Need some advice on a property........

Need some advice on a property........

Author
Discussion

POORCARDEALER

8,527 posts

242 months

Saturday 10th November 2007
quotequote all


Too many unsold flats in this area (west yorks) that under normal circumstances would be sold to BTL landlords.........however the arse has fallen out of the "i am going to be a landlord market" so now the only people buying are pension funds etc who want massive discount to buy the whole block...........people sat on land they have bought to develop are still having to build unless they can afford not to, so its a bad situation in my view

ginettag27

6,307 posts

270 months

Sunday 11th November 2007
quotequote all
ScottNicol said:
how can u say the apartments are 80m2 ? the site doesnt have full consent so there is no sepcific apartment size as yet !!
OPP is for 80m2 apartments...

Hobo

5,771 posts

247 months

Sunday 11th November 2007
quotequote all
Well I'd say its not worth it IMO.

If you were to borrow the full amount for the development I reckon you'd be lucky to make circa 200k. You could quite easily walk away with nothing it you don't have good contacts.

You cannot even hope that you can push planning a little further, ie a few extra units as if you did you'd them fall into the social housing bracket & at that point you're figures would look worse still.

ginettag27

6,307 posts

270 months

Monday 12th November 2007
quotequote all
Area limit is indicated as 15 units for that size of plot... So it's just inside that. 500k seems expensive for a plot that _may_ realise 1,750,000.. I agree that it would seem to be too tight to try. There's not a big enough margin in there, unless the 500k dropped or only 300k was offered...