The Home Builder’s Association of Metropolitan Portland (HBAMP) has long held that the cost of building a home is greatly impacted by fees, charges and government mandates that greatly reduce affordability.  In an effort to provide consumers with additional information about the cost of their home, the HBAMP is undertaking a rolling survey of government mandated costs by jurisdiction and placing them on our website for their perusal.

Local jurisdictions are allowed to charge home builders System Development Charges (SDC). State law allows SDCs to be charged in only five areas: water, stormwater, sewer, transportation and parks. The goal of an SDC is to recoup the actual cost of the impact of a new home on the that particular system. Local jurisdictions must provide research and analysis to justify the amount they charge for each SDC.

The initial version of this ongoing information source focuses on system development charges (SDC’s) which are charged by municipalities for building a new home within their jurisdiction.  Based on a $200,000 home, SDC’s in the Portland Metro Area range from 2% of the cost of a new $200,000 home (City of Molalla) to 16% (City of Gresham, Springwater expansion area).  The average SDC in the Portland Metro Area is equal to $14,332 or 7% of the total cost of a new home.

Note: The numbers below are accurate as of June 2010.