Determination of purchase price for land with old building

Is it now ready for demolition (= junk) or just in need of complete renovation? Straw and wooden floorboards are normal for the year of construction. If the structure is good, the house can definitely be worth something depending on the location. The illegally built part is value-reducing. In the case of renovation, that part would have to be torn down, and I would deduct those costs. If the house is genuine demolition junk (everything wet and musty, roof broken, cracks in the masonry, etc.), I would roughly calculate the BRW minus the demolition costs or realistic current land values if they - as in many areas - differ significantly from the BRW.

I can only speak for myself: A beautiful old house with good structure is definitely attractive to many. It was not built with questionable materials like in the 60s-70s, and you can fix it up again. The plot has a nice size and is in a fairly good location. Certainly, the house looks pathetic at the moment. But from such houses, you can make real gems, provided the structure is still good.

Then he made a mistake by selling you the plot of land too cheaply. Is it the same person?

Yes, it is the same seller!

Then he sold the 1st plot significantly below value? Does he work at the bank, like the stock market ads on TV? Sorry, but if I sell something like that, I deal with the matter and check the value.

He can’t state the living area as value, since there is no living space (ready for demolition is not living space to me) and besides, 208 sqm living area + plot would then be significantly more expensive? An apartment for 800k? Somehow the numbers do not add up for me at all.

Unless your land prices are very high and he already deducted the demolition and sold the 1st plot way, way too cheaply. What is the price per sqm for you?

I would say that the 1st plot was market-appropriate. He definitely works at a reputable bank, I called him there several times.

The 800k are for the entire building, consisting of 3 apartments with a total of 280 sqm living area.

I think he is aiming for the same..

Tell him the values from his tool are not applicable, since the house no longer has any value, in fact it depreciates it.
Either he realizes that or not.

I did that; what’s strange is that he doesn’t tell me exactly what he calculated there. Only that he wants to achieve at least 150k.

Is it now ready for demolition (= junk) or just completely in need of renovation?

He told me that a renovation probably wouldn’t be worthwhile, but that the whole building is ready for demolition.

However, I had someone with me during the viewing who said the foundation walls are absolutely great and you could even remove the roof and add a floor as well as renovate etc.

well, the housing complex is new and he has a junk house on it^^

my new Audi is also not comparable to the 20-year-old Opel of the neighbor

both have an engine and 4 wheels yet still different^^

some guys come up with ideas

just tell him your price

a

well the housing complex is new and he has a junk house on it^^

my new Audi is also not to be equated with the 20-year-old Opel from the neighbor

both have an engine and 4 wheels but still different^^

some guys get ideas

just tell him your price

It was just my assumption.. He didn’t say anything like that!

I already told him my price. But he "defends" his price expectation with his dubious real estate tool that he has at work...

Either you meet somewhere in the middle on price or not.

If he continues to insist on his price, I will thank him for contacting me beforehand and wish him good luck with the sale!

Do you want to build on the plot of land you purchased? Above you write, no? All just garden?

I don't think you will reach an agreement there. The property is too valuable as a garden (others are happy about the property for renovating or building) and too expensive.