To not sell a potentially £million plus property for £200,000?

[InheritanceDilema]

Got a really sticky situation and need some advice.

FIL has died and Dh and BIL have inherited his house and small holding. We are not local and do not wish to live there. It's BILs dream to live there and he wants to buy us out and will happily pay us half of the £400,000 valuation of the small holding inc the house.

There are eight acres of land and I genuinely believe that planning permission could be got. The fields are in the middle of a village, so surrounded by built up areas/houses on all sides. Obviously if planning permission was gained the value of the land would be a lot more.

Bil has no interest in planning permission or making any money. He wants to live in his childhood home surrounded by goats, chickens and gooseberry bushes living a River Cottage dream. Dh doesn't want to rock the boat and doesn't know what to do.

I know if we did sell it we could put a thing on the sale saying if BIL did in the future get planning permission we would be entitled to more money. But I know BIL wouldn't ever seek planning permission. He won't even consider only having some of the land and planning permission for the rest of it. He wants a couple of ponies and says he needs all the land. I don't want to kiss goodbye to a considerable amount of money just to keep the peace.....we're not that well off. BIL owns 4 houses and already has a fantastic pension as well as rental income and his current house is worth half a million. We're in a terrace with no other houses and while £200,000 is a lot of money i don't think it's fair that BIL expects us to let him have his own way.

I think you're being grabby and insensitive. BiL wants to buy it; it's worth £400k. He's willing to pay you £200k. You admit he's not trying to make money or fleece you. Are you really willing to drive a wedge between DH and BIL?

Instinctively i just feel it would be a shame to build over what sounds like a beautiful property so I understand your BILs point of view there - not sure really.

Does his desire trump yours is basically it, isn't it?

Agree with Coconutty

But that's just it Pottering is it worth £400,000? I think there is an arguement to say it's worth well over £1 million.

He wasn't your dad. This wasn't your family home of your village. You are being extremely grabby.

Nose out.

Leave this up to your Dh and his Db to decide. Is he willing to get the planning permission, get the revaluation done and all the effort? If he isn't then what's the issue?

Its not your property, and you are being really greedy to want to build on the fields when your BIL wants to live in his childhood home.

You are not kissing goodbye to anything that actually exists. You are getting £200,000

I sincerely hope this is a reversal.

If you know BIL wouldn't ever seek planning permission then how are you kissing goodbye to a considerable amount of money.

You sound more than a little grabby- is £209k not enough for you?

Either you sell to BIL for 50% of the market value, or you sell it on the open market, or you and your DH move into the property and buy BIL out (for 50% of the market value). Or it just stands unoccupied.
None of these options give you more than 200k. You aren't entitled to profit from anyone else's investments. They are the one taking the risk, putting up the capital and doing the graft.

If you got planning permission and sold the land he could presumably buy a smallholding somewhere locally. What would he say to this?

So effectively you want to get planning permission just so your BIL has to pay you more??

Your DH doesn't want to 'rock the boat'. Your BIL wants to keep his family memories. Sounds like you are the one making the problem and its not exactly bringing out some good qualities is it.

If your Dh stance is that he doesn't want to rock the boat then I think you have no place at all to butt in and get in between the issue. It's their home to decide what to do.

^^ £200k

I'd take the £200K and add a covenant to the sale stating that if planning permission is granted and the land is sold, your DH is entitled to a share of the land sale proceeds.

I think you are BU if the property has been valued and he's offering you half of that value.

But what if it's worth £3 million and he can't afford to pay us half?

I think even if he sold all his houses (his three smaller properties are on interest only mortgages so unsure of equity) I don't think he could afford to buy is out.

I know if we did sell it
i don't think it's fair that BIL expects us to let him have his own way

But this is about your DH and your BIL rather than you.
I think you are going to have to let your DH get on and deal with this with his BIL IMO. The house was left to your DH and his brother

I think this is one of those questions that the Internet really can't answer. None of us know the details. Would mediation work? So that you (& DH I presume?) could explain your points of view and BIL could explore his?

But as things stand it isn't 😕

It's been valued and you've been offered half that.

You can go for planning permission and a re value after or accept half of the property's current value.

YABU. This is for DH and BIL to sort out without 3rd party input, including you.

You say you know bil would never seek planning permission so the property is worth 400,000 not £million - YABU

Is the 400k the value for probate?

Surely the potential value of the land should be looked at more carefully, do you not have to estimate the value of the land for probate purposes? If the land turns out to be a lot more valuable than you have let BIL buy it for could you run into problems with inheritance tax thresholds? I would get a number of different valuations if you haven't already done so.

Who has valued it at 400k?

If we got planning permission and sold it on the open market we would get more than £200,000.