Land Plots

[IP Newcomer]

I'm still looking in Estate Agents windows and I've noticed a trickle of land plots being advertised. Is it just me, or are they coming on to the market in other parts of the country?

[EmpiricalBear]

I subscribe to plotsearch.co.uk (3 counties). There definitely seem to be more developer style plots for multiple houses coming on. Of course, of no interest to me, too expensive. But there are also 1 or 2 reasonably priced single house plots appearing in one of my key areas. Still not right, but definitely better than a year ago.

Rightmove also has land, but not much of it.

We should expect to see more developer style plots as new property seems to be heading down a bit.

[Adam]

I'm still looking in Estate Agents windows and I've noticed a trickle of land plots being advertised. Is it just me, or are they coming on to the market in other parts of the country?

I'm thinking about building my own house when the cycle reaches its low. Bring on the cheap plots!

I hope they come down as the value of the house you *could* build on them decreases.

Is this the best way to get your "dream" home?

I'm not planning on building it myself btw.

[Maynard]

There hasn't been a great deal around the last couple of years, but I seem to be noticing more on the market at the moment.

I don't know if it's because people who were going to develop are getting cold feet and are opting to sell the land instead of building a house then selling it.

There are a couple of new builds around my area which have been built and put straight on the market at ludicrous prices.

One such has been lying empty for months. 3 bed chalet det bungalow priced at 275k (east kent). The builder hasn't even made it look tidy, all overgrown weeds on the driveway!

I'm thinking about building my own house when the cycle reaches its low. Bring on the cheap plots!

I hope they come down as the value of the house you *could* build on them decreases.

Is this the best way to get your "dream" home?

I'm not planning on building it myself btw.

I'm also looking to do the same in a year or two. My dad has done a couple of self-builds (brickie by trade). I've grown up living in temp accommodation (a caravan on site!).

It's definately the way to get your dream home. You can design the house to meet your needs. Have what you want where you want (finances pending).

My Dad was 26 when he done his first self build, he has challenged me to beat him on age (i'm 21 at the mo). I'm in the industry (Q.S by day), so finding subbies isn't a problem.

Best of luck Adam, i would definately say go for it!

[BandWagon]

I'm thinking about building my own house when the cycle reaches its low. Bring on the cheap plots!

I hope they come down as the value of the house you *could* build on them decreases.

Is this the best way to get your "dream" home?

I'm not planning on building it myself btw.

The price of land falls faster and harder than the price of houses.

In the 90's houses fell 30%, land fell 70%.

This is already starting to happen as builders pull out of deals where they were going to bulldoze a house and build apartments, but the premium they were to pay for the land no longer makes sense.

When plots are cheap it may be worth getting one of those German companies to build.

It's time some of the local builders started to feel the effects of outsourcing, they've been very nicely cushioned from it during this boom.

[Realistbear]

I have been watching a plot of land in my area (near Evesham, West Midlands) and saw that it was cleared and levelled several months ago. Just this past week it came on the market for sale by auction. Seems that someone started to think about building and noticed that there were still 10 homes for sale (after months of sitting unsold) on the same street including 4 period cottages, and realised now is the worst time to be investing in property.

A definite sign of collapsing confidence.

[Dames]

I also subscribe to Plotsearch and Plot finder and there is definately an increase in ' Developer ' plots over the last 6 - 12 mths.

Dames

[EmpiricalBear]

The price of land falls faster and harder than the price of houses.

In the 90's houses fell 30%, land fell 70%.

This seems logical as the price of land has also rocketed up faster than houses IMHO. But can you substantiate these figures? Apart from anecdotal evidence, there seems to be no way to get hands on any stats. Perhaps plotsearch will have some soon?

I keep meaning to collect my own plotsearch stats but havent got a round tuit.

[Fudge]

I'm still looking in Estate Agents windows and I've noticed a trickle of land plots being advertised. Is it just me, or are they coming on to the market in other parts of the country?

I have also noticed this, by rights these should be snapped up

[rjw8652]

Great news if this is true. I would dearly love to do a self-build as well. Hopefully sit out a good chunk of the market decline with a plot of land ready to go when the time is right. The wife is already giving me earache at the prospect of 3-4 years renting while the market sorts itself out.

Outsourcing would be given an even reather impetus by using a timber frame package bought in from overseas (e.g. the US) where this method of building is more prevalent. Although there's not a lot in the final price compared to traditional build, the better energy efficiency of timber-frame starts paying for itself from day 1.

John

[Guest muttley]

There seems to be more land advertised on auction sites too.

http://www.roypugh.co.uk/auctions/list.x?a=20051207

Lot 12 on this auction site was originally cleared by a developer and advertised as "A development of luxury appartments".

Looks like there weren't many takers.

[Dames]

Great news if this is true. I would dearly love to do a self-build as well. Hopefully sit out a good chunk of the market decline with a plot of land ready to go when the time is right. The wife is already giving me earache at the prospect of 3-4 years renting while the market sorts itself out.

Outsourcing would be given an even reather impetus by using a timber frame package bought in from overseas (e.g. the US) where this method of building is more prevalent. Although there's not a lot in the final price compared to traditional build, the better energy efficiency of timber-frame starts paying for itself from day 1.

John

Why buy now and sit on it?

The cost of building a house has barely changed over the last few years and isnt likely to get anymore expensive in real terms over the next few.

It's the land you have to wait for not the cost of building it. IMHO of course

I've already seen one plot on my watchlist reduced from £140k to £120K after so say being sold then put back on the market.

My time will come , in the mean time I'll just keep stashing the cash and looking for a decent plot in the right place.

