Property including a parcel of land

5 Replies

I am looking at purchasing a property just outside of Boston MA. It is a 3 family unit with 2 bedrooms per unit. It also includes a parcel of land. Does anyone have any experience on how beneficial that could be? From what our realtor has told us we could build on it or we could eventually sell the land.

Any thoughts, things to look out for etc...

Thanks!

You need to inquire if the parcel of land and the existing building are  separate parcels with a separate address. If not, you would need to check zoning if you can add additional units to the existing parcel or see if you can split the plot into two parcels and check what the zoning will be for the structure you want to build. good luck!

Thanks @John Santero

 The listing shows it as as separate address from the multi family property that comes along with it. 

If that holds true, how could I go about understanding the value of that land. I'd like to know how much it is worth for future sale or to build.

Hey Anthony, In this Hot market, I'd get it under agreement first, do a little research as to whether the Lot is buildable. Then adjust your price accordingly if necessary.

Mike

Originally posted by @Anthony Simboli :

I am looking at purchasing a property just outside of Boston MA. It is a 3 family unit with 2 bedrooms per unit. It also includes a parcel of land. Does anyone have any experience on how beneficial that could be? From what our realtor has told us we could build on it or we could eventually sell the land.

Any thoughts, things to look out for etc...

Thanks!

 Anthony,

Can you make the apartments into 3 bedroom apartments? Is the property in an area where the population density is increasing?

Hi Anthony,

I agree with Mike, get it under agreement and then if you find out zoning won't allow you to build, adjust your price.  It could be a great opportunity to sell it off to a developer or even pay to have a structure built and then you personally sell it off.

In order to assess value I would take a look at the neighborhood you are in, take the average house and then find comps for house prices.  That will give you a decent idea of what price you could get for a house built there, assuming it is properly zoned.  You could also run comps on raw land to get an idea of how much the land itself could sell for.

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