UK - Inherited a property with development potential. How to sell?
January 17, 2013 1:42 PM Subscribe
I have recently inherited half of a property that has development potential and am looking for some advice on what to do next. Prior to this inheritance I have never owned a home or even managed to save a small deposit for a mortgage, so I have absolutely no experience of the property market.If all goes well, selling the property could set me and my fellow beneficiary up for life - we each hope to use our shares to buy our own homes mortgage-free! This is a once-in-a-lifetime opportunity for me and I'm anxious to get the best possible price for the sale!
posted by anonymous to Work & Money (4 answers total) 1 user marked this as a favorite
So, I'm currently renting and have no assets or savings whatsoever, and a little bit of debt too. My fellow beneficiary has a mortgage with their spouse for 50% of a home - a housing-association or somesuch owns the other half. Neither of us are used to having money and are completely unprepared for this situation.
About the property:
It's a large bungalow in about an acre of land. Estate-agents value it at about £240,000 as-is, with no planning permission. However, every estate agent we have spoken to talks about "development potential". So far, only one estate agent has come up with a proposal (destroying the bungalow and applying for permission to build 6 smaller ones, upping the value of the sale to £300k - the estate agent apparently has contacts with council planning and several interested builders). Another has recommended that we contact the council planning department directly and ask them to come out to see the property and give us an idea what sort of planning permission they might allow.
So, what's the best way to proceed from here? Is it wise to talk to the council myself, or should I speak to more estate agents? Should I approach developers directly? Should I seek independent advice, and if so, from whom? I'm completely lost and desperate not to screw this up!
(Just in case I wasn't clear enough above - I'm wanting to sell the property for development, not to fund a development and sell the end product. So I think that means I want to get planning permission and sell. But I'm not sure - which is why I'm asking for help!)
Many, many thanks!