Before You Buy That Plot: 8 Things You Should Know First
Finding a plot of land can be exciting, but buying land with the hope of building on it is very different from buying a house.
Although a plot might look perfect on paper - whether is has incredible countryside views, an old building that looks ideal for conversion, or an attractive price - it may also come with planning restrictions, site constraints, access problems, or hidden costs.
Before committing to a purchase, it is worth doing some research first. To help you with this, here are 8 things you should know before you buy:
1) Planning Permission - Don't Assume You Can Build
Just because a plot looks suitable for development, that does not mean that planning permission will automatically be granted. Its planning history, location and local planning policies will influence what may be acceptable (if anything). For example, a plot with an existing building on site will likely be viewed very differently from an isolated plot.
It is vital to first ask whether the plot already has planning permission. Existing permission can be greatly beneficial; however, it is important to look carefully at what has actually been approved. Bear in mind that the approved scheme may not match what you had dreamed of, or suit your needs, and changing its appearance, size or position would likely require a new application.
It is worth having an architect review the site prior to purchasing it; here at Woodward Smith, we can assist by reviewing the site, its planning context and its potential for development, to give you a clearer idea of what may be achievable.
2) Know the Site Constraints
Some constraints are obvious when you look at a site; other are much less visible.
Examples of constraints that may affect the plot include:
- Flood risk or being located within a Critical Drainage Area
- Ecology
- Heritage considerations (eg. listed buildings nearby or being located within a Conservation Area)
- National Landscapes
In North Devon, these considerations are particularly important as the historic environment and landscape are a large part of what makes the area so special.
Although these constraints can influence the scale, design and type of development, they do not necessarily mean that the site cannot be developed. It means that the design must respond carefully to its surroundings.
3) Check If Access to the Site Is Feasible
It is important to consider both physical access AND legal right of access.
Even if a site has a gateway or driveway, it does not automatically mean that access is straightforward. Some questions to ask include: Can vehicles safely enter and leave the site? Is the access wide enough? Is the visibility sufficient enough? Will emergency and construction vehicles be able to reach the site?
Many rural sites in North Devon will have narrow lanes and highway requirements which can have a big influence on whether a development is viable.
As well as this, it is crucial to establish who owns the access and whether the necessary rights are included with the land. If access crosses land owned by someone else, it is important to confirm that the legal rights are sufficient for the proposed use. These issues can quickly become complicated and expensive to resolve if not picked up on before purchase.
4) Check for Covenants and Restrictions
Planning permission is not the only thing that can determine whether you are able to develop a plot; the land may also be subject to restrictive covenants or other legal restrictions, which affect how it can be used.
A restrictive covenant is a private legal obligation attached to the land. It may restrict certain things such as construction of additional buildings, limit the number or type of dwellings that can be built, require consent from another party prior to any development taking place, or control how the property is used.
It is important to note that obtaining planning consent and establishing that a development is acceptable from a planning perspective does not automatically override a covenant.
Before purchasing a plot, it is crucial that your solicitor reviews the title and associated documents to establish whether there are any restrictions or covenants. If anything is identified, understanding this prior to completing any purchase can avoid any significant problems in the future.
5) Check the Available Services
The most important services to consider include drainage, water, electricity and broadband.
These services are easy to take for granted as they are expected when buying an existing home, but on an undeveloped plot, providing them can have a big impact on the overall cost of the project.
It is likely that you may need new utility connections, as well as improved infrastructure, which may not be a simple or inexpensive process. One of the most important services to consider is drainage. Even if neighbouring properties have services, do not assume that connecting your potential development will be straightforward.
Understanding these issues early will help you gain a much clearer picture of the true cost of developing the site.
6) Understanding the Ground Conditions
From poor ground conditions and contamination, to sloping sites and unstable land, any of these factors can add to the complexity and cost of the project.
Challenging sites can often lead to come of the most interesting architectural solutions, but the potential difficulty and associated costs need to be understood from the start.
It may be greatly beneficial to seek advice from specialists who can undertake the relevant investigations and surveys, before proceeding too far.
7) Cost It Before You Commit
The most important thing to note is: A relatively inexpensive plot does not always equate to an inexpensive project.
The purchase of the land is only the start; your overall budget must account for professional fees, planning and Building Regulation fees, construction costs, utility connections, drainage and landscaping works, as well as any site-specific factors such as demolition work or restricted access.
VAT should also be considered from the outset. Depending on the nature of the project, how VAT can apply may differ. For example, constructing new dwellings generally means there is no VAT on build costs; similarly, if you are converting an agricultural barn to residential use, VAT costs apply but are reduced from 20% to 5%.
Professional fees and other costs will normally still be subject to VAT, so therefore it is important to have an understanding of what VAT is likely to apply to your project when establishing your project budget.
It is not necessary to have every single detail resolved prior to purchasing a plot, but it is extremely useful to have a solid understanding of what you budget should be, and the likely scale and cost of the project
8) Get Advice Before You Buy
It is highly valuable to get professional advice before legally committing to the purchase.
Depending on the site and nature of your proposed development, you may need advice from a range of professions, including an architect, ecologist, civil engineer or a topographical surveyor. Seeking the right advice early can help identify potential issues before they become costly problems later in the project.
Your solicitor is also a key professional to seek advice from. They can review the legal title deeds to the land and help establish matters such as ownership, rights of access, boundaries, covenants, and other legal matters
Found a Plot and Not Sure What to Do With It?
At Woodward Smith Chartered Architects, our team can help you look beyond the attractiveness of a plot and consider the bigger picture. We can review the site, consider its planning context and constraints, and help you understand what its potential may be before you take the next step.
Sometimes, the most important decisions about a project are made before you even own the land.
Contact us today to arrange a free meeting on site with our Director and discuss your potential project!
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Woodward Smith Chartered Architects
6 Tuly Street
Barnstaple
Devon
United Kingdom
EX31 1DH
