Hi Dean (and all)

We stage heaps of new units and work all over Melbourne. I’ll send you a PM with some details.

Thanks Jacqui!

Cheers – Dianna

Freckle – hope you got your Google on, taking on the Geelong Gal.

Cotton On owns themselves, Cotton On Body, Cotton On Kids and Typo, Factorie and now Supre.

Typo especially I think is one to watch for market growth as it offers a unique product.

Personally as a Holden girl I’m sad, but I don’t think it’s the end of the world for either the workers or GM. Our market is a drop in the ocean compared to USA and the Arabic Nations (the car I drive was released there with bigger engine and better spec), why produce a more expensive product… Unfortunately this is the way the world works.

Oh, and don’t pick me Freckle, It’s been a long couple months.

D

Great book (yes the cover is really nice!) good format with the two viewpoints. 

Yes, please lots of sequels, – and am I seriously the only person who has not watched Game of Thrones?

Cheers

D

Firstly find an architect/Draftsperson or hand holder to help you through this process.

I recently met the team at Pillar and Post (Christianb and Breece are members of this forum) and the are great at holding a beginners hand through the process of due diligence and working out what will fit on a block.

The problem is, you haven't told us what suburb, what zoning, are there overlays on the land, where is the sewerage, storm water, etc on the site. What is nearby? Are there any covenants on the block such as single dwellings in that suburb only.

As for how much, as a percentage profit, I don't normally look at deals (for development) under 25% return, the risk of hitting snags and issues doesn't make it worth it. I know experienced developers who develop in the same suburb over and over work at 15-17%.

How much to build? How long is a piece of string? IS the block level? What finish are we talking, 25 sq is a big townhouse, does it have to be that big? Double storey or single? the list goes on.

You can do development, you just need to go in with your eyes wide open and knowing everything you can about it first, and don't rush! There is always another deal!!

Hope this helps!

D

Hi replytokat,

Plenty of lovely ladies on the forum are on the investment track with kids in tow (some of the guys too ).

You'll need to think about risk. How much are you prepared to play with, and what happens if that goes pear shaped? Are you happy with just cash flow positive properties or do you see yourself carving out a new niche and career for yourself over the next few years while you are home with the kids? What skills do you have so that you can manage the properties, investments, people to make it work, do you need to learn some new ones?

It's hard for anyone to suggest exactly what you should do, it'll take you a little time to figure it out yourself. You at least have a goal, now you can work backwards from there. eg. completion of Goal, step, step, step, jump in the deep end, overcome fear, feel confidence, strategy, explore all options (cash flow positive, renos, development), no idea start. I'm not sure that makes sense….

Ask yourself questions, hard questions. Ask hubby questions, what if he doesn't agree?

It can be done, sometimes it'll get a little messy, or hard, but stick at it.

Let us know how you get on, you've made a good start by becoming part of the community.

Cheers

D

Lol thanks, I got excited then I realised it was only 6 pages! LOL,

Cheers

D

Hi all,

So 4 bedrooms, do you think the house can accommodate 6-8 strangers comfortably?

I'm not a huge fan of boarding houses it seems like one huge headache for no much more return.

You'd really want to crunch the numbers on this to make sure that going through all the fire rating/council hooey/ insurance issues/ etc is worth that extra $100-$200 a week.

Find someone who will manage it first, talk to them about common issues before you take any steps. Talk to some insurance companies, what is the cost of insuring it, can you get insurance easily what does it cover? Talk to your current tenants, will they be happy sharing with as many as 6 other people at any one time, people may be happy to move in when you only have one or two other tenants but might jump ship when it becomes crowded.

Lastly, you can ask for bond which is held by the Bond Authority. I don't like your chances of asking for 'cash just incase you don't pay rent' please check the red book for renters (get a copy off a property manager – sorry I don't know the link) this must be given to all tenants at the beginning of their lease.

Hope this helps,

D

Hi Anthony,

You could also talk to the guys at Pillar and Post (formerly brutal art). They are in Melbourne and have been great contributors to this site for a long time. If I remember rightly Ash from Stacey surveying can also hand hold (or recommend someone) to take care of the process of gaining an approval.

Keep us posted

Cheers

D

I have met some real rubbish ones. I went to an open and basically got told to get out as the property was looking like being sold that weekend (at auction) well duh. That's why you have an auction.

It's not just agents, had a waitress give me a lecture for 10 mins on why it wasn't her fault she gave my meal to another person and refuse to give me a $10 refund. People are people, some function well, others not so great. 

Unless the house is a crazy bargain, that you can never buy again (ha) vote with your feet. Theres always someone else who will treat you with respect, take the time and at least offer to meet you at another time if they are busy.

Good luck!

D

Hi buttercc,

The guys are right, you could build lots of things, depending on what suburb, zoning, overlays etc.

Can you give us a hint on the suburb? And I'd definitely say give Pillar and Post a ring and have a chat. The other even you can go to in June is Rookie Developers D-Day, Troy Harris runs a day course on developing and crams as much info as he can in. Email – [email protected] for more details, it's worth going to some of these things if you haven't developed before, you may meet some like minded people, make some contacts etc, and it's in the Eastern suburbs.

With regard to the long term, you may be 'planning' on holding it for 10 years but what if this doesn't work out for you? With development and renovation you need to make sure you make a profit (or worst case break even), even if you had to sell tomorrow. If you develop and in 2 years time need to sell for a life emergency or for any reason, then you need to make sure you can get out with a healthy amount of money in your pocket.

Let us know how you go,

D