Developer wants to buy our house along with both neighbours

eddddy

steve.flooks wrote: »

We don't know full details of theirs plans so its difficult for us to work out what we could reasonably expect the developer to pay above market value....is 25% to 30% reasonable.....

That's starting in the wrong place.

You don't start with the value of your house, you start with the value of what the developer will build.

The developer wants an option on your property while they apply for planning consent - so you should regard this as a partnership between you and the developer.


Ask the developer what he plans to apply for planning consent for. If he says 6 houses, you set your price accordingly.

If the developer changes his mind and decides to apply for consent for 8 houses, you increase the price accordingly.

I'd suggest that you find a specialist solicitor, and perhaps a land agent, who is familiar with this kind of negotiation/transaction.

And if you plan to sign an option agreement, you'll definitely need advice from a specialist solicitor.