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I'd suggest using a water-based epoxy floor coating (hydro-poxy). Very long lasting. hard wearing and much better than a standard paint finish.
2 ways of determining how much she has put in (if she has contributed to the deposit) either have a stipluated amount ie $xx,000 or a % of the value of the property (including all purchase costs – legals, sd, building & termite inspections etc) to be reimbursed to her upon dissolution of your relationship, the latter will need a valuer to determine the value of the property at the point that you break up (if ever) and you should also determine how you appoint the valuer (mutual appointment or each appoint their own valuer).
Just a couple of things that you have left out and may need to consider:
– Cost of alternative accommodation whilst building (ie rent for 8-10 months)
– Will you be doing any other (paid) work whilst undertaking this project?/Impact on this work and the project
– Cost of subdivision & sales costs (agent/legals)
– S94 Contribution to council
– Demolition costsSelling only one property will not leave you debt free – it will come close to covering construction/xtg mortgage however you will still be exposed to the above costs and CGT, selling both will obviously release alot more cash back into your hands for the next venture (but you will still be homeless).
There a several areas which are still rocketing ahead – it may pay to check out some of the websites of the miners eg Woodside etc (those that you have listed). Many are committed to long-term projects and subsequently will need facilities for the long term, not just for the next year or so. Unlike some of the other mining locations, Chinchilla is not as remote as say the Pilbara so finding suitable land and getting a prebuilt house delivered from SE Qld will be alot easier than sourcing local tradies.
Many miners are already tied into long-term supply agreements, exploration has been completed, EIS undertaken and construction of facilities commenced (hence investment by retailers – if Woolies are looking, then that will mean families moving to the area, schools etc not just itinerate workers moving taking up residence).
An operating facility requires less staff to operate than a plant which is under construction so in that sense demand may taper off when the building phase is over likewise rents may drop as there will be an abundance of housing (having said that, many of these miners will still require hundreds of houses both within their compound and in the township for 10-20 years).
I have found that one of the better agencies on the coast is Raine & Horne Kincumber – Paul Kemp runs the show and is excellent.
Robert, not only will your rent drop (if there is no demand for company/exec tenants) but your sale price will also drop substantially – you will need to check out what the market is paying for similar houses in the area/region, what the longevity of the major industry is & its plans for expansion etc.
CFC price does not include their margin of 2.2% so you will need to factor that into your cost base as well.
Remember that rent paid by you is out of your after-tax income (ie take-home pay) and rent recieved is from pre-tax income so although you may be paying/recieving the same amounts they are not the same.
Lance, Parra-Hills is an awfully large area and there is plenty to investigate. What are you specifically after land, redevelopment, refurbish or buy/hold?
I know of a few out that way (parra & hills) who are pretty good to deal with (and many more who aren't).
Life, who said anything about having a life? 2 P/T subjects generally isn't much of a workload (it is generally all cram for the end isn't it)?
There is plenty of information available on this and other websites about trusts and trust structures (google it if you must). Basically a trust is a vehicle used to hold assets and give the beneficiaries protection from claims over those assets.
The superfund must purchase the units from the trustees of the trust (at market or at valuation).
The transfer would be to a smsf (it would be close to impossible to convince a public offer superfund or your employer's superfund to purchase your residential ip {as they generally do not invest in residential property}).
More to the point is that the SMSF cannot purchase your residential property from you.
Unless you have the ability to break the drought in many regional areas, land prices will and have remained stable over many years. The cost of buying an established house is often very little more than buying the land as very little investment has occurred for several years in many of these areas due to decreasing populations, loss of skills, loss of services (banks, schools, shops etc) and of course drought.
If you are after capital gains in the longer term, I would consider the much safer option of saving your money in an online bank account at least for the next few years until you are able to afford a reasonable deposit on a suitable block in the desired location.
Isolated towns do not have capital gains, land values are negligible and the time it takes to sell a block of land or house can be up to several years due to the lack of demand.
Regional towns are difficult, isolated towns are at the very least challenging and unless you intend to live there & do the work yourself very costly to build.
People don't build flats any more for several reasons:
Return on investment – much easier to sell off ASAP to get the developer's profit
Generally requires a high level of borrowings (so would be very cashflow negative for some time)
Design codes have improved since the 1960's/70's requiring dwellings to be of a much higher standard ie there are the same expectations by legislators and planners whether it is for cbd or western suburbs or north shore (only the quality of fitout varies).
Biggest requirement is the standardisation of fire safety, compartmentation and fire separation between muliple unit residences for non-related persons – get yourself a copy of the building code of australia and look up the appropriate type of costruction, fire restistance measures, egress provisions etc for the type of building.Wasps and birds in the roof are generally not caused by the tenant's inaction to maintain a clean property (eg rats, mice, cockroaches etc).
These would be looked after by the lessor (if it is a net lease, then there may be some way of clawing back the costs under pest control or maintenance).
Gifting/asset disposal may have an impact on your parent's pension or benefits if applicable.
Unless there is something that you specifically want them to leave eg hws, then get them to remove the lot – you can't second guess what the next tenant may want to use or whether it will suit them eg a 50 litre hws will not suit if they are going to have a commercial kitchen.
If you apply make the units self-contained, ie own ensuite/tearoom then the council will identify the units as such and knock back your application as non-complying uses. Have you considered building a boarding house (lots of concessions may apply) or student accommodation if near a uni/tafe?
Laws: mostly the BCA & Town Planning regs.
Th building would breach on the grounds of fire separation, smoke detectors, plumbing, fire escapes, exit & emergency lighting, fire hose reels/hydrants, paths of travel, noise separation, accessability, parking requirements etc just to name a few. If there was a fire causing death, you could well be prosecuted under the crimes act (likely charge – manslaughter).
Is a few dollars in rent worth risking lives?
Build it as a brothel, at least you would have a reason for 7 bedrooms, 4 ensuites & a couple of tearooms.
Do a search on http://www.fairtrading.nsw.gov.au go to check a licence. If you have his trading name, builders licence etc you will be able to find out whether he has been taken to the tribunal before.
If you look at the street directory and check the position of the runways against the location of the unit it wil give you a rough idea of whether you are close to a flight path (also check air-services australia or google sydney airport flight paths etc).
Direct flight noise isn't the only airport noise – you may get operational noise from the jet test cell (near the qantas base on Joyce Dve).
If it is a recent subdivision and there is plenty of new site land available, the likelihood of a spot rezoning are minimal.
Regarding a certain project manager – "…can't tell the difference between sh!t and clay…"
A vital distinction.
