Premium for largest townhouse in the complex?

[antonio061]

Hello,

I am looking at a townhouse in a complex of 20 odd townhouses. The particular townhouse I am looking at has a very large courtyard compared to all the others as it is on the edge of the complex.

From past sales, other townhouses in that same complex have been selling for $300-330k but the total amount of land is about half that of the townhouse I am interested in. The interior of the townhouses are all around the same size, however the courtyard is much much larger than all the others.

My question is, how much of a premium would you expect to pay for this extra land? What would be a fair price?

Thanks in advance for your help.

(P.S. I hope I've posted this in the right forum. Please move if this is the wrong place).

 

[GoAnna!]

Is this PPOR or ip?

 

[DavidMc]

I usually try to separate the price into 3 components:

Land + Cost to build + 'Wow' factor

Try that as an exercise, see what you find.

 

[antonio061]

First home buyer so PPOR for the first 6 months, then an IP

Ok so in terms of dollars what is the wow factor of having your courtyard 100 or so sqm bigger than all your neighbours?

 

[GoAnna!]

A couple of things to think about.

Will it rent for a cent more? (speak to local PMs)

When being revalued by the bank will they take your increased land into consideration when they value it on purchase/ revalue it down the track?

If you could get it for the same price as those with smaller land then I think it could be a good deal. I would want to be careful paying much over the other properties as this difference may not be appreciated by others down the track unfortunately.

Don't trust anything I have said above. Check it out yourself with local agents etc.

 

[DavidMc]

First home buyer so PPOR for the first 6 months, then an IP

Ok so in terms of dollars what is the wow factor of having your courtyard 100 or so sqm bigger than all your neighbours?

Have you figured out the land price difference yet?

Is the house price the same?

 

[lizzie]

all with what goanna said - but also, what do people in the area want to rent? what type of renters are they? what lifestyle are they after?

100m2 extra is a lot of yard to look after if you're a professional couple, two uni students or older.