Found A Plot. The Emotional Journey Of Letting Go...
Posted 12 March 2016 - 06:00 PM
Given its London, I was still optimistic, however over 5 estate agents have placed the final value at 775~900. Period properties with much larger gardens sell for 840+ (one outlier at over 900k fully spec). They say it's on the "wrong street" etc
The land value land value is circa 45%~55% of the final value given above.
I feel I have tinkered with the build cost to the point I see it as worthwhile.
SWMBO is indifferent. Neither for nor against (she is an architect so little interest in self build) but promises support and produce the drawings but will not be the one to say "go for it" as she says she is very aware of construction risk (costs, delays, shoddy workmanship etc).
Having spent everyday thinking through the details (where every duct should go etc), I wonder if I am blinded. Can't see the trees from the forest!
All the acquired knowledge, just to buy a normal house and get on with it.
From what I see at auctions, land in London trade speculatively, no planning yet selling at 30-35 realist GDV. All at a time when people are questioning London values.
I am planning to live there at least 3-7 years (working to school years assuming we get into the "right" school).
To the point that the CIL exemption and recent extra 3% on stamp seems to just about make it more appealing. We own one small flat for our pension.
Posted 12 March 2016 - 06:10 PM
I am at the other end of the spectrum, aiming to build my house for no more than £1000 per square metre, achieved, I hope, by a lot of hard work by me and not employing workers unless I have to. Would that be a way to "make it work"?
Edited by joiner, 13 March 2016 - 07:35 AM.
"spectrum" for "spectum"
Posted 12 March 2016 - 06:46 PM
London is probably the most vulnerable market to changes after Mr Osborne's coming tax clobbering of LLs, but may have the strongest market of people wanting to owner-occupy. Impossible to predict reliably.
Posted 12 March 2016 - 08:55 PM
Self build, you can take that third for me and plough it back in. You wont really realise a much higher value at the end, but you'll have a higher spec house than a barrattbox. You'll then get into negatives if you want to spend any more on it but ask yourself; is that an acceptable cost of getting what you want?
People have grown accustomed to the idea that house always increase in value, and pouring all the blood sweat and tears into a place means a profit must be made on it in the end. Yet the 30 grand Audi on the drive will be 10 grand in 3 years, and 5 grand in 5 - but you get 25 grand's worth of utility and status out of it over the 5 years, right? So, it was worth it, right? Maybe spending an extra hundred grand on the perfect house and living in it for 7 years so the kids get into the good schools and you have a great quality of life is perfectly worth it even if that money is a total loss come sell time
Your call - how much do you have to exit this build with cash in pocket if you sell?
Next question: how much time do you have? How much do you feel like you need something in your life that soaks up all your time, all your money, and is a near never ending source of stress, @!## and hassle? No.. I'm not talking about having a baby
If you really have a good 4 days worth of spare time in your week (4 hours after work of an evening and a day or two at the weekend) then go for it, and do a load of it yourself (it's fun). If you've just had your first child, are wondering about having a second, etc don't touch self build with a pole.. If the kids are in school and you can do 10 hours a day 4 days a week then maybe think about it. If they're in secondary school and are eager, willing and helpful, and you're between jobs and looking for something to do then jump on it..
Try not to think about the project from a monetary point of view - the end dollar cost can be varied.. Think of it in terms of what it costs you in loss of free time, family time etc. If as Dave says it's turnkey, then you don't lose that as much, and you aren't so knackered, battered and weary but mentally you can still end up worn out from deciding everything.
Edited by cjard, 12 March 2016 - 09:13 PM.
Posted 13 March 2016 - 12:11 AM
I won't be doing any work myself but will have to organise and manage subcontractors.
Posted 13 March 2016 - 10:12 AM
Have you thought about a turnkey solution from "package houses" ? I understand that since we are in a self build forum, most people here go for the do it yourself motto and try to spend as less as they can and do most of the work, but as cjard said above, sometimes if you are too busy of a person (like me for example). I just don't have the time to manage everything, with my self build project I went with a full turn key solution instead of having to do all the other bits. You will spend more but in the end it will be less stressful. Well, to be honest I am already going nuts with the boss (wife) when it comes to picking all the finishes , so forget about the less stressful part haha