Y-QUERK Posted July 29, 2008 Share Posted July 29, 2008 Obviously houses are worth what people will be willing to pay for them, but I'm thinking a lot of new builds will still make some profit despite the hpc? Especially if they used cheap materials and labour. Quote Link to comment Share on other sites More sharing options...
Concrete Jungle Posted July 29, 2008 Share Posted July 29, 2008 A colleague was sorting out his home insurance at work last week "worth" 400k now, valued at 500k 12 months ago. Rebuild cost £200k. Quote Link to comment Share on other sites More sharing options...
Concrete Jungle Posted July 29, 2008 Share Posted July 29, 2008 Thanks for that, newdman - you learn something new every day.Out of the £70,000, do you know how much would be set aside for demolition and site clearance? I am in a semi, btw. EDIT: It's a new development - house built in 1990 so no historic building here, if that helps with any estimate. Maybe 10-15k depending on location in the UK (based on rough guesstimate of larger buildings demolition I have worked on and scaled down to a house) Quote Link to comment Share on other sites More sharing options...
Concrete Jungle Posted July 29, 2008 Share Posted July 29, 2008 Calculator Quote Link to comment Share on other sites More sharing options...
Longinthetooth Posted July 29, 2008 Share Posted July 29, 2008 Most building insurance figures arfe provided by mortgage valuers as they are part of the standard form. They are worked out by measuring the external floor area ( X 2 for two storey etc) and multiplying this by cost per square metre provided by the Building Cost Information Service (BCIS). These figures are updated monthly and allow for location, general standard of construction etc. Various 'extras' are allowed for such as potential difficult access for fire engines. Rebuild cost has little correlation to market value. You can have a three storey Victorian terrace in a very poor state of repair with a market value of say £120,000 but may have a floor area of 350 sq ms @ £1000 per sq m giving a rebuild cost of £350,000 (in very rough terms). Quote Link to comment Share on other sites More sharing options...
Liquid Goldfish Posted July 29, 2008 Share Posted July 29, 2008 The building itself costs less than £50 per square foot So less than £50k for an average family home In most areas of the country the main cost is land Quote Link to comment Share on other sites More sharing options...
Longinthetooth Posted July 29, 2008 Share Posted July 29, 2008 Calculator There you are! Who needs surveyors? Quote Link to comment Share on other sites More sharing options...
the_underling Posted July 29, 2008 Share Posted July 29, 2008 Assuming the average home to have three bedrooms (average size family of 4 heads) I would put the materials cost of between 60 and 70k buts that's for a one-off and going to be no thrills. For large projects material spend can be reduced by about 20-30%. There has been a huge increase in layout for materials such as copper,lead,steel,plastics and wood. With the market value of houses dropping and materials rising the margin for error has got smaller and smaller. Quote Link to comment Share on other sites More sharing options...
Sheer Heart Attack Posted July 29, 2008 Share Posted July 29, 2008 My home insurance assigns a rebuild value of £70,000. I bought it for £120,000. Work that out. Quote Link to comment Share on other sites More sharing options...
South Lorne Posted July 29, 2008 Share Posted July 29, 2008 ...build the same style house in South Kensington and in North Manchester...the main factor in the cost difference is the price of land....same house different location...it's all quite logical..... Quote Link to comment Share on other sites More sharing options...
Liquid Goldfish Posted July 29, 2008 Share Posted July 29, 2008 My home insurance assigns a rebuild value of £70,000. I bought it for £120,000. Work that out. rebuild cost is always higher then the actual cost of building because it includes the cost of demolition and site clearnace the extra cost for rebuild on top of the build cost depends on the type of property detached is obviosuly the cheapest becasue noone else's house is attached to yours - semi detached costs more and terraced even more Quote Link to comment Share on other sites More sharing options...
Sheer Heart Attack Posted July 29, 2008 Share Posted July 29, 2008 (edited) rebuild cost is always higher then the actual cost of building because it includes the cost of demolition and site clearnacethe extra cost for rebuild on top of the build cost depends on the type of property detached is obviosuly the cheapest becasue noone else's house is attached to yours - semi detached costs more and terraced even more Thanks for that, newdman - you learn something new every day. Out of the £70,000, do you know how much would be set aside for demolition and site clearance? I am in a semi, btw. EDIT: It's a new development - house built in 1990 so no historic building here, if that helps with any estimate. Edited July 29, 2008 by Pacific State Quote Link to comment Share on other sites More sharing options...
