Buying land for building.

Mgman1965

I want to do a self-build like my dad did some years ago where to reduce costs he bought a large plot/field without planning permissions after speaking to planning officers discreetly as to the likelihood of getting planning permission (which he got).

He bought the land, divided it into 3 plots, one the size, shape and position he wanted, and two others, which he then sold on with outline planning permission meaning his plot actually cost him nothing.

Problem I'm having is all decent land (even houses with large gardens) seem now to have clauses about if it's developed the original seller gets a cut of the increase or resale price (one small field with no permissions I really liked, had a clause the seller got 60% of the increase in value if all or part was sold for development within 40yrs !!!!!)

Is there any way round these clauses and would a seller have any claim if it was developed just for me and not for selling on like my dad did with part of his ?

eddddy

Mgman1965 wrote: »

...
Is there any way round these clauses and would a seller have any claim if it was developed just for me and not for selling on like my dad did with part of his ?

Hi Mgman

If you voluntarily sign an agreement with overage/uplift condtions, then you will be bound by all it's clauses.

If you want a clause about 'developing just for yourself', then you can ask/negotiate with the seller, to see if they will agree.

Normally, an overage/uplift condition is triggered when planning consent is granted - not when the property is sold.

Mgman1965

eddddy wrote: »

Hi Mgman

If you voluntarily sign an agreement with overage/uplift condtions, then you will be bound by all it's clauses.

If you want a clause about 'developing just for yourself', then you can ask/negotiate with the seller, to see if they will agree.

Normally, an overage/uplift condition is triggered when planning consent is granted - not when the property is sold.

The clause basically said if any or all of the land was used for development within 40yrs the vendor would be entitled to 60% of the uplift. I forget the exact words it was very legal speak !!!!

eddddy

So your choices are:

- Buy it and then pay 60% of the uplift in due course.
- Before you buy it, negotiate to get the clause changed or removed
- Walk away

davidmcn

Mgman1965 wrote: »

Is there any way round these clauses and would a seller have any claim if it was developed just for me and not for selling on like my dad did with part of his ?

Any decent overage clause would be triggered by the development of the site rather than merely by a sale. Even if you're genuinely just going to live there, you've still got the benefit of a big uplift in the value of your property.

lincroft1710

It is highly unlikely you will find someone willing to sell you land without wanting to profit from any future development value. Estate agents and developers will scour the countryside looking for land that has potential for development and providing they can make a profit will pay accordingly.

ethank

Those days are gone my friend, landowners are wiser.

6_6_6

What a great government we have that allows this. We are in a property market catastrophe, average propriety prices 11 times average salary, yet they allow such sick twisted clauses to be legally binding, ultimately undermining and decimating property development in England, the very thing they harp on about generating, such is the farce.

You say wiser, I say pathetic. Despite the outrageousness that is any tom !!!!!! or harry being able assure themselves to an unjust planning windfall at other peoples expense, where do you think the costs are going to be passed onto? (Ok swearing and threats is banned so this will have to do..) Your children.

Self-build is mostly a fantasy for all but the most well-heeled of CEOs or those lucky enough to build on there own swaths of free land these days, since all the smaller plots have now been snapped up circa 5 years ago, whats left is dismal and often passed under the tables of the evil estate agents lest having to deal with the final blow of your typical greed possessed land owner. Our current planning laws are so restrictive they will always render any true hope of countrywide self-build prospects, empowering the people etc , nothing more than a pipe dream. The whole position is perverse.

What you have to realise is, land prices drive property prices too. The old and so called established rule where by you should work backwards from what the end property value would be - 30% - Build costs = What the land should cost, seems to be lost on 99% of land sellers, lest they care, and certainly estate agents act as if you've just swore at them and continue to invent their BS valuations from thin air!

Your government only concern is propping up the GDP though over inflated foreign investment in our property market, at the expense of our children. It’s all short termism and self-interest. Time to get militant on their aѕѕ or Good luck, but this country is fu?*ed! Time to look elsewhere! . . . hang on... ahh ¯\_(ツ)_/¯

booksurr

6_6_6 wrote: »

What a great government we have that allows this. We are in a property market catastrophe, average propriety prices 11 times average salary, yet they allow such sick twisted clauses to be legally binding, ultimately undermining and decimating property development in England, the very thing they harp on about generating, such is the farce.

