Regardless of what type of project you’re taking on, be it a renovation or new construction, one of a builder’s first challenges is getting residential building permits or entitlements.
The variety between county, city and International Building Code permitting standards creates the opportunity for confusion and delays. However, with help from the right capital partner, it’s easier to avoid the headache of securing permitting and entitlements, which can become the longest phase of your project.
Permitting, entitlements, and the issues they present
Permits relate to the technical parts of construction, like checking electrical or plumbing plans against city regulations. Entitlements have to do with land use, like a requested zoning change.
The permits and/or entitlements you need depend on many factors, like project type and project location. Local codes vary from town to town and can be hyper-specific to your situation. For instance, in Washington state, a single-family home development on a long plat requires a public hearing, while a single-family home development on a short plat is approved administratively.
These differences can lead to delays that cost builders time and money, particularly for those who manage more than one project at a time. According to the Washington Center for Housing Studies, the average permit delay in 2022 was more than six months. This cost builders an average of $31,375 on top of forecasted fees.
Since homebuilding already poses large financial risk, this causes some developers to walk away— leaving their communities with fewer much-needed housing options.
Organizations representing developers continue to advocate for more straightforward permitting requirements. In the meantime, Legacy Group Capital recommends taking four steps to help your project move faster without cutting corners.
- Start with the right site by evaluating its feasibility. It’s all about planning. Before you put money down, use a site analysis to weigh key components like zoning, density, utilities, and any environmental constraints before buying land.
- Enjoy the benefits of your preparation. Early feasibility studies prevent costly surprises by answering important questions, like, “What obstacles on the site can be fixed without a big bill?” or “Are there any challenging or even unfixable issues that might make this investment a bad one?”
- Secure financing that pays beyond the purchase of your property. Builders can and should leverage capital partners familiar with hurdles to development. Private lenders like Legacy have a history of working with different cities or counties. This helps us know what to look for when navigating the permitting process and make sure your project keeps moving to stay profitable. “We’ve seen it all,” said Moira Haughian of Legacy’s Real Estate Acquisitions & Development division. “From last-minute zoning changes to unexpected site issues or shifting city requirements, our team works with builders early to identify potential roadblocks and resolve them before they become costly delays. That way, projects stay on track and on budget.”
- Using your lender, put together a team designed to collaborate. Some lenders, like Legacy, have connections to architects, civil engineers and land use consultants. These professionals know local building codes, smoothing out the planning process together. When the team presents a united front, this collaboration helps your business, too.
Legacy Group Capital: Here for the journey
With the right planning and partners, permitting delays don’t have to stall your pipeline. Legacy works with builders early on, helping with deal evaluation, permitting strategy and entitlement considerations and even building realistic timelines for your project. In 2025, Legacy worked with 50+ builders to get projects permitted across Seattle, Bellevue, Kirkland, and Boise.
We’re here to answer any questions you might have to combat permitting confusion and delays. Keep your project on schedule by giving us a call today: 425-635-4700
