Forum Replies Created
Do a title search through one of the suppliers listed in Google or Land Titles Office.
Look up Moama Fusion
1 – yes, face blockwork is a cheap & practical finish but render/plasterboard is more upmarket. When was the last time you stayed in a hotel with face block walls (& what did it cost you) – not as much as the Hilton.
2 – if the wall has not been painted previously, you can rub the wall back with a timber block otherwise you may have to use a gritty sandpaper.
Stamp duty & legal fees?
Call council or workcover – he is required to keep the site secure. What if your kids or someone else's kids walked onto the site and had an accident or fell down a hole?
What have they done to make sure that your house does not subside?
I'd be looking towards another accountant.
My first reno was kitchen, bathroom, carpets, fencing, metal roofing, window replacement, repointing, flashing replacement, sewer & plumbing upgrade, rewiring, laundry, replace a few ceilings, chimney sweep, demo & replace concrete stairs, ant caps/termite protection, landscaping and a few other little items.
A couple of minor issues here katastrophe:
- if the land is zoned higher density, why would you wish to develop this at anything other than its highest and best use? The land is priced to sell for X number of units/townhouses, if you decrease the size of the block you will reduce the value of the remaining parcel of land as you may have taken away the capacity to build 3 or more dwellings. As a consequence you will need to reimburse the vendor by way of a much higer price than could otherwise be justified.
- why would you want to select a block which is zoned med density for a single dwelling – this is not wise esp for resale.
- as the land is zoned for a higher use, it is unlikely that council will a) allow subdivision for a single dwelling/duplex and b) approve the construction of less than medium density on the block.
- why would the vendor wish to sell less than the whole block?
- Why would the vendor wish to hold onto a less than developable/saleable block of 900 m2?
- what attraction would there be for the vendor to undertake a subdivision (DA) and build the access to the rear block only to get the same m2 rate as for the entire block?
How long is a piece of string?
If you buy a block and have to demolish the house, you have lost the value of the old dwelling – so you will either need to find a run down house or an underpriced block. You are then faced with the construction of two separate houses or a duplex.
If you find a site where there is a 3 m setback for the driveway, or a cornerblock, then it may be possible to work with the existing house.
You will have to do your numbers for each scenario on each block to see what works for you.
Planes are pretty much commited to their landing/takeoffs by the time they get to botany/mascot. Unless you are withing cooee of the flightpath (like Sydenham), then it shouldn't be too bad. All you can do is look at the maps, check air services australia website for the flight paths & number of planes which pass the area etc then take a punt.
If you want convenience of an airport, suffer the noise. If you don't want the noise, move away from the flight path.
I can understand that the vals would have made an adjustment for gst however they should be stating the methodology used. For instance, if you were to use the margin scheme, then gst is not payable on the entire sale only on the difference between the raw and developed sites. If your cost of development is not too significant then the val would be understated not having taken into account gst previously applied.
Unfortunately you are legally obliged to pay your strata levies as the admin and sinking funds cannot run in deficit. If it was underbudgeted, then a special levy could have been called to make up the short fall – this is not the strata manager's fault but the fault of the owners corporation for not getting onto it earlier. The costs will not disappear simply because they were underestimated and not provided for.
The strata manager can only estimate the costs for the first few years of the building as there is only industry averages to act as a guide (an experienced SM would still be reasonably on the ball) – was there any specific area which was underbudgetted or were all items not provided for sufficiently eg insurance costs were substantially more than budget or large unforseen costs such as security system upgrade/pool equipment replacement?
A balance of investments – property (direct/indirect), equities (local/os), Cash, bonds etc. You will need to have a formal strategy in place for your fund and invest according to the strategy.
Roof rejuvination, hws/plumbing/electrical system & tuckpointing – these always seem to be the neglected ones.
Not sure about the Melbourne scene however 4-5% + gst is not unreasonable for management fees (it would depend greatly upon the property).
Letting fee 10-11% + gst likewise would be ballpark.
This hurts in the first year however the agent should achieve a lease longer than 12 months (a waste of time otherwise) – push for a minimum of 3+ depending upon the type of property (retail you have to offer minimum of 5 years). Hence your letting fee is a one off then you are up for 5% annually.
Advertising fee – get the agent to wear it (at least initially), you may have to contribute to a letterbox drop but not to internet/shopfront advert. You may also have to pay for a signboard – but resist the urge to pay for it.
Releasing fee – I take this to mean if the tenant exercises the option or the tenant wishes a new lease – how does this compare to their letting fee?
A full topographic survey may only cost $1500-$2000 depending upon the site. I had the boundary IDed and a couple of RLs done for less than a grand. Do the ring around to a couple of surveyors.
Sounds like I too may be stuck – I have a heavily treed block so I can't even get satellite tv let alone solar to work, gas isn't viable as it is very hilly/rocky and hasn't been extended to our street.
Are all-electric heat pump/electric boosted combo systems available?
Try contacting a local Fijian solicitor. Having your own contacts/family in the country may be an advantage if you need to have a local partner to buy into the country.
Selling your existing home and buying a new one will incur agent fees, stamp duty, legals, discharge of mortgage fees etc – none of which will increase your net worth. Consider refinancing (package structured appropriately with a sizeable line of credit for deposits etc), then purchasing your IP(s).
Selling and buying will only chew up your capital, if you can live with your current mortgage (plus a little more to cover the IP's negative gearing) then you will be in a much better position than downgrading your own lifestyle. You could even consider buying an IP, renting your exisiting house and renting (for less than your mortgage).
I'd be putting down an option contract, at least you set the terms, pay a non-refundable deposit and can do your bidding without any pressure.
