income your new home could generate

Budget Expectations

New construction costs vary by builder, square footage of the lot and build, and how high end you’d like to go. On average it costs $340/psf to build a new home on Long Beach Island. Economies of scale play a big part in determining build cost as well. A builder will be able to pay less for material if a larger quantity is bought. On the flip side, smaller projects with less material will cost more on a per square foot basis. New homes with a pool and elevator typically cost $900k to $1,100,000.

Lot size and location

In order to know what you can build, you first need to understand your lot size and natural elevation, both of which depend on your location. Oceanside homes generally sit at a higher elevation than bayside homes due to the natural slope of the road. Elevation plays a major role in determining how high your foundation must be before any conditioned living space can be built.

In most towns, a home can be built up to 34 feet in height, with the exception of oceanfront properties, which may allow up to 36 feet. This limit can vary depending on the municipality.

Lot size determines your buildable envelope, but each town has different rules regarding how much of the lot you can cover, commonly referred to as “lot coverage.” In Long Beach Township, for example, you're allowed to cover 33.3% of your lot, provided you meet all other setback requirements (i.e., front yard and side yard setbacks).

Because homes on LBI are often built vertically, you would typically multiply that 33.3% by 2 or 3, depending on how many floors you can fit under the maximum building height. A 50 x 80 lot is common across Long Beach Township. You can build on 33.3% of that area, but you'll need to subtract roughly 10% for deck space, as it also counts toward lot coverage.

Why build new yourself?

The biggest advantage to building your own home on Long Beach Island is the potential to create a strong equity position. By purchasing what is known as a tear down, an older home on a valuable lot, you can often rebuild for significantly less than what a brand new home would cost on the open market. This approach lets you control your budget, choose your layout, and select the materials and features that matter most to you. You will also benefit from meeting current FEMA flood standards and adding long term value through smart design choices, all while crafting a home tailored to your lifestyle and goals.