Building land value

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09/02/2009 - 14:32

Penny's post on 19th June 2009 @ 1.52pm (I don't know how to link her reply to this post) gave a fantastic link to land values, and it has been extremely useful, but how does one assess the value of the actual building land, that is the particelli with the ruin on it.We have been looking at one in Casentino area for some time now and can now hope that our finances will allow us to purchase in the near future.  The agent shows the house apparently needing repair, but when we were on site with him our first question was: Just how old are your photos?  The building has not only fallen down, but is now completely covered in brambles etc.  We are well aware that the price is way over the top, but need to have some idea of what one needs to pay for an out of the way - even the loical strada communale has not seen any work done on it for years.Many thanks.


Does it have a water connection and electricity if not how far are they from the property, all of these things take value off it. A place such as this is less likely to be bought by Italians so the market is narrowed down. Make an offer and see if they accept . But also make sure the road is easily accesed for your delivery's and builders. I heard of one house where the builders refused to go the road to it was so bad, also ENEL  wouldn't go down it to get a power supply in.  

Thanks Chardonnay. We had realised that the roads could matter.  The agent took us halfway up an overgrown track and then we had to walk the rest.  About one kilometre in total. He said it would cost 10,00 euros to repair, but I was thinking I should double that.  We visited the site on foot privately another day, but had to walk all of the way, as our car's camshaft sprocket had sheared off just south of Grenable, and we did not dare to take the hire car off tarmac.  I was looking carefully at the slope of the road and concluded it would not be difficult to get into pretty good condition.  What we will not tell the agent is that we are certain that alternative ways onto the property exist, without anyone else having the right to cross the land for access reasons, or even for us to need to negotaite access rights across somebody else's land. Those tracks we were able to walk would be shorter and probably easier.  Later this month we are planning to revisit and will check these tracks out more thoroughly, and if possible drive over them.Electricity and telephone lines pass by about half a kilometre from the property (but add another 200 yards to the house site) or so away and the land between is fairly flat and at present totally unused.  There is no public water supply.  There is mention of a spring, but as there is also mention of a well, we suepect that the spring could be seasonal.We are both well aware that it is a big project, but my other half is exicited by the prospect of having that land for crops and shrubs, as well as olives, but we would also plant some fruit tress as well.  We brought back a soil sample to test it, and have watched the weather forecasts for this last year so we have a pretty good idea of what to expect.We might be the only fools who have actually looked at this one. 

Would you actually be buying a building plot?? If it is a ruined building then that is what you are buying. As I understand it (but please correct me Ram or Garda if I'm wrong) but building land has a category starting B whereas a residential property has a category starting A. Building land will also have a building index (i.e. how much volume can be built per sqm). All of this affects the value. If you are buying a ruin which should allow you to rebuild it to it's original volume (maybe even a bit more) then I think it is difficult to value yourself and your only option would be to look for other building plots in the area and do your own guestimate. If, instead, it is a proper building plot there are various formulae that can be used to calculate the value based on the eventual value of the property built.

The current condition of what is left of the building suggests that the place has been abandoned and has possibly been for sale for a very long time. Try to find similar properties or even homes which have been restored or which are liveable and compare prices.

 If you're looking at a pile of stones on some land, you should be paying the agricultural value of the land, plus a bit for the 'cubatura' that the house gives you.  What is important to know is how much results at the catasto for the building - that is what you will be able to rebuild.   The land will have an agricultural value, if its level with decent access, etc etc the value will be higher than a teraced piece of land you cant reach.10.000 euros to repair a white road of a kilometre sounds about normal.    its not how near are the electircity lines, but how near is the nearest cabina - Ive just done one which for 1200 metres came in at 4000 euros. Water - dont believe it.  Get a preventivo for a drilled well which will give you year round water. It sounds as though this will be an agricultural property - desginated E at the cataasto - and the bulding will be either a fabbricato rurale or not catastato'd at all - If it doesnt result at teh catasto pay waht the land is worth and the building should be gratis.  

Thanks Penny and RamThe building was urbanized by the present owners some 18 years ago, who then went away and left it to deteriorate.  The agricultural value of the land would have been quite reasonable then. It is not terraced, the slopes are mostly gentle, and it appears to have had some olives on it, plus particelli marked out as seminativo, with a small particelli of pascolo, and about 30% of the total land marked as bosco misto (the soil depth may not be very great there).  BUT although we have not yet been able to walk over the entire site yet, what we have seen is 30 foot oak trees where we would have expected pascolo and olives.  Clearly the land is not worth very much after so many years of complete neglect.I was wondering whether Penny's comment might help as we know the approximate measurements of the present ruin - we could not get close enough to get precise measurements, and we do have the scale drawings that were submitted to the commune at the time of urbanization. The value of building land surely cannot vary hugely from a virgin site, once proper allowance has been made for the allowed building volume.When we are there later this month we will make a point of visiting the commune to get to know them, and see how they respond to our ideas (we are quite happy to accept the local style).  But what we are trying to do is get some idea of what we should offer, and that depends on the building land value.

 So you've got an ente urbano and some land.  Well, seeing that you're in Tuscany thats a good sign as it means that permissions for reconstruction are a foregone conclusion.   The other thing to check with the comune is that you have no vincoli on the land as these will advsersely affect the price.  ALOT:  Your 30 foot oak trees may well have a vincolo from the forestale for example, (but thats no bad thing unless yoyre a chainsaw fanatic)  Property prices in Arezzo are among the highest in Italy so why dont you spend half an hour looking at whats currently available on the internet for land and ruins and you can get an idea of the current land values - at least the requested prices. 

Thanks Ram. We did not know about vincoli, so we will certainly be asking about them.  Hopefully there are none, but we will make sure.There is one thing that we really appreciate about ItalyMag, that is that collectively there is so much knowledge out there that is freely available.  It is fantastic to be able to go online ask a silly question, be shown what you really need to ask, and then be given the right answer.  Many thanks to everyone involved.