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Understanding the Importance of Land Appraisal Software for Housebuilders

March 29, 2023

Land appraisal is an important process for housebuilders. It helps you determine the value of a piece of land before purchasing it for development. This is essential because as a housebuilder, you need to know whether a piece of land is worth investing in and whether it is a profitable option. This is where land appraisal software comes in to assist.

Here are some reasons why land appraisal software is important for housebuilders
Helps determine the fair market value

Land appraisal software helps builders determine the fair market value of a piece of land. This enables you to make informed decisions about whether to purchase the land, and how much you should be willing to pay for it.

Enables accurate financial planning

Housebuilders need to be able to accurately plan their finances when developing a piece of land. Land appraisal helps you to do this by providing you with a realistic estimate of the costs involved in development, including the cost of purchasing the land, the cost of obtaining planning permission, and the cost of construction.

Better informs land purchase decisions

Housing development is a very capital-intensive business, that needs one to be able to cash flow forecast several variables accurately, such as company overheads, pipeline project costs, project funding and deal equitable contribution. In the UK affordable housing is treated differently on a cashflow forecast, getting this right is important to see the true costs of development.

Facilitates negotiations

Land appraisal software can be used to negotiate with landowners. For example, if a housebuilder wants to purchase a piece of land, but the landowner is asking you for a high price, an appraisal can help you to negotiate a more reasonable price based on the true value of the land.


Land appraisal is a crucial aspect of a house build process. Helping you to make quick, informed decisions on future land opportunities. The Eque2 Land module, either as a standalone module or as part of the Eque2 Housebuilding suite, offers a highly configurable and dynamic budgeting and monitoring tool for development projects – guaranteed to give your business a competitive edge.

To learn more about how the Eque2 Housebuilding suite can benefit your business, click here. Alternatively, you can arrange a free online demonstration tailored to your specific requirements by emailing us at or phoning us on 01628 702702.

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