New Development

SmartGirl_2

I found the house which I really like and I am thinking about putting in the offer. However, nearby (approx twenty houses down the road) there are several houses which have 'Acquired for Development' sign. I asked EA about it and he told me that there is a plan to demolish those houses and build 46 flats there, but it would add value to the property nearby. The property is in London and there is a new tendency to convert houses to flats or to acquire houses so they are demolished and blocks or flats are built as hardly anybody can afford to buy a house!

Do new developments usually add value to the property nearby or do they do the opposite? Also what chance is that developers will keep moving down the road and try to buy my house forcing me to move out? Is there a website where I can find out what developments are planned in the area?

emg

Sorry, I dont have an answer for you but just wanted to say that I am in a similar situation. The place I want to buy is on a road that is just having it's second big development where they have knocked down the old houses to build flats. I too wondered about the effect on value. The flats are being marketed at about 25,000 more than similar older properties on the street.

Zammo

It's hard to say what would happen in this situation. If anything I'd probably say it's going to have a negative effect. It wouldn't surprise me if most of the flats are snapped up by the BTL brigade and rented to tenants on 6 month leases. As a result you will probably be surrounded by a transient population of people who have scant regard for their surroundings and a higher crime rate.

Debt_Free_Chick

SmartGirl wrote:

Do new developments usually add value to the property nearby or do they do the opposite?

Depends on the area. If it really needs general improvement, then the fact that a developer is prepared to invest can be a good sign.

Also what chance is that developers will keep moving down the road and try to buy my house forcing me to move out?

They can't "force" you out, as such. The only way to do this is to "make you an offer you can't refuse" to buy your property and you could .... could ... be laughing all the way to the bank. However, don't count on this happening as a way to get a windfall return on the price you pay. In other words, don't buy a property purely in the hope that this will happen.

Is there a website where I can find out what developments are planned in the area?

Your local planning authority. Even if they don't have the details online, you can visit the planning office and look at all the planning applications - in the pipeline, approved and turned down - for the whole area around you.

Sapphire

SmartGirl wrote:

Do new developments usually add value to the property nearby or do they do the opposite?

I wouldn't want to live near a new development personally - they are a visual blight on the landscape that will only get worse in years to come (see also above post re. transient population). It will be curious to see what happens to them in, say, ten years time - the building standards applied to them appear to be low.

Much prefer to live in an area with period properties.

SmartGirl_2

Debt_Free_Chick wrote:

Depends on the area. If it really needs general improvement, then the fact that a developer is prepared to invest can be a good sign.

Traditionally this area is middle class with majority of people living in thirties semi detached/ terraced houses. It is still within London postcode, but next to green belt, which prevents developers expanding but does not stop them buying properties and building flats instead!

Victoria_Falls

If you want to know what planning applications have been submitted with 250m of your potential purchase you could try this:

https://www.knowyourneighbour.uk.com

"The Know Your Neighbour Report also offers a unique insight into the development potential of the land and properties within a 250m radius of the subject property. Listed, are details of all applications submitted to the council for properties and land within this area, including home extensions, together with residential and commercial developments"

Most council websites do have access to planning applications online, but it can be difficult finding land etc, most of the information is listed on existing properties. You could also ring the local council to find out if there any significant applications in that particular area.