Build Or Buy In Hot Springs Village?

Can’t find the right home in Hot Springs Village, or wondering if building from scratch is the better move? You are not alone. In a gated, amenity-rich community like HSV, the right choice depends on your timeline, budget, and appetite for customization. This guide compares building and buying in HSV, explains the POA and ARB rules, and outlines clear next steps so you can move forward with confidence. Let’s dive in.

Quick answer

If you want deep customization and can wait, building can be worth it. If you want speed, predictability, and immediate use of HSV amenities, buying an existing home is usually the faster path. HSV’s Architectural Review and permitting add time and steps to any new build, while existing homes can often close within 30 to 60 days.

Building in HSV

Building in Hot Springs Village means coordinating with the Property Owners Association, securing Architectural Review approval, and managing permits and utilities in addition to standard construction steps. The total timeline for a custom build commonly runs 9 to 18 months or more, depending on plan complexity, site conditions, builder scheduling, and weather.

Build process at a glance

• Lot selection and due diligence
• Architectural plans and Architectural Review Board (ARB) approval
• Construction financing and appraisal of the completed project
• County permits and utility confirmations
• Site prep, foundation, framing, mechanical systems, inspections
• Interior and exterior finishes
• Final inspections and Certificate of Occupancy

Each step can introduce delays, especially ARB revisions, permit backlogs, weather, and material lead times. Having a detailed plan and a builder familiar with HSV helps.

ARB and POA approvals

Hot Springs Village is governed by the HSV Property Owners Association. The ARB enforces covenants, conditions, and restrictions designed to maintain the community’s character. Expect standards around setbacks, height, roof pitch and materials, exterior colors, driveways, decks and porches, fences, landscaping and tree removal, and where you can park RVs or boats.

You must have ARB approval before starting work. Applications usually require complete plans and specifications and may include fees or deposits. Starting without approval can result in stop-work orders and fines.

Permits and utilities

Building permits and inspections are issued at the county level. HSV spans county lines in parts, so confirm which jurisdiction applies to the specific lot. Septic systems and wells fall under Arkansas Department of Health rules, and the Garland County Health Department oversees on-site wastewater permits.

Not every lot has the same utility setup. Some have community water and sanitary sewer, while others may need septic or different hookup solutions. Bringing utilities to the site, installing a septic system, or drilling a well can add cost and time. Site conditions like slope, rock, soil, tree protection, setbacks, easements, and any floodplain considerations can also shape your budget and design.

Financing for building

Construction loans work differently from standard mortgages. They typically have interest-only draw periods, require a builder contract and budget, and involve inspections before each draw. Many buyers use construction-to-permanent loans that convert to a regular mortgage once the home is complete.

Lot financing may be a separate loan with different underwriting. Government-backed programs such as VA or USDA may be options depending on borrower qualifications and property eligibility. Check eligibility maps and speak with a lender early to understand your best route.

Cost drivers to expect

• Lot characteristics, especially lake access, views, and proximity to amenities
• Site work, including clearing, grading, driveways, and retaining walls
• Utility availability and hookup distance
• Foundation complexity driven by slope and soils
• Soft costs like design, engineering, ARB and permit fees
• Labor, materials, and the level of finishes you choose
• A contingency for unknowns uncovered during site prep

Resale value can benefit from quality and location, but overly customized designs may narrow buyer appeal later. Balance personal preferences with broader market sensibilities.

Buying an existing home

Buying an existing HSV home is typically faster and more predictable than building. From accepted offer to closing, most transactions complete in 30 to 60 days, depending on financing type and contingencies.

Typical timeline and steps

• Offer and acceptance
• Inspections, including general and, if applicable, termite, septic, or well
• Appraisal and loan underwriting
• Title work, POA disclosures, and closing scheduling
• Keys at closing and immediate occupancy

You can see the finished product in real time, including landscaping and how the home sits in the neighborhood. You also know your near-term costs and timing with greater certainty.

Inspections and POA documents

In HSV, you will review POA documents to understand dues, rules, and any assessments. If the property uses a septic system or private well, include those inspections during due diligence. This helps you avoid surprises after closing.

