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Property value change
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We just moved into our new build home, which eas built in an older development. This development averages 24,000 sq ft lots on a total of about 200 acres. The roads are narrow and have no sidewalks. Currently there are multiple dead ends that were designed for future development.

It just came to our attention that there is plans for a new style development for a total of 376 residential units in 155 acres (like 216 traditional style homes and the rest would be "patio homes"). There will be greenspace (mostly retention ponds with paths in between). The lot sizes in this area will be under 8,000 sq ft. The current smallest lot sizes in the immediate area are over 17,000 sq feet.

This new development will have a total of 5 entrances (3 off of our current development and 2 off of a county road). The predicted prices of these homes would be 300-350 for the traditional homes. To give an idea our home set us back 305 not counting the sweat equity I did in clearing land and appraised about 325.

What should we expect these new homes to do to property calue for us?
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Re: Property value change [140.6sj] [ In reply to ]
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In terms conformity (price range and quality), the new product does not appear to deviate substantially from your home. So I wouldn't anticipate an adverse effect from the new construction.

_________________________________
I'll be what I am
A solitary man
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Re: Property value change [last tri in 83] [ In reply to ]
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It kinda does deviate based on land size (our property is over 25,700 sq ft and they are looking at under 8,000), also closest our home will get to the neighbor is 31' (one has yet to build) they are looking at being 12-14' apart from neighbors. Taking into consideration the lot size being less than 1/3 our lot size (house probably smaller too), and they will probably all sell for what ours currently values at or more, I would think our value would go up decently.
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Re: Property value change [140.6sj] [ In reply to ]
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It pretty marginal, there may be a premium, but you'd have to compare to other properties in comparable residential areas. The effect may in fact be that the new properties simply don't provide a future appreciation.

Can you sell yours tomorrow for a substantial premium over what you paid?

Can people find comparable properties for the same somewhere else?
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Re: Property value change [Andrewmc] [ In reply to ]
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Currently all properties in this development are selling at or just below what ours was appraised at 20k more than we paid still. But there have only been 3 homes built in this neighborhood in the last 10 years and 4 in the last like 40-50 years

Im not looking to sell, just wondering what I would expect our property value to go to in the next 5-10 yrs (obviously markets change and it could tank or sky rocket)
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Re: Property value change [140.6sj] [ In reply to ]
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Most planned developments come with multiple product offerings so that doesn't seem unusual. Long as they don't start selling them for $175k you should be ok.

_________________________________
I'll be what I am
A solitary man
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Re: Property value change [last tri in 83] [ In reply to ]
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The individual homes they said start in the 300-350 range and the 'patio homes' around 250, all HOA
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Re: Property value change [140.6sj] [ In reply to ]
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This has happened thousands of times all over the country. Build new neighborhoods to a slightly lower standard than the surrounding area. Especially lot size. Here is the answer: if the new supply of new homes is met with good demand spurring more growth in the area (grocery store, restaurants etc..) then this will be good for you home value. In 20 years your big lot may be worth more than the home that is sitting on it. The only thing that should concern you is if apartments are being built.
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Re: Property value change [140.6sj] [ In reply to ]
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Do the patio homes back up to your property and are they 2 story?

_________________________________
I'll be what I am
A solitary man
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Re: Property value change [last tri in 83] [ In reply to ]
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last tri in 83 wrote:
Most planned developments come with multiple product offerings so that doesn't seem unusual. Long as they don't start selling them for $175k you should be ok.

You are back!!! Glad to see you around here again. I hope that all is well.
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Re: Property value change [last tri in 83] [ In reply to ]
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I think they will be able to be 2 story, but I dont think most will be. They are all on the other end of the development from us.

Our home is a 2643 ft, 2 story with a full basement, 4 bed, 3 full bath. 2 bedrooms on the main level including a master and a 2 story living room. We have a loft and a office are as well and an oversized garage (18x10 door, 24' wide, and 2 deep on one side)
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