Hi Everyone,
This is our situation. We have bought a development site with a steep slope and want to buy our neighbours property because it would make access a lot easier, reduce the overall building cost and make building the whole project a lot easier. Our neighbours have put their property on the market for twice the price knowing that we are interesting in buying it for the above reasons.
Our problem is that we could pay a similar price to the site we just purchased which is market value but don’t have the funds for twice the price. I thought maybe we could do a JV and give them a townhouse for exchange for their land but they said it would be too complicated. Only other thing I could think of was to negotiate a lower price, try and do a delayed settlement and terms, maybe balance upon completion of development when we would have excess funds. Does anyone else have any ideas.
Many thanks
archiZENGet somebody else to go in and negotiate for you – but don’t tell the owners that’s what the go is.
See if they can assign the contract to you (can be done, but generally must be sorted before contract exchange).
Tell the owners you are not willing to pay the price they are asking as it’s not viable for you. Tell them the price you are willing to pay.
Perhaps get your ‘friend’ to offer them a lower price. If you are cashed up and can offer a quick settlement, use that. if not, look for other sweeteners that the ‘friend’ could use for a sale.
Cheers
MelOriginally posted by melbear:Get somebody else to go in and negotiate for you – but don’t tell the owners that’s what the go is.
See if they can assign the contract to you (can be done, but generally must be sorted before contract exchange).
Tell the owners you are not willing to pay the price they are asking as it’s not viable for you. Tell them the price you are willing to pay.
Perhaps get your ‘friend’ to offer them a lower price. If you are cashed up and can offer a quick settlement, use that. if not, look for other sweeteners that the ‘friend’ could use for a sale.
Cheers
MelSound advised, agreed!
Kind regards
Chan Dollars
[Retire Young, Retire Rich] [strum]Archizen,
I like that advice Mel.
If a friend or family member doesn’t feel comfortable to do this, maybe a buyers advocate may be able to achieve the same result. Assigning would not be in play in that situation, however, you could purchase through a trust or other legal entity.
James
There is one problem. If you don’t act fast enough then you might loss the property that you want. If it sold then the opportunity won’t be there for you for a long time.
Kind regards
Chan Dollars
[Retire Young, Retire Rich] [strum]Hi everyone,
Many thanks to you all especially Mel. Will take your advice onboard and let you know how everything works out.
regards
archiZENHi there
As previously suggested use a friend to go in and negotiate for you. WHen they are getting the Contracts signed up they just have to add
“or nominee” as the purchaser, then they can assign it to you prior to settlement.
Worth looking into with some legal advice, also will save OSR double duty…. this is NSW advice.allison (Licensed Conveyancer)
allison
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