Financing for existing homes

Conventional, FHA, VA, and USDA mortgages are commonly used for existing homes, subject to property eligibility and condition. Compared to construction loans, the process is more standardized and requires fewer moving parts.

HSV inventory realities

Amenity communities like HSV often have thinner inventories than larger metro suburbs, and activity tends to be seasonal. Lakefront and golf-course homes can move quickly. You will also see a healthy supply of vacant lots, many of them wooded or sloped.

Because inventory fluctuates by price point and property type, check current MLS data and recent sales in your target areas. If you are set on a specific view or orientation, a lot might be the best way to achieve it. If you prioritize convenience, buying an existing home often wins.

Who should build vs. buy

Building fits you if you

• Want a specific layout, finishes, energy efficiency, or orientation that is hard to find
• Have time to wait several months to a year or more and can tolerate schedule shifts
• Are comfortable coordinating with a builder, ARB requirements, and permitting
• Have access to construction financing and a contingency budget
• Expect to live in the home long term and value customization

Buying fits you if you

• Want move-in-ready housing within 30 to 90 days
• Prefer to see the finished product and neighborhood context before you commit
• Want predictable financing and closing timelines
• Are price-sensitive and value immediate comparable sales for guidance
• Would rather renovate later than manage a full build today

Hybrid paths to consider

• Buy an existing home now and remodel later
• Purchase a lot with a small structure for renovation or expansion
• Teardown and rebuild, subject to ARB and permitting rules

Due diligence checklist

Use this quick checklist if you are weighing a lot purchase and new build in HSV:

• Confirm current lot ownership, boundaries, and get an up-to-date survey with topography
• Obtain HSV POA covenants, ARB guidelines, and the ARB application checklist and timeline
• Request a utility availability letter for water, sewer, electric, and gas
• Verify county jurisdiction for permits and confirm inspection schedules and requirements
• Order a soils or geotechnical report and a perc test if septic is possible
• Review FEMA flood maps for the parcel and consider elevation and insurance needs
• Get 2 to 3 builder bids or preliminary budgets and ask about scheduling and lead times
• Speak with a lender about lot loans, construction loans, and construction-to-perm documentation
• Ask local pros about common ARB friction points such as exterior materials or roof colors
• Confirm easements, setbacks, and tree-protection rules in the CC&Rs and plat

For existing homes, add general, termite, and system-specific inspections as needed, review POA disclosures, and verify dues and any special assessments.

Next steps in Hot Springs Village

• Talk with a local agent who understands HSV’s ARB process, POA requirements, and current inventory
• Request recent comparable sales and targeted MLS searches for your preferred home or lot types
• If building, obtain an ARB checklist and a utility verification before you make an offer on a lot
• Interview local builders and request references and recent HSV projects
• If buying, line up financing, plan for inspections, and be ready to act when the right home appears

Ready to decide?

Whether you build or buy, the right plan starts with clear information and a team that knows HSV. We will help you compare options, line up financing, and connect you with trusted local builders and inspectors so you can move forward with confidence. Schedule a free consultation or request a free valuation if you are also planning a sale. Connect with us through Bailey & Company Real Estate.

FAQs

How long does it take to build a home in Hot Springs Village?

• Custom builds commonly take 9 to 18 months or more, and ARB reviews, permitting, weather, and material lead times can add weeks to the schedule.

Do all lots in HSV have community water and sewer?

• Utility availability varies by lot, so request a utility availability letter and confirm whether sewer is on site or if a septic system is required.

Can I finance a lot now and the construction later in HSV?

• Yes, but lot loans and construction loans have different terms; many buyers use construction-to-permanent loans that convert to a standard mortgage at completion.

What extra costs should I expect when building in HSV?

• Common add-ons include site prep, tree removal, grading, retaining walls, utility hookups, ARB and permit fees, and a contingency for unknowns.

How fast can I close on an existing HSV home?

• With standard financing and typical contingencies, many buyers close in 30 to 60 days and can take possession at closing.

Do I need ARB approval for exterior changes to an HSV home?

• Many exterior projects require ARB approval under the community’s covenants and guidelines, so check before you start any work.