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I want to approach my neighbour to buy his garage so that I have a double garage, they are in a seperate block in a row of ten..anyone know how to value it etc...
Find out what the rental rate is for garages in the area. Often advertised in local rags. Then pick a multiple to come to a capital value. Id go for some thing like 10% i.e. 10x rent (1/10%).
TBH though your neighbour wont know how much its worth anyway, so just pick a number.
I did manage to find on a car forum...they reckoned monthly rent x 60 so £25 ish per month (not a high demand area as plenty of parking)therefore purchase price would be circa £1500....sounds about right, will prob ring an estate agent in the morning
gulp - garages around here are £150 a month minimum and I have seen a garages in the posh suburbs sell for £30 000! very short supply as most of Edinburgh was built pre car
I bought a garage for 13k. Its the most expensive cupboard I own. 1k of it was the conveyancing..
€32,000 for a garage here in Den Haag, excluding 10% buyers costs ( 6% stamp duty )
I bought a parking space for €7,500.
bloody hell, the garages round my way are £25-330.. but then again parking spaces are not rare. 1 grand for conveyancing thats a bit steep...blimey
You should be able to do the conveyance for a few hundred. You might even fancy doing it yourself since the risks associated with getting something wrong arent necessarily that high and you'd learn something.
monthly rental multiple of 60 implies a yield of 20% 1/(60/12) which I would call a bit soft. and be looking closer to a monthly multiple of 100+. But it will depend on the quality of the fabric of the building, any service charge or ground rent payable and of course the local market.
I have done lots of valuations around TJ's figures in London before. Surprisingly expensive luxury, a garage.
If your local rents really are closer to £30 per month, then Id budget 30*12*(1/15%) = £2,400 + £100 if you do searches and land registry stuff yourself, or a few more £100s if you pay a solicitor.
I did this last year, its pick a number and see how they feel really, put yourself in their shoes and see what you would be happy to accept! I paid 6k in the end (no power and i already owned the one next door)
Firstly ensure its your neighbours garage to sell.
Earlier this year, put a new door and frame in a garage that was one of two, no problems, then a few weeks latter went back to replace the facias, the neighbour came out, and asked what i was doing to her garage, i explained i was working for the owner of the garage not her, she said she owned it, so work stopped while both neighbours argued, it had to go to a solitor, and he found that both garages had been built illegally on land owned by another neighbour,(this dated back 15 years) who has now banned vehicular access to the garages and land.
can't you just look on right move and see how much garages in the area are selling for?
Round here (Brighton) even in the non-parking-in-demand-areas, you're looking at £10k
can't you just look on right move and see how much garages in the area are selling for?
Round here (Brighton) even in the non-parking-in-demand-areas, you're looking at £10k
Garages can be nuts prices, in Bath, where parking is at a premium, IIRC my parents paid circ £25k for one ... and that was at least 8 years ago. Still, if it's worth it to you, then you can always rent/ sell etc later...
You should be able to do the conveyance for a few hundred
Indeed, but it's often not straightforward. Not if you insist on buying freehold which was caught up in the leasehold of a block of flats and about 6 interested parties, none of whom could agree about who owned what..
I would have bought leasehold but the lease only ahd 17 years to run and despite the owner trying to persuade me that renewal would be easy I (well my solic) quickly discovered about the 5 other interested parties and a whole load of shenanigans. TBH I didn't mind as the one opposite sold for 22k the year before we bought ours so we were actually expecting to pay 25k not 13..
Also we have since been offered 75k per plot on the 4 garages here as a developer wants to build flats, although 50% of the reason we bought the garage was because we guessed this was coming and we either want to own to protect the area from this happening, or make a profit if it does..
mmm cheers for the advice,,, think it may be more hassle/cost than its worth just for the extra luxury
If you don't ask.....you'll never know.