Does land size matter?

[popo7]

Hi guys,

Just wondering if 40 square metres of land will make a huge difference in price of a property. There are three townhouses lined up - two have a land area of 225 square metres and the middle one is 185 square metres. All three have common walls. I was wondering if all three townhouses will roughly be of same value.

Kind regards,
Jo

 

[Danieljk101]

I think you will find the 2 side ones have wasted land at the sides. The actual townhouse, front and back yards will be equal. I don't think this will affect the price at all.

 

[popo7]

Thanks that's what I thought especially when the building area is of the same size. I just thought some people placed an emphasis on area per square metre with price.

 

[Rixter]

Ultimately its the demand for the property that will determine value.

 

[Loony]

the 2 open end one worth more, not only because of the 40m2 land size but the windows on the open side.

if the open end looking out to open space/parkland then again it worth more.

 

[westminster]

Hi guys,

Just wondering if 40 square metres of land will make a huge difference in price of a property. There are three townhouses lined up - two have a land area of 225 square metres and the middle one is 185 square metres. All three have common walls. I was wondering if all three townhouses will roughly be of same value.

Kind regards,
Jo

Generally the front will be worth the most, then the last then the middle, simply because it has more common walls and less window area.

 

[popo7]

The two townhouses do not have windows to the side but I see that they do have less common walls.

 

[Deltaberry]

Yes that's 20% larger

 

[wombat777]

The two townhouses do not have windows to the side but I see that they do have less common walls.

Townhouses in the middle of a block of three have better security, and privacy which can be an advantage in some areas. I lived in a townhouse like this for 12 years and liked this aspect of it.

It was a pain for gardening though as I had to take the lawn mower up a step and through the laundry.

 

[ej89]

You'd probably be buying the middle one for a cheaper price for the same rent as the other two..

 

[popo7]

Yes that's 20% larger

But the building size is the same (living area). It is only the courtyard that is 40sqm smaller. However, it doesn't appear smaller because the other two townhouses have a narrow walkpath to the side as a another entrance connecting to the courtyard so it is kind of a wasted space.

Based on this scenario, does the extra 20% land size make a difference in purchase price?

 

[jerrybee]

It depends on the relative difference doesn't it.

A 50sqm apartment is going to be infinitely less desirable than a 100sqm apartment.

But the difference between 180sqm block vs 220sqm is much less.

 

[sanj]

But the building size is the same (living area). It is only the courtyard that is 40sqm smaller. However, it doesn't appear smaller because the other two townhouses have a narrow walkpath to the side as a another entrance connecting to the courtyard so it is kind of a wasted space.

Based on this scenario, does the extra 20% land size make a difference in purchase price?

40sqm more of courtyard in a city like perth is quite desirable imo, unless you're saying the actual usable courtyard isn't much smaller on the middle one

 

[Deltaberry]

But the building size is the same (living area). It is only the courtyard that is 40sqm smaller. However, it doesn't appear smaller because the other two townhouses have a narrow walkpath to the side as a another entrance connecting to the courtyard so it is kind of a wasted space.

Based on this scenario, does the extra 20% land size make a difference in purchase price?

Yes it does.

 

[popo7]

Yes it does.

How much difference would it make on the price??

 

[sanj]

How much difference would it make on the price??

It's impossible for anyone to give you a specific answer.

40sqm is worth a lot in say highgate but not so much in armadale

 

[popo7]

Thanks for the reply. I guess land value depends on the location and size. So if the property was in highgate or mount Lawley how much you reckon an extra 40 sqm of court yard space add to the value of the property ??

 

[Ausprop]

an extra 40sqm of courtyard space is a huge difference

 

[Deltaberry]

I'd probably pay 15-20% more. That 20% could be worth a lot to someone especially neighbours. 50sqm is enough to build an inner city townhouse.

Not sure about Perth but in Melb's inner city ring if I build one for 250k I sell for 900k if not $1.3m in some spots. The kind of sites I like.

 

[westminster]

But the building size is the same (living area). It is only the courtyard that is 40sqm smaller. However, it doesn't appear smaller because the other two townhouses have a narrow walkpath to the side as a another entrance connecting to the courtyard so it is kind of a wasted space.

Based on this scenario, does the extra 20% land size make a difference in purchase price?

Do you mean 40sqm of courtyard or just 40sqm of landscaping which is the 1m side setback down the side of the house.

Actual courtyard space is worth $$, space down the side of the house is generally only worth money for natural light and ventilation.

I'm probably going to stick with my original anyway. Front gets most money, then back then middle.