Forum Replies Created
Why don't you tell the sellers the bank has valued the place at 180,000 and see if they will drop the price as the bank will not finance it for 200,000. Otherwise you are backwards from the start.
To work this out properly you really need the length of one of the diagonals.
Cheers
Barney,
I was advised the start date for CGT is the date of the signed offer and acceptance.
So if you have an accepted offer on a pre release block of land and it doesn't settle for twelve months, the 50% CGT discount applies if you sell it strait away after settlement.
As far as building is concerned, I don't think it matters. It goes on the date you bought the land as the building is an improvement to that land.
But you better check that out with your accountant.
Barney,
What an incredibly selfish Idea.
Having all that money and not willing to pay any tax what so ever..
I suggest that if you go down that path, the end of your life will be miserable.
Imagine being on your deathbed and looking back on all you contributed to society or others and seeing nothing but the burden left behind.
I am not a socialist, but a capitalist with a sense of social responsibility.
Relax a little,
you still have over a year before settlement,You could arrange to have townhouses pre-sold off the plan on the block.
Hold on till close to the end and then find a buyer.
Find a partner for the project.
Is there a clause for early completion?
Most of all relax you still have plenty of time to sort something out, but don't leave it till the last minute.
All the best,
MarkHi Shirls,
My wife and I near Muchea ATM.
Muchaea is a nice spot and not that far from Midland either.
It has been in the news a while back that a satellite city id planned for Two Rocks.
Good luck with your block.
Regards,
Mark.So long as you have a fixed price contract with the builder, all the details will be locked down and any extras will be charged for accordingly.
The best way to do the deal is with a cost plus type of arrangement. this way if they make changes, you simply put it to the builder, he charges you and you get an agreed mark-up on these costs for managing it.
Just don't get emotionally involved in the business side of it.
Sounds like a good deal with guaranteed money to be made.Good luck,
Mark
G'day,
New land releases often have a long settlement. Two years is not really too long but 50K deposit is a lot to ask!!!! 1/3rd deposit??
If you are going to borrow to buy this land and have the land as the collateral, I doubt if the bank will lend the money without the titles which will come 3 months prior to completion.In this type of development how do they know when three months prior to completion is? I recently bought a pre release block and if I was subject to these terms I would have had to come up with the money 12 months prior to the actual completion date.
I think the developer is looking for partners but does not want to be bound by the legalities of a partnership.
Be very cautious and see if you can change the conditions to be a bit more in your favour.
This deal seems very fishy to me.
All the best,
MarkOne coat is more expensive because it contains more pigment. The pigment is what covers the old colour so the more pigment you get in your paint the less paint you need per square meter to do the same job.
Take it off the market for a couple of weeks then relist it yourself in the paper.
Often people pass over properties that have been advertised for too long.
It also becomes a hard sale for the REA so they tend not to try too hard after that. It is after all still advertising their business so long as it has a sign out the front.
I would suggest if the real estate agent is interested in buying the place it must be under priced.
Perhaps with the increased oil prices councils will be forced to allow more subdivisions closer to the city.
Developers paradise.Just a thought.
Scottybe,
Sorry if I offended you. I wasn't trying to imply you would even consider ripping off the taxman. This just looked like a really good place to post this as lots of people who would consider it would be reading just due to the nature of the subject.
All the best.
Mark
Mobbott,
Just a couple of things
1) Woodside 20 Billion dollar expansion green light
2) Massive Olympic Dam upgrade.
House price growth has slowed recently but still increasing. Land is very scarce ATM but there are some new developments being proposed by the govt to try and address this.
I would suggest that if you can afford to do it, get in now and buy a place that has sudivision potential and a rental return. Conditions are more in the buyers favour at the moment (I believe). At least you will have some capital gain when you get here.
Hope this helps,
Regards,
Markjfiori,
How many major renovations have yuo done?I seriously hope it's more than the one you are claiming before saying you are qualified to make such bold assertions.
No I am not a tradie, but I do know quite a number of excellent tradies.
One of them doesn't even bother to quote if when he is played off against other tradesmen.
Just remember 1 hour of one tradesman's work could be four hours of another's.
Word of mouth is the most reliable form of advertising.
But if you have a beef with your tradie? Try to take it up with them peaceably first!
You'll be surprised at how people are willing to listen when you speak respectfully.
Just remember, when you are cheating the taxman, it is not just the tax man you are cheating….
It's those dirty stinking bludgers on the dole who don't want to work,
The poor innocent parras and quads, The grannies and grandpa's who have spent their life working for the betterment of Australia…
And our absolutely ridiculous politicians who go on the premise of making Australia a better place.
Plus all of the infrastructure to go with it.
So the next time you think of ripping of the tax department just bear that in mind.
Not that this is what you were thinking in the first place anyway.
Regards Mark.
Hi Shirls,
Yes this is a large deposit. My wife and I did a similar thing towards the end of 2005. The deposit was smaller 5000 but the block didn't settle until may this year.
The value of the block went through the roof in the mean time. so we made all of the capital gain without paying anything except the 5000 initial deposit.
10,000 is still much less than most developers ask for with the city apartments.
Still, it depends on what you are wanting to do? If you are wanting to hold onto the block and build it gives you time to arrange the house etc without paying interest on the loan. Thus plans etc can be ready to go to council as soon as the block settles. So long as you do not have the trouble I have had with my broker (separate post).
But if you are confident the price you are paying is acceptable and are happy to wait for the release of the block which will probably be delayed for one reason or another, then there is no reason not to go for it. after all the deposit is only part of the cost of the block anyway.Hope this helps,
Regards,
MarkPS Just out of interest, where are the blocks and how much are they?
You must kill the mould first! before you re apply the silicone.
You do this with oil of cloves!
Then the arrea must be totally dry before you apply the silicone (though I am surre you new this anyway). Best not to use the shower for a couple of days before you re silicone the gaps or dry with a hair dryer a couple of times for a day.
Hope this works for you.
Regards,
MarkSure,
Ask the council.
MarkThis means you are buying two blocks of land.
If the house (I presume there is a house) is on one of the titles and the other block is clear, this is a benefit as there are no subdivision costs. Also a benefit if the existing house is to be demolished. If there is no house or any of the other cases mentioned, a benefit exists if the price is lower than it would nomaly cost for the two titles seperately.
Hope this helps,
Regards,
Mark.
