How much is land worth when it has planning permission?
When it comes to selling a plot of land, the two priorities are getting the right price and a fast turnaround.
There are many tips for maximising the success of your sale. While it can make a difference to the value of the land, there are numerous caveats and drawbacks that you should be aware of.
Does gaining planning permission on my land add value?
With planning permission in place, your land may go up in value. However, the amount the value increases depends on various factors.
The location of the plot
The extent of the development covered by the permission
What type of property the permission involves
When the permission was obtained
The type of planning permission you get
Generally speaking, any additional value gained via obtaining planning permission will be limited to more urban areas. Other areas of the UK may not see as much benefit.
It is difficult to give precise figures of an 'average' increase in value brought by planning permission. In many cases, it is simply about getting the plot's value to the desired asking price - or even just close to it.
With that in mind, obtaining planning permission can be a very time-consuming and expensive process and has the potential to leave you more out of pocket than simply selling the land without it.
So how can you benefit?
Naturally, you are going to need a sufficiently-sized piece of land to sell. This might be simple if you live in a country home surrounded by open land. If you have this land and don't know what to do with it, you could convert it into a healthy cash amount by selling the land to a developer, although obtaining planning permission for land in the countryside or outside of the nearest village or town can be extremely difficult.
You should be aware that the amount you will receive may be less if your land is not an urban area with surrounding infrastructure. Examples include London, Oxford, Cambridge or Belfast. The amounts involved for land outside of areas such as these may be smaller than land within them.
The more urban the area your land is located in, the more challenging the planning process will be, but the rewards have the potential to be higher if handled correctly.
Developers are extremely busy and always on the hunt for maximum profit. A large plot of land located in a built-up, urban area will be an attractive proposition. The surrounding infrastructure would enable a land developer to begin construction more swiftly, and this is a luxury they will be prepared to pay for.
Not only that, but the demand for what you have will be high, so you should receive attractive quotes if you make an enquiry with a land developer.
Get expert help
At NFC Homes, we have in-house planning, legal, surveying and construction experts. This enables us to deliver a high-quality service to our clients. We have carved out a reputation for delivering projects in a timely fashion and keeping to tight budget requirements.
In our almost 20-year history, we have delivered well over 1,500 new homes and commercial developments around the country. You can put your faith in our expertise and ability to deliver results.
If you're currently in possession of any land you'd like to sell, please contact us - our friendly team would be pleased to hear from you to arrange a free, no-obligation quote.