Dames

[Catch22]

I'm still looking in Estate Agents windows and I've noticed a trickle of land plots being advertised. Is it just me, or are they coming on to the market in other parts of the country?

yep loads in todays Yorkshire Post property section, single and multi, it is yet more evidence property is headed down. Many with land and planning consent would rather dump it at todays prices than build on it, for obvious reasons.

Example advert: 5 min Doncaster city centre....planning 30 residences...owner requires 25% deposit but can provide 100% funding of all costs building and legal

Only suckers are buying this dead cat bounce.

Edited November 26, 2005 by Catch22

[leefam83]

Great news if this is true. I would dearly love to do a self-build as well. Hopefully sit out a good chunk of the market decline with a plot of land ready to go when the time is right. The wife is already giving me earache at the prospect of 3-4 years renting while the market sorts itself out.

Outsourcing would be given an even reather impetus by using a timber frame package bought in from overseas (e.g. the US) where this method of building is more prevalent. Although there's not a lot in the final price compared to traditional build, the better energy efficiency of timber-frame starts paying for itself from day 1.

John

I also have been waiting for a plot for years, I've visted Potton homes nr Cambridge twice. Their designs's are really good and priced well. I'd appreciate your input ref the American ones so as to compare. Their website also has a great virtual tour . Check it out.. http://www.potton.co.uk/sb/showcentre/milchestervtour.htm

I will still wait a year before buying though

[homeless]

There seems to be more land advertised on auction sites too.

http://www.roypugh.co.uk/auctions/list.x?a=20051207

Lot 12 on this auction site was originally cleared by a developer and advertised as "A development of luxury appartments".

Looks like there weren't many takers.

ahh muttley we frequent and watch the same places thats the plot on the side of cumberland avenue.they bought and knocked down the old house.I was wondering what was going on with that, like you say they were gonna build and then nothing.just shuttered it off with the usual 1/2 bedroom flats development sign.

i wonder what happened there, i think reading the sign its chelmsford homes or something, dont know if there a plc, if there ltd company will have a moozie over to companies house and check them out.

I wonder who else is here from the fylde coast, or even manchester/liverpool ct.

why dont we all meet up for a northern meet in the number 3 or something.

no shortage of cheap hotels here for the out of towners.

And the pubs are open here till 4am now !!!!!!

Edited November 26, 2005 by homeless

[Guest muttley]

ahh muttley we frequent and watch the same places thats the plot on the side of cumberland avenue.they bought and knocked down the old house.I was wondering what was going on with that, like you say they were gonna build and then nothing.just shuttered it off with the usual 1/2 bedroom flats development sign.

i wonder what happened there, i think reading the sign its chelmsford homes or something, dont know if there a plc, if there ltd company will have a moozie over to companies house and check them out.

homeless,it's Chelford Homes.

http://www.chelfordhomes.com/

[Carabansity]

We have some land we are going to self build on eventually. However for the last few years finding a local builder was impossible as they were all 'property developers', busy flipping houses with a minimum makeover. I think I will wait another year for when they are desperate for work and cheaper!

I too have noticed plots being prepared but not built. A big development of 2 bed flats on Victoria Road in Morley, cleared the site and put up advertising signs in September, sign gone and weeds have greened the site again in late Nov

p.s. Anyone using Plotfinder, etc. Are there any decent plots in the Morley/Batley area? I had a chance to look a year or so ago and there was almost nothing in West Yorkshire let along anything in my small bit of it.

[Dames]

Well well , the featured plot on plotsearch is just what were talking about.

http://www.buildstore.co.uk/findingland/plotoftheweek.html

[BandWagon]

This seems logical as the price of land has also rocketed up faster than houses IMHO. But can you substantiate these figures? Apart from anecdotal evidence, there seems to be no way to get hands on any stats. Perhaps plotsearch will have some soon?

I keep meaning to collect my own plotsearch stats but havent got a round tuit.

Fred Harrison explains it far better than I can.

From an interview with Moneyweek:

...Classical economists such as Adam Smith thought that because the supply of land is one of the few things that is by nature finite, it is land that ultimately determines our economic fate. So while we talk (endlessly) about investing in “bricks and mortar”, it is in fact the plot underneath the house that really makes the difference. In fact, the price of land is the best leading indicator we have of the state of health of the economy.

Look at what has happened to prices since 1979. In the Nigel Lawson boom/bust of the late 1980s and early 1990s, the price of new houses rose by 300%, but the price of raw land rose by 1,000%. Then both turned down, ushering in a recession that hit bottom in 1992. Then from 1993 until Gordon Brown moved into the Treasury in 1997, house prices stayed on an even keel. But while house prices subsequently escalated to an annual increase of 25% at their peak, the price of land launched into the stratosphere. Land prices have risen an extraordinary 1,700% since 1979.

http://www.moneyweek.com/article/1346/inve...using-boom.html

If you're further interested I would recommend reading Boom Bust 2010, about £17 from Amazon.

Edited November 26, 2005 by BandWagon

[IP Newcomer]

So while we talk (endlessly) about investing in “bricks and mortar”, it is in fact the plot underneath the house that really makes the difference. In fact, the price of land is the best leading indicator we have of the state of health of the economy.

Shouldn't we really be LandPriceCrash.co.uk ?

[rjw8652]

Re;Msg12

Dames,

Sorry for my lack of clarity. What I meant to say I was that I am waiting for the land price to drop before buying. As for building costs, these do go up in time, with increases in labour and materials.

Cheers,

John

[MarkG]

As for building costs, these do go up in time, with increases in labour and materials.

No need to worry about labour costs rising when you can ship in cheap builders from Poland.