# I want to make a killer offer...



## GreenAvenue (Dec 28, 2011)

and not pay too much. 

There is a lot right behind our property that is basically not more than a small strip. I spoke to the owner a couple of months ago and told him I was interested. He and his wife had just moved there and I didn't want to bother them too much about it (didn't want to look to eager) at that point. So I told them I would drop off a proposal in the mail but I never did.

Today I was calculating how much I was going to offer for this lot and I need some good feedback:

1. I checked on Kijiji for commercial lot prices. I used these to calculate a price. What I did was: I took the map with the size of my own lot and measured depth and width in inches. This is a little bit rough I know and I'm wondering if there is a better way. I then measured inches of the lot I wanted to buy and came up with a price that way. Is there a better way?

2. So, the price I came up with was really reasonable. I want to prepare an offer to the owner of the lot. He knows I'm interested and I don't want to low ball him. Also, unfortunately his kids go to the same school as mine and somehow they have been fighting since they moved there (his kids and mine). I'm not sure how this will affect his judgement, I have never been involved myself. I want to make him a good solid offer hoping he can appreciate the business side of this deal better than the emotional side. Has anyone come across a situation like this and how would I set up this offer? Would I simply write him a letter with a copy of the map and name my price? Or would it be better to do this face to face? 

3. I will have to pay a town transfer rate and the lawyer to get the lot in my name. What other cost can be involved? 

Please, if you have any feedback on this (even if I didn't mention it) please feel free to comment, I'd rather have done my homework than find a surprise along the way.

Thanks!!


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## Four Pillars (Apr 5, 2009)

I think post might win "vaguest post of the year" award. 

#1 - I have no idea what method you used. Other possibilities would be to talk to a commercial real estate agent.

#2 - So your kids are fighting with their kids and you are not involved in any way? Ok, sounds promising. I'm sure he will be reasonable and it won't affect negotiations. *rolls eyes*

If you want to make an offer, I would go to a real estate lawyer first so you can have the right documentation for the offer. If you just do the back of napkin thing, it might be pretty easy for him to back out.


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## Cal (Jun 17, 2009)

As it seems you need some help, I agree w FP and would get some and consult with a local commercial RE agent.


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## kcowan (Jul 1, 2010)

You have to consider that the seller will expect a premium because he has the only lot that you would consider buying. Would the combined lot provide any other benefits such as rezoning?

I would consider making any offer as blind through a 3rd party owing to the above issue and the issue with your kids.


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## dougbos (Jun 4, 2012)

You might want to ask him if he would have any objections for you to have a professional appraiser come in to do a formal appraisal on it. That would determine a fair market value. Without this you could make an offer that mighta ctually be overvalued. This way if the owner sells you can both get a fair deal.


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## marina628 (Dec 14, 2010)

In my town a basic 35x100 lot sells for about $100,000 , we paid the neighbour $70,000 for 14x60 strip of land as we needed it for a 2nd driveway to my husband's garage.Probably you know what it is worth to you...


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## AMABILE (Apr 3, 2009)

Why don't you go over and talk to him.......
find out what he's asking, was it appraised , etc
then you'll be in a much better position with your offer


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