Forum Replies Created
Hi Kenif
You need to contact body corporate manager. Their details are on levy notices you are regularly paying. Document your case as detailed as possible: photos, dates etc.
In case that building is less than 6 years old ( I think?), you/body corporate may be eligible to claim it on Home Warranty Insurance. At least that is how it works in Qld. In essence, this is a compulsory insurance builder needs to pay at the time of construction, for the benefit of the future unit owner. If something is not up to the standard, insurance protects the new owner (not a developer!).
We just used it recently, on one of our units, 4 years old at the time. 2 items were faulty:
1. waterproofing in the shower – we, as owners, were claimants
2. leaking roof above our unit – body corporate was claimant, on the same insurance, because roof is body corporate item (common property).Hi All
I feel that this post would be excellent read for investors who are at the beginning of shaping their investment strategy.To encourage them to think about many possible scenarios, not just: in time I should be right. For example: what if growth is stagnant for 10-15 years? No big dramas with ‘property bust’, just no growth above the inflation? Or/and rents go up only for inflation?
Etc.
Also, I have seen many investors starting on ‘add value’ strategy, loosing money ONLY because lack of time (and expertise). It is WORK, and if nothing else, it is a very important point Ben is making.
After completing one small development project, I calculated my hourly rate for my time invested. It was much higher then ‘day to day job’ would pay to majority of people ($245/hour, out of memory, BEFORE tax).
But it was not in thousands of dollars. And it involved taking of risk, which is non-existent when person collects a pay cheque in exchange for their time and skill (unless you are a surgeon or similar).I am not saying not to do it. On the contrary! Just take it all on board and plan well.
Hello
Why do you think that another builder (doesn’t matter how excellent he may be) would be able to construct it for a feasible price? If you already have had a couple of quotes way over the budget?
It looks to me that your solution is not to replace the existing house with a brand new one. What you really need is to increase number of dwellings to sell. In another words, develop a site with 4 townhouses/units, for the current construction cost.
Flick me DA plans, if you want, and I could have a look for you if that can be done.
That is what I do, being an architect (and developer).Thank you very much Corey :)
Try Concrete Casters,at least for a quote. mob. 0421 595 384.
To my knowledge price would be a bit higher then $150/post.
Or search ‘restumping contractors’.Hi Max
Your budget is rather big. Maybe if you buy a house in Brisbane (more growth potential) and unit in regional town (higher rental yield)…. To spread your risk.
Of course, only you know your numbersHi
I can help you. I am licenced building designer, operating in Brisbane 0421 994 470). However, before, you contact me, check with private building certifier whether you can get BA trough him, using builders drawings.
I am very surprised with the answer council gave you. Any builder can draw up plans for his construction work, provided that they have valid QBCC licence. Is your builder licenced?
Hi 5c1
Would it be possible that your property manager failed at his/her duty?
Have they inspected the property on regular bases? Or all of the above happened between regular inspections (i.e. within 2-3 months). Every management agreement comes with 3-4 yearly inspections, to be reported back to you afterwards.
If so, you may look at your property manager’s indemnity insurance.Hi PaperChaser
Plans approved by council can not be changed afterwards. Point of DA approval is to approve exactly what is going to be built. Minor changes are possible, but really minor.
On the density subject: some councils are very particular about densisty specified by town plan and will not approve any development smaller than envisaged.
You really need to consult town planner before you get new plans done, or plans you already have get re-drawn.
Where is the site? Cost very across Australia.I volunteer myself for a designer part. Have done many projects of that kind, as a designer.
Yes, happened to us two times in Brisbane. It was to distinguish pedestrian traffic and cars, in our case. Yes, it peels off,and is high maintenance. If colours are well chose,n does not have to be ugly. You may consider differentiation in materials (concrete/pavers combination), if budget allows.
Thank you very much. Highly appreciated.
It may not be problem at all, given that all lines are parallel/close to the boundary. However, only professionals can advise. Find architect/experienced building designer who works in this particular council. He/she will check it out for you based on: planning requirements and possible site layout (to get the triplex design), and he/she should confirm with the engineers. Both: council engineers and independent design engineer.
Where is the site?No. Haedwork charges are not construction cost. If your contract includes headwork charges, it musts be added as a special condition.To register new titles, you will have more fees: council fee for plan sealing, surveyor/building format survey, solicitor for community management statement and registration of titles, insurance for first year…. can add up up to $10k. Not sure that QBCC will pay them either. Home Warranty Insurance covers construction, not development as a whole. Also, you are lucky that you have only duplex under construction, because this insurance DO NOT cover any development of 3 or more units. Happened to us! We had 5 under construction and builder weant belly up… No cover whatsoever.
For development of any size much more cash is needed then for purchase of an already built property. As Chrisss1010 pointed out. If you are novice in development, you should work with 60% max of total development costs. Check with mortgage broker. You do not have enough cash. Best to learn about the whole process first (find a mentor). If you expect to have more cash in the future, then you may consider starting with your plan, rent the house for a while, and develop when you are financially stronger.
Answer to all your questions: depends of the area and associated council.
Suburbs like Alexandra Hills – Redland Council (near Brisbane) have many properties with downstairs area legal height, and potential for dual key. With reno/value add potential as well. Property can be later on sold to owner occupier without dual key flag. Person I know recently purchased one 3 bed house with downstairs rumpus and bathroom.Added some partition walls and doors, and now has common entry, 1 bed unit downstairs and three bedroom unit upstairs. No approvals triggered, because it is established dwelling and no changes were made to the building envelope. Combined rental $600. House purchased for $400, and reno cost on top (dont know how much). Much better suburb than Ipswich. We will be soon looking at doing the same.
Hi Futurefunds
Do you have town planner working for you, or you lodged DA yourself? First thing I would do would be looking for independent town planning advice. Experienced town planner should know how to present/defend your case, if other houses in the neighborhood already do not comply. Maybe matter is not that simple, however, professional advice is needed. Land and environment court is expensive (sorry, dont know the figure), with no guarantees whatsoever for the outcome. I have recently seen person losing a battle with the council at the court, just because did not have competent advisers/representatives.
Congratulations for having a clear goal at your age! Half job done.
Start reading, whatever you can get your hands on. Even if you learn only one thing from the book, it is worth it. Do not limit your reading only to property literature. Personal development, goals setting, economic, finance, tax low….Try to find a local mentor.
As for your education, it is important. Try to look for a carrier which will come with as big pay cheque as possible, because you have to save in order to start (as you are aware already). Maybe to look for a job with the smaller developer, when you would not be part of huge system, but more hands on in every day operations?Good luck!
Hi Coogee
This info is still up to date, however, it is not set in stone. Site could be smaller and frontage narrower than that (as your town planner has stated). 3000m2 minimum is for unit development in LR (low residential) zoning, not LMR.
To help you in more detail, you have to ask more specific question.Why would you sell your current investment property, in order to buy a new IP shortly after? That would be lots of money spent on selling/buying costs, and CG tax? You may have your reasons…. Just a thought? If you use your existing equity from current properties to acquire new IP, that part of the loan would be tax deductible. What matters is what have you spent it on, not which property is mortgaged to get hold of the funds.
