Hello everyone,
We are interested in a shell construction with roof and windows, but unfortunately without a basement.
Price is about 145,000 euros + 25,000 euros incidental costs.
Does anyone have experience with buying a shell construction?
What should we consider before hiring a building surveyor?
Are there common defects?
Is the price for 160 m² (1,722 sq ft) without a basement, including windows and roof, reasonable or too expensive?
We expect around 150,000 euros until completion. Is that realistic?
We are a bit uncertain since the shell construction has been standing like this for 2 years.
Many thanks.
We are interested in a shell construction with roof and windows, but unfortunately without a basement.
Price is about 145,000 euros + 25,000 euros incidental costs.
Does anyone have experience with buying a shell construction?
What should we consider before hiring a building surveyor?
Are there common defects?
Is the price for 160 m² (1,722 sq ft) without a basement, including windows and roof, reasonable or too expensive?
We expect around 150,000 euros until completion. Is that realistic?
We are a bit uncertain since the shell construction has been standing like this for 2 years.
Many thanks.
K
Karolina11156 May 2016 09:12Hello everyone,
Thank you very much for your responses.
By now, we have spoken with both the owners and the painter.
The price of €145,000 (approximately $145,000) refers to the house with 185 m² (2,000 sq ft), including triple-glazed windows and the roof. HOWEVER, the land is a leasehold property with a lease term until 2108 and annual costs of about €2,000 (approximately $2,000) paid to the Protestant church.
We would still need to cover the remaining work such as screed, heating, electrical installations, plumbing, flooring, etc.
Regarding the building permit / planning permission, we have information from the building authority that we would need to apply for an extension.
We will first commission an expert to inspect the shell of the building.
Hopefully, €150,000 (approximately $150,000) will be enough...
Thank you very much
Thank you very much for your responses.
By now, we have spoken with both the owners and the painter.
The price of €145,000 (approximately $145,000) refers to the house with 185 m² (2,000 sq ft), including triple-glazed windows and the roof. HOWEVER, the land is a leasehold property with a lease term until 2108 and annual costs of about €2,000 (approximately $2,000) paid to the Protestant church.
We would still need to cover the remaining work such as screed, heating, electrical installations, plumbing, flooring, etc.
Regarding the building permit / planning permission, we have information from the building authority that we would need to apply for an extension.
We will first commission an expert to inspect the shell of the building.
Hopefully, €150,000 (approximately $150,000) will be enough...
Thank you very much
As far as I know, extending the building permit is mostly a formality and might only cost a few euros. The main point is to ensure that elements already installed don’t suddenly become non-compliant.
Ground lease? Are plots that rare where you live that this is common? The land is not included in the shell construction costs. This should probably be mentioned upfront, as it suddenly changes the overall value significantly.
People buy a shell construction because:
- they want to save a lot of money! (one person’s gain is another’s loss)
- they fear poor workmanship during the shell stage (a lot can go wrong) and want to get a finished external shell first
- they don’t want to deal with endless waiting, paperwork, etc., before construction finally starts...
- they are not very decisive and appreciate that many decisions have already been made
- finding the right plot is like winning the lottery
If the shell alone, without land, already costs €170,000 (approx. $180,000), and finishing costs another €150,000 (approx. $160,000), then the overall price is no longer that affordable.
Ground lease? Are plots that rare where you live that this is common? The land is not included in the shell construction costs. This should probably be mentioned upfront, as it suddenly changes the overall value significantly.
People buy a shell construction because:
- they want to save a lot of money! (one person’s gain is another’s loss)
- they fear poor workmanship during the shell stage (a lot can go wrong) and want to get a finished external shell first
- they don’t want to deal with endless waiting, paperwork, etc., before construction finally starts...
- they are not very decisive and appreciate that many decisions have already been made
- finding the right plot is like winning the lottery
If the shell alone, without land, already costs €170,000 (approx. $180,000), and finishing costs another €150,000 (approx. $160,000), then the overall price is no longer that affordable.
H
HilfeHilfe6 May 2016 09:52Personally, I would also avoid buying on a leasehold basis. 5,000 per year, probably with additional inflation adjustments included. I want to be debt-free in retirement and not still pay "rent" for the land.
Karolina1115 schrieb:
But isn't 145,000 euros for a shell construction with windows and roof too expensive?From what I’ve learned and also based on discussions here in the forum: If the shell construction is solid in terms of structure, 145,000 euros is quite reasonable.
Regarding the leasehold: This is not uncommon here in North Rhine-Westphalia. The lease term is long enough, and the church occasionally offers to sell. I don’t see any issue with the leasehold.
2,000 euros per year equals about 167 euros per month. You can use that as a rough estimate. Whether buying (capital costs) makes sense and if the church agrees, you’ll need to calculate yourselves.
H
HilfeHilfe6 May 2016 13:17Karolina1115 schrieb:
Yes, that’s shocking!!! This wasn’t mentioned before. We also thought... This can’t be.
The owners have already offered to lower the price all the way down to 145,000 euros (about $155,000)...
An inquiry has been submitted to the Protestant church regarding the purchase of the plot.
But isn’t 145,000 euros (about $155,000) still too expensive for a shell including windows and roof?Counter question: why has construction stopped? How long has it been halted? I would be selfish and try to negotiate the price down even further. Maybe you are the only serious buyer.
HilfeHilfe schrieb:
Personally, I wouldn’t choose to buy on a ground lease either. 5,000 per year, probably with inflation adjustments included. I want to be done in retirement and not still be paying “rent” for the landWhy not?
A ground lease, by the way, is 2,000 and not 5,009. It has the convenient advantage that during your middle years you have more money available for living expenses, while around 200 per month in retirement is not really painful.
Our village, apart from the agricultural farms and the village center, mostly consists of ground lease plots.
Of course, you need to understand what you’re dealing with first, but since nice plots don’t grow on trees, as mentioned above, it shouldn’t be a deal-breaker.
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