News   Nov 15, 2024
 1.6K     5 
News   Nov 15, 2024
 1.5K     1 
News   Nov 15, 2024
 1.7K     0 

Feedback Request: Cottage Country Land

Chiggs@mac.com

New Member
Member Bio
Joined
Mar 23, 2008
Messages
64
Reaction score
0
Just wanted to get some input from the group...

I began looking at a waterfront lot in August this year. Beautiful lake, clean, 900 feet of waterfront, nice flat lot, etc. The lot already has hydro and telephone service. It's about 3.5 hours away from the city but in an area I like and have family in so I'm OK with the distance. It's about an hour and 15 minutes outside of Ottawa.

The lot was initially priced at about $370,000. Was planning to back and take one final look at it before purchasing but got busy and didn't make it back. Then the market started to drop and I decided to hold off.

Here is where it gets interesting... I communicated to my agent that I was planning to hold off until at least the spring as I felt prices would drop further. I recently heard back from my agent that the owner really needs to sell. I was offered $50,000 off the ask price. I replied that $50,000 was not enough to make me feel motivated to make an offer. I communicated that I felt historically prices could drop between 30-40% over a 2 year period and that the only way I'd be interested now would be if I could get that sort of a price.

I'm now in the final stages of negotiating and it looks like I'll be able to get the lot for $225,000 which is almost 40% off the ask price. I'm just about ready to pull the trigger but wanted to reach out for other thoughts... The recent 2008 land assessment came in at about $250,000 for the lot. This would be a long term purchase with the intent of building a dream cottage on the property in 5-7 years...

I feel very secure in terms of employment, etc. and already have approved, secured financing...

Any insight would be much appreciated...
 
It sounds like you have done well so far. But you don't mention having done any real "homework" or research. If you have not done so, get an appraisal from someone who knows the local area, or at least an opinion from an agent in the area who is not involved in this transaction. Get three or four sales that have happened this year, that would be considered comparable.

I assume that you have road access (Public or private road?). Also, check out the water access. This may require a lawyer's opinion. Many (not all) lakes up in cottage country have a Crown reserve along the lakefront, meaning that you don't actually own the land extending 66 feet back from normal water line. This may restrict whether you could build a dock or a boathouse.
 
Also check with the township & their zoning laws

Seems like you got a very nice discount, good luck to you
 

Back
Top