Browse Forums Real Estate 1 Nov 01, 2011 4:18 pm Hi - I'm a long time lurker and finally got around to joining. I am interested in buying some rural acreage in NSW - not a lot of acres, but the areas I've been looking in have some parcels of land that are within the range of my budget. I am also in the position of buying the land outright so financing is not an issue. But what I'd like to ask people on here is what is a reasonable "offer" to make on land. I've been told that a bit of 'haggling' is normal, and that you rarely pay the advertised price. And I've never haggled for anything more than a taxi fare in South East Asia before! If, for example, I see land that if offered for say $200,000 - what would be a good first offer price? What could I expect the final price to be? (And does it make a difference if I have seen the land on sale for at least the 18 months that I've been looking?) I really haven't a clue about this sort of thing. I understand this is one of those 'how long's a piece of string' questions, but a general idea would really help. I have a set amount of money and any savings on the land would mean more could be spent on the house. I am trying to end up with a house and land with nothing left owing except rates. I plan to 'owner-build' to the extent of doing everything myself that I'm allowed legally to do! (And expect a thread when I start!!) Cheers. Re: Buying rural land 2Nov 01, 2011 4:26 pm I would think that buying acreage would be no different to any other established property. I don't think it is unreasonable to offer 10% lower, but be prepared to split the difference from there. If the property has been on the market for a very long time though, you might be able to get away with a lower offer. Geoff - Decophile. Re: Buying rural land 3Nov 01, 2011 5:50 pm Always offer lower, the agent you speak to will not take the offer to the seller if they think it's too, we bought ours about $42,000 cheaper than the advertised price. We asked for it $50,000 cheaper and it went back and forward until we accepted the price we were happy with. Then the boom hit and the value increased by a couple of hundred thousand. But it is always hard to sell rural property and it's not unusual for it to be on the market for years. Re: Buying rural land 4Nov 05, 2011 9:26 am Thanks for the responses. I've since had the chance to talk with a mate who sold his property in the NSW Southern Highlands (an area I'm interested in) and he told me that he put 20% on to his desired price as he expected to be negotiated down! I'm beginning to get the idea that it wouldn't be too unusual to begin by offering around 20% less and arriving at about 10% under the advertised price. So now at least I have some numbers to work with! Re: Buying rural land 5Nov 30, 2011 9:14 pm Get a soil test done first- make sure it's BUILD-ABLE! Since it's going to be "cash settlement" then finance is not an issue- use this to your advantage after soil test Ie if selling price is $200,000 i would make 2 offer- 1. $162,000- 2 weeks quick settlement- no cooling period/ 10% down now. 2. $170,000- 8 weeks settlement - 5 days cooing period/ 10% down now Of course make sure you do all your due-diligence if your going to do a no cooling period offer. Reason for 2 offer; is the vendor thinks he/she has 2 options 1 or 2 and they would do the numbers to see which one is more beneficial-but in their mind they would not know that there is a 3rd option - No deal...psychology of a seller's mind. Also being a vacnnt land- they don't recived any rent + they may have a mortgage on it; so they would want to off load ASAP. so quick settlements with no finance alwasy works. P.s make sure you don;t tell them your doing cash settlement- else they will question your 2nd offer...just let them know 2 weeks can be done- Regards Michael Michael Chan | Australia wide Mortgage Broker Michael@ShapeHomeLoans.com.au | 1300 74 5626 | Fax: 02 8212 8909 http://www.ShapeHomeLoans.com.au Re: Buying rural land 7Dec 11, 2011 10:34 pm We recently bought a rural block in Central West NSW. Asking price was $199K and we eventually agreed on $178,500, so about 10% down on the listed price. Just like buying a house in the suburbs research is the key - see what other similar blocks go for in the general area. Generally you would get a lower sample size than houses in the suburbs but the principle still holds. Best of luck! Re: Buying rural land 8Jun 07, 2012 2:13 pm Just as a follow up - I went ahead and bought 25 acres near Bungonia in the Southern Highlands of NSW Advertised for $200,000 I was prepared to go to $180K and was very fortunate to have a real estate agent work against his % commission and get me a further $6,500 off. So settlement occurs on the 22nd June at $173,500. VERY happy with that!! Thanks to those who offered assistance. Re: Buying rural land 9Jun 07, 2012 8:41 pm I'm looking at a block for 310k in a nice estate... Been up for sale for ages, sold 2 years ago for 289.. Any suggestions? I'm thinking if they bought for 289 they should sell for the price since they wouldn't have bought it as an investment lol.. Re: Buying rural land 10Jun 07, 2012 8:46 pm ^^^ Plus aganets commission they will have to pay for. Deemaree Kyndylan Capers: viewtopic.php?f=36&t=46852 My blog: http://www.sufficientlysufficient.blogspot.com/ Hi Renee, Boundaries in NSW are generally shown on Deposited Plans. 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