Developers offer on my property

NQManchester

Only thing I’d add is are you definitely not thinking of moving within those 5 years? You’d be signing up to be in limbo because no one else will want to buy your house with that hanging over it. Arguably it’s already less desirable anyway though. 
I think I’d take the offer personally unless I was really really attached to the house. 

anotheruser

Kinada66 said:

nicknameless said:

Please can we know the ballpark figure value of the property?  If £50k this is a £150k inducement.  If £500k it is £600k.

Double £0 is £0 folks

Was recently valued at 600k

£600K?

How much is left on your mortgage?

If the offer is 100K now (put in savings for a new home) and £1.2 million if the new houses get approved, that's probably enough to buy a new house outright and have loads left over.

Don't poke the bunny too much as the person above says, double of £0 is £0.


You could also make it more compliocated - the 100K could be used as a deposit to buy a new house, port your mortgage if possible, then rent out your current home on a 6-monthly (then rolling contract) basis, which will hopefully cover either mortgage.

GDB2222

A bit of care drafting the agreement, as the development will reduce the value of your house. You want to be paid 2 x the value of your property, calculated as if the development is not happening. 

nicknameless

Kinada66 said:

nicknameless said:

Please can we know the ballpark figure value of the property?  If £50k this is a £150k inducement.  If £500k it is £600k.

Double £0 is £0 folks

Was recently valued at 600k

I'll give you £650k cash right now ?

You could take advice but I'd be seriously considering signing on the dotted line.  Essentially if the contract is watertight they are offering you £700k to move.

echo82

It sounds a good offer. I would probably accept, subject to independent legal advice (at their cost).

Key thing is what is market value? The opinion of their pet estate agent, or average of several independent valuations (who pays for that?) Does market value include a large down valuation to reflect the fact that 150 houses are being built on the doorstep?

Also, what are the practicalities of them buying the house? Do they need you moved in a short timescale so they can get access for construction? What happens if you can't find anywhere suitable, will you be required to complete no matter what, and who pays any additional costs in those circumstances (or if your chain collapses etc)?

You'll need to make sure the contract is very specific about things like that, and understand what it means if they exercise their option to buy 

ProDave

NQManchester said:

Only thing I’d add is are you definitely not thinking of moving within those 5 years? You’d be signing up to be in limbo because no one else will want to buy your house with that hanging over it. Arguably it’s already less desirable anyway though. 
I think I’d take the offer personally unless I was really really attached to the house. 

Actually I would hapily take a punt to buy the OP's house at market value on the basis if the development went ahead it would then sell for twice market value.

NQManchester

ProDave said:

NQManchester said:

Only thing I’d add is are you definitely not thinking of moving within those 5 years? You’d be signing up to be in limbo because no one else will want to buy your house with that hanging over it. Arguably it’s already less desirable anyway though. 
I think I’d take the offer personally unless I was really really attached to the house. 

Actually I would hapily take a punt to buy the OP's house at market value on the basis if the development went ahead it would then sell for twice market value.

I suppose that’s a valid way of looking at it, I was thinking more of a home but yes it could be a decent gamble for someone 

steve866

Perhaps have a clause that says means you get either double todays value or at the time of purchase (whichever is higher) to protect yourself in case property prices go down due to the development or for other reasons.

sheramber

anotheruser said:

sheramber said:

What surrounds the fields on the other three sides?

The farm?

This is almost irrelevant and not sure why some care so much about it.

The farmer owns the land (let's call it a field).
The housing developer wants to buy the field.
The farmer is happy to sell the field to the housing developer - OP, how much is the farmer selling the land for?
The only way to access that field properly is through the OPs house.
The other three sides of the field could have roads (not on all three sides), other fields, a protected wood, a castle - anything you want.  The result is the same - the famer does not want to sell those other fields so the only opportunity is the OPs house route, which makes sense if there is already an existing track leading to the field.

Teh developer said they have other options. What is on the other three sides is therefore relevant. They might not be as convenient but could still be an option if the  OP didn't agree.


Locally a developer tired to by a cottage that adjoined fields they were going to develop.

The resident didn't agree to their offer so they developed around him.

His cottage is now surrounded on three sides by new two story house. The development is the size of small town and is a  commuter town for a nearby city.

The quiet country area he lived in is no more and narrow country road in front of his cottage is a busy commuter route.

Ramouth

It seems like a very generous offer.  Unless it has been your life’s work to recreate the Sistine Chapel ceiling in your living room, you are being offered a chance to buy a house twice as good instead of keep a house next to a building site / new housing estate.  

If anyone wants to offer me the same to build on the playing fields behind us I would be more than happy to oblige!