How do I price a piece of garden?

userjcr

Hello everybody,
I'm interested in purchasing a part of my neighbours garden. Does anyone know how to price up land? I live in London E10 and I would be buying up to 55 sq. metres of land. The land would not be used for development....garden only.
Can anyone help....?


Thanks.

martindow

Might be better off getting this transferred to the house buying board.

If your neighbour has a mortgage he will not be free to sell any garden without permission from his lender. They may well not agree as it probably reduces the value of his house.

If I were selling I would try to ascertain the increase in value of your house with the additional land and base my price on that. I would also expect you to cover my legal fees.

27col

Isn't the price of land a valuer's job? Anyway, the price will be what the seller thinks is enough. If the buyer doesn't agree, then some mutual discussion between the two will produce a figure that both can agree to.

brightontraveller

They want to sell it but don’t what they want for it or how to get it valued? Is it you wanting it them not even knowing?

You're need wish for it is immaterial to seller, valuer etc it boils down to a market value?

You want to put a garden there someone else a house extension garages etc, Most would recommend owner tries to maximise potential applies for planning permission or if that’s unlikely t sell it with hope value and lets someone else have the hassle.Its certainly big enough for a house in London …?[FONT=&quot] I’d say [FONT=&quot]could be upto [/FONT]100s of thousands [/FONT]

Ectophile

It's worth as much as the seller thinks you're willing to pay. The more you need that bit of land, the more it's worth.

userjcr

Many thanks to anyone replying.


The seller asked us to make an offer first that he will consider.
As far as I am concerned I know the house is mortgaged and also rented out with a contract with the Council (no Council house but paid via Council housing benefits) so I guess this makes it even more difficult.


The part I do not understand about calculating the value of my property is if I should calculate it on the actual re-building value basis or the market value basis.


Any suggestion?


Many thanks.

Davesnave

We had a thread like this recently, but it may have been on the buying & renting board.

When I sold a piece of garden with no development potential, I knew that it would allow other parties to extend their homes, although those extensions probably wouldn't reach it.

I priced accordingly.

The potential buyers had the land valued as "garden."

As you might imagine, there was a large gap between our perceived values!

After a year or so, the other parties met my price because they could see there was no way I'd sell at theirs.

Context is everything.

I_have_spoken

If having the land means you can extend your house, £500/sqm maybe? £27,500 for land that could add £100,000 to the house...

However of these was a covenant or other device that excluded using it except for garden, £50/sqm

brightontraveller

userjcr wrote: »

Many thanks to anyone replying.


The seller asked us to make an offer first that he will consider.
As far as I am concerned I know the house is mortgaged and also rented out with a contract with the Council (no Council house but paid via Council housing benefits) so I guess this makes it even more difficult.


The part I do not understand about calculating the value of my property is if I should calculate it on the actual re-building value basis or the market value basis.


Any suggestion?


Many thanks.

They want you to be both buyer and seller problem is they don’t even outright own it? There pretty much wasting your time as any offer even if they initially agree would need consent of there lender? That would in turn depend on there mortgage the banks perceived lowering of the value against repayment of mortgage loss of there interest etc. Let them do all the legwork shows there really interested in selling otherwise you do it and there bank simply says no to any price or they just use your offer to try and get more borrowing.


Also let to local authority which I’d be surprised if the garden size wasn’t taken into account when negotiating rent amount screams timewaster to me :rotfl:

cyclonebri1

Simple answer has been stated already. it's worth what the interested party is ready to pay.

We dealt with this recently. my DH bought land to the rear of her house



Farmland around here is 6-8 grand per acre
They got 14 acres to the rear of their property.


So, they paid over for the proposed garden plot, and therefore under for the rest.

50 yds x 40 yds was valued as an addition of £50k on the house value. About 2/3rds an acre

Rest of land, 13acres, about another 50k cost will show a profit too