Liquid Goldfish Posted July 29, 2008 Share Posted July 29, 2008 Thanks for that, newdman - you learn something new every day.Out of the £70,000, do you know how much would be set aside for demolition and site clearance? I am in a semi, btw. EDIT: It's a new development - house built in 1990 so no historic building here, if that helps with any estimate. I found a calculator on the internet once - I think I bookmarked it - so I'll see if i can find it Quote Link to comment Share on other sites More sharing options...
Concrete Jungle Posted July 29, 2008 Share Posted July 29, 2008 There you are! Who needs surveyors? What you trying to say? Quote Link to comment Share on other sites More sharing options...
Dead Spider Posted July 29, 2008 Share Posted July 29, 2008 Rebuild cost has little correlation to market value. You can have a three storey Victorian terrace in a very poor state of repair with a market value of say £120,000 but may have a floor area of 350 sq ms @ £1000 per sq m giving a rebuild cost of £350,000 (in very rough terms). 350 sq ms would be a massive terraced though . Average 2+1 up , 2 down , kitchen , bathroom is probably only around 60 sq ms afaik . Quote Link to comment Share on other sites More sharing options...
Bare Behind Posted July 29, 2008 Share Posted July 29, 2008 A standard Persimmon 3 bed house with intergral garage is 67k. If you were just going a basic site strip (vegetation etc.) would be 2k ish. To demolish an existing property can be up to 15k maybe more if asbestos is contained therein. Quote Link to comment Share on other sites More sharing options...
right_freds_dead Posted July 29, 2008 Share Posted July 29, 2008 A standard Persimmon 3 bed house with intergral garage is 67k. that kind of home was 90k before the boom. so thats still a decent markup. now theyd be asking the deaf for £220+ what kind of margin is that ? Quote Link to comment Share on other sites More sharing options...
Liquid Goldfish Posted July 29, 2008 Share Posted July 29, 2008 that kind of home was 90k before the boom.so thats still a decent markup. now theyd be asking the deaf for £220+ what kind of margin is that ? depends mainly on the cost of the land, I think Quote Link to comment Share on other sites More sharing options...
fluffy666 Posted July 30, 2008 Share Posted July 30, 2008 now theyd be asking the deaf for £220+what kind of margin is that ? Well, if you paid £100k for the plot.. the land owner gets a decent margin. A property crash is really a land value crash, the land value going down by much, much bigger percentages. Let's hope none of the big builders are sitting on land purchased at £100k/plot, soon to be £10k/plot.. Quote Link to comment Share on other sites More sharing options...
PropertyGuru Posted July 30, 2008 Share Posted July 30, 2008 this year I rebuilt a barn in France. Purchase cost last year for the ruin - 40,000. Total rebuild cost, 330,000 EU. (managed to keep it down below 1k per mtr sq, incredible as it may seem) Expensive? No. I just flipped it to a pair of Yanks for 700,000 There's one born every minute. Quote Link to comment Share on other sites More sharing options...
abharrisson Posted July 30, 2008 Share Posted July 30, 2008 ...build the same style house in South Kensington and in North Manchester...the main factor in the cost difference is the price of land....same house different location...it's all quite logical..... Absolutely right... in some parts of the coutry (not the best granted) you can buy a house for say £70k with a rebuild cost of over £100K.... in others like London for instance the same house might be worth £250k or more. Quote Link to comment Share on other sites More sharing options...
PropertyGuru Posted July 30, 2008 Share Posted July 30, 2008 did it have decking? nope. faux slate all the way to the pool. (10x4 meters) decking's basically 'rat motel'. Quote Link to comment Share on other sites More sharing options...
5lab Posted July 30, 2008 Share Posted July 30, 2008 Absolutely right... in some parts of the coutry (not the best granted) you can buy a house for say £70k with a rebuild cost of over £100K.... in others like London for instance the same house might be worth £250k or more. tis true, but labour is more expensive in cities. I think i remember a developer saying costs were split 3 ways, land, build, and connection costs (water, road etc) & profit Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.