WHAT IS AN OPTION AGREEMENT?

An Option Agreement is a legally binding contract between a landowner and a buyer that grants the buyer the right to purchase the land within a set timeframe, subject to securing planning permission.

WHAT WILL YOU BE ABLE TO OFFER ME?

After an initial site visit, our team of expert planners and architects will develop a proposed scheme. This process typically takes 4–6 weeks, after which we will present you with an offer. We may ask for an indication of your pricing expectations beforehand.

WILL THE OFFER PRICE BE AGREED BEFORE THE OPTION AGREEMENT IS SIGNED?

Yes, the price will be confirmed before the agreement is signed.

CAN THE OFFER PRICE CHANGE LATER?

No, the agreed price will be fixed in the Option Agreement and will be the amount you receive at the final sale.

DO YOU OFFER CASH OR OUTRIGHT PURCHASES?

We generally do not offer direct cash purchases due to the risks involved with land development. While we only proceed with sites we are highly confident in, we prefer the Option Agreement structure for purchasing land.

HOW LONG DOES AN OPTION AGREEMENT LAST?

Typically, our Option Agreements run for 12 months, with an option to extend by 6 months if we need additional time due to planning resubmissions or unforeseen delays.

CAN THE PROCESS BE COMPLETED IN LESS THAN 12 MONTHS?

Yes. While we allow for 12 months as a worst-case scenario, our goal is to obtain planning permission sooner. We will keep you updated at key milestones, and once planning is secured, we can proceed immediately.

DO I NEED A SOLICITOR?

Yes, you will need a Commercial Solicitor familiar with Option Agreements. We can recommend professionals if needed.

CAN I SET MY OWN TERMS BEFORE SIGNING?

Yes, you will have the opportunity to negotiate and agree on conditions before signing the agreement.

CAN I REVIEW THE FINAL OPTION AGREEMENT BEFORE SIGNING?

Yes, you can review the final draft as many times as you need.

HOW LONG DOES IT TAKE TO SIGN AN OPTION AGREEMENT?

This depends on the complexity of the project. It can take as little as four months or extend beyond 12 months in some cases.

WILL I HAVE TO PAY ANY FEES?

No, we cover all legal costs up to £2,500 (plus VAT) as well as all planning-related expenses.

WILL THERE BE A LOT OF PAPERWORK?

You will need to review and understand the Option Agreement and Transfer Deed, with the help of your solicitor. Additionally, you’ll be required to complete a Standard TA6 Property Information Form and an Additional Development Enquiries form.

WILL YOU REQUIRE ACCESS TO MY PROPERTY AFTER THE AGREEMENT IS SIGNED?

Yes, we may need access for site assessments, including Topographical Surveys, Ecology Surveys, and Ground Investigations. We will always provide at least 48 hours’ notice before any visit.

DO I NEED MY MORTGAGE LENDER’S PERMISSION?

Yes. If you have a mortgage and are selling part of your land, you’ll need your lender’s approval. Even if selling the entire property, we still recommend consulting your lender.

WHEN WILL YOU SUBMIT THE PLANNING APPLICATION?

We aim to submit the planning application within four months of signing the Option Agreement.

HOW LONG DOES THE COUNCIL TAKE TO DECIDE ON PLANNING PERMISSION?

Typically, councils take between 12 and 16 weeks, though this may vary by location.

WHEN WILL THE LAND BE SOLD TO A DEVELOPER?

We begin marketing your land to developers during the planning process and aim to secure a buyer by the time planning permission is granted.

IF I’M SELLING PART OF MY LAND, WHEN WILL THE TITLES BE SEPARATED?

The title split will take place at the point of final sale.

WILL SELLING PART OF MY LAND IMPACT MY PROPERTY VALUE?

Your home’s value, which is typically based on price per square foot/metre, will not change. While the overall estate value may be slightly affected, the offer price for your land will far outweigh any potential reduction.

WHAT IF I NEED TIME TO MOVE AFTER SELLING?

We can arrange for a delay between the final exchange and completion to give you time to relocate.

WHAT HAPPENS IF YOU GET PLANNING PERMISSION BUT CAN’T SELL THE LAND?

If we are unable to sell after obtaining planning permission, we will withdraw from the agreement. However, you will retain full ownership of your land—with planning permission in place—allowing you to sell or develop it as you wish.

WILL I HAVE TO PAY CAPITAL GAINS TAX?

This will depend on your personal circumstances, and we always advise that our customers speak to a Capital Gains Tax specialist if unsure. But here is what HMRC are saying:

You’ll be entitled to full relief where all the following conditions are met: the dwelling house has been your only or main residence throughout your period of ownership you have not been absent, other than for an allowed period of absence or because you have been living in job-related accommodation, during your period of ownership the garden or grounds including the buildings on them are not greater than the permitted area. (The area of garden and grounds of a person’s residence that qualifies for relief is referred to in the legislation as the permitted area. The permitted area includes the site of the dwelling-house. S222(2) TCGA92 defines the permitted area as 0.5 hectares.

If the garden and grounds of the residence, including the site of the dwelling-house, do not exceed the permitted area then relief is automatically due for that whole area.) no part of your home has been used exclusively for business purposes during your period of ownership. Working from home using a room that is also used for non-business purposes will not prevent entitlement to full relief If you meet all of these conditions, you will not have to pay CGT on the disposal.

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PHONE: 020 8040 3971

EMAIL: info@wildlightestates.com