Building A House

saverbuyer

shaz77 wrote: »

That's what I thought, so for example the site owner has much greater flexibility in price the more properties are being built on that site?

Yes and No.

If the land has been bought from about 2000 onwards they probably overpaid so need to sell for X to keep the balance sheet looking good for the bank.

Land prices are down 90% in a lot of NI.

If they bought way back and have little debt then they can sell for much cheaper.

Just look at new build prices in say Derry, Ballymena, Newry, etc. and compare to Belfast. The Belfast ones overpaid on the land. The actual build cost wouldn’t have gone up by that much since 2007 but labour and land had dropped significantly.