Just talking out loud, but can’t you get out a building contract from the pile and sign yourself up to contract with your own company?

VIC offers additional FHOGs for new home owners. You only pay stamp duty on the land for new homes.

If you want to buy into Wyndham Marina you had better be quick. I purchased in the first release. Releases 1 and 2 sold out very fast and the third and final release starts at the end of this month. It only has approx 240 blocks in total from all 3 releases, demand will be high when fully developed and very tightly held by those lucky enough to…[Read more]

NSW stamp duty rules are going through some interesting revisions at the moment

http://www.smh.com.au/nsw/zero-stamp-duty-lure-for-older-homeowners-to-downsize-20100608-xs40.html?autostart=1

I just received and watched their free 2 hour DVD and was quite impressed with the content. You can tell they really understand the dynamics of how to make significant profits through property. Renovation was low on my list of potential ways to profit, but the DVD has got me seriously thinking about it. I would need some more money in the bank to…[Read more]

I’m not an expert but my understanding is that GST is only applicable on new properties. I paid for specialist advice from the Quinn Group. Their owner is a regular contributor to one of the property magazines.

Laws are very specific when you go to onsell on what must be in the contract of sale. It must specifically state that the margin scheme is used or you will be liable for GST on the total value. Don't just assume that you are eligible to use the margin scheme. 

It is intended for downsizers, to get them out of 4 bedroom houses, into units. They should end up with a significantly cheaper house than before.Does anyone who is currently investing in property fall in this age bracket? Imagine being able to do renos without stamp duty, would be fantastic!!

actually the bit that surprised me, that Lewis confirmed was that the stamp duty paid by the client (when they take the title) is based on the value of the unimproved land, the same as my stamp duty was. It worked out surprisingly well, delayed, but also based on minimal value.

Great advice thanks Terry, having just been caught $20k short due to construction delays and rushing around madly last minute to complete another settlement, I am starting to learn to allow for such contingencies.

Thanks Terry,

Still exploring this further. Will engage with an architect / town planner in the next few weeks. When you say “all in one line” do you mean that they are not valued as strata titled units for individual sale, but instead together as a single block?

By the time the DA comes through I expect values in the area (Gladstone) to have…[Read more]

I am looking at doing a 6 townhouse development, with an expected end sale value around $2.4 million in today’s market, the construction cost will be around $1.45 million and I have paid 350k for the property initially, totalling $1.8M in costs.

So by the 65% rule, they would lend me approx $1.6 million for land and construction and I would have…[Read more]

We checked with Lewis O’Brien who confirmed that was the case. If anyone should know it is Lewis. He would have done more wraps than anyone else in VIC.

Just wait till you see the huge power bills that come in over winter, now they know they dont have to pay them. Heaters will run all day and night and showers will be 30 minutes each.

Does the property that you are looking at have the same zoning as the unit blocks? If so if you could also purchase neighbouring blocks, you could be sitting on a gold mine. Then you get a DA and find a developer to buy it off you.

They don’t take title, pay stamp duty etc, until they make the final payment. Until then it is still my investment property that I am making a return on, and can claim the interest, depreciation etc as expenses on that investment.

Actually there will be no CGT applied. You are allowed to retain a house that you have been living in as your primary place of residence for up to 6 years after you move out and CGT will not be applied when you sell.

Why would an apartment cost as much to rent as you are getting in rent for a 3 bed house?

Also if you are making a loss on the…[Read more]

I have just done a vendor finance deal for a new build in Melbourne, the rules are probably very different in Brisbane, but this will give you an idea of what to be aware of:
*Stamp duty being much lower on a new build really assists a wrap deal. You don’t need to charge nearly as much additional on the price to make the deal work.
*I was…[Read more]

This house in Seabrook looks like a steal. A whole lot of house within 20km of the CBD, well under budget.

http://www.domain.com.au/Property/For-Sale/House/VIC/Seabrook/?adid=2008318421

I have seen shows on tv where they have remodelled entire streets with similar themes and colours. They claimed during the show that it significantly increased the value of all the houses in the street (i.e. a renovated house in a renovated street was worth more than just a single renovated house). The theory should also work for a block of units.