You say wiser, I say pathetic. Despite the outrageousness that is any tom !!!!!! or harry being able assure themselves to an unjust planning windfall at other peoples expense, where do you think the costs are going to be passed onto? (Ok swearing and threats is banned so this will have to do..) Your children.

Self-build is mostly a fantasy for all but the most well-heeled of CEOs or those lucky enough to build on there own swaths of free land, since all the smaller plots have now been snapped up circa 5 years ago, whats left is dismal and often passed under the tables of the evil estate agents lest having to deal with the final blow of your typical greed possessed land owner. Our current planning laws are so restrictive they will always render any true hope of countrywide self-build prospects, empowering the people etc , nothing more than a pipe dream. The whole position is perverse.

What you have to realise is, land prices drive property prices too. The old and so called established rule where by you should work backwards from what the end property value would be - 30% - Build costs = What the land should cost, seems to be lost on 99% of land sellers, lest they care, and certainly estate agents act as if you've just swore at them and continue to invent their BS valuations from thin air!

And people laugh off the subject of Fluoridated water supplies retarding the masses. Funny, I drink filtered water, no not the mold infested joke that is a Britta filter pot, properly maintained CB + Ion exchange filters that remove Fluoride. We have done for years since the 80s. We have strong and clear views on things; it’s so simple to us, whilst everyone else is in a state of total acquiescence coupled to an increased selfish predisposition which has manifested as the dominant behaviour.
Your government only concern is propping up the GDP though over inflated foreign investment in our property market, at the expense of our children. It’s all short termism and self-interest. Time to get militant on their aѕѕ or Good luck, but this country is fu?*ed! Time to look elsewhere! . . . hang on... ahh ¯\_(ツ)_/¯

oh dear...

Pete9501

booksurr wrote: »

oh dear...

Give nurse a call, his meds aren't working

mjoneseyjones

6_6_6 wrote: »

What a great government we have that allows this. We are in a property market catastrophe, average propriety prices 11 times average salary, yet they allow such sick twisted clauses to be legally binding, ultimately undermining and decimating property development in England, the very thing they harp on about generating, such is the farce.

You say wiser, I say pathetic. Despite the outrageousness that is any tom !!!!!! or harry being able assure themselves to an unjust planning windfall at other peoples expense, where do you think the costs are going to be passed onto? (Ok swearing and threats is banned so this will have to do..) Your children.

Self-build is mostly a fantasy for all but the most well-heeled of CEOs or those lucky enough to build on there own swaths of free land, since all the smaller plots have now been snapped up circa 5 years ago, whats left is dismal and often passed under the tables of the evil estate agents lest having to deal with the final blow of your typical greed possessed land owner. Our current planning laws are so restrictive they will always render any true hope of countrywide self-build prospects, empowering the people etc , nothing more than a pipe dream. The whole position is perverse.

What you have to realise is, land prices drive property prices too. The old and so called established rule where by you should work backwards from what the end property value would be - 30% - Build costs = What the land should cost, seems to be lost on 99% of land sellers, lest they care, and certainly estate agents act as if you've just swore at them and continue to invent their BS valuations from thin air!

And people laugh off the subject of Fluoridated water supplies retarding the masses. Funny, I drink filtered water, no not the mold infested joke that is a Britta filter pot, properly maintained CB + Ion exchange filters that remove Fluoride. We have done for years since the 80s. We have strong and clear views on things; it’s so simple to us, whilst everyone else is in a state of total acquiescence coupled to an increased selfish predisposition which has manifested as the dominant behaviour.
Your government only concern is propping up the GDP though over inflated foreign investment in our property market, at the expense of our children. It’s all short termism and self-interest. Time to get militant on their aѕѕ or Good luck, but this country is fu?*ed! Time to look elsewhere! . . . hang on... ahh ¯\_(ツ)_/¯

What an absolute fruitloop!