No point assuming this. It would be well worth investigating just in case. Strata titling is a great way to make serious money – especially when the land values are high. What would the block of dirt be worth if it was vacant land?

You definitely need to strata title the duplex . To achieve this you will have to satisfy local council planning requirements. This entails engaging a town planner and a surveyor who is familiar with the process. You could try to use the local council planning staff to help you with valid information as to the process of approval. You will also have to pay section 94 contributions. In my local area it will cost up to 35k depending on the number of bedrooms above the original allowance for the site.

So,
1) Consult planners to ensure compliance
2) Engage surveyor to draw up plan of subdivision
3) Lodge plan with council for approval
4) Engage solicitor to handle registering title at Land Titles Office

The stratas I have done range between 5 – 7k (surveying, council fees, legals, and registration) and the council contributions have ranged between 14 – 32k. You may be also up for some work to comply with council codes regarding fire and safety.

There is a possibility that it may prove uneconomical if there are substantial works involved to comply with council.

Good luck,

That's true Loz, that's why I am building duplexes. I get instant equity gains of over 100k and this is a great buffer against any dramas in the market. Personally I would not be purchasing an investment property without this development potential. Too risky for me!

Ian

I will investigate tomorrow and report back.

Thanks, Ian

If this is true Lucky then I would be reporting the council to the State Planning Minister or at least go to your local member and demand for an explanation. That is atrocious.  I have recently put 2 successful D.A.'s for dual occ through Byron Shire Council who have been notorious for hold up's. To my amazement the first was approved in 5 weeks and the second in 8 weeks. I do my own Statement of Environmental Effects based on the local DCP and LEP and on top of this I go and have a meeting with the head planner at council to run over the proposed development. It has been really helpful to study the DCP and ensure that all requirements are met. Remember that if you can meet all the requirements then neighbours have no grounds to object.

Good Luck Lucky.           

Never heard of Iron Fish Eddie but it is good to shop around and find what suits you. I agree it is difficult taking the leap and there are so many options it can get really confusing. What strategy? Who to trust? etc etc….

Give yourself some research time to decide and then make a choice based on who you feel most comfortable with.

Good luck

Fortunately I can handle rejection Richard. I have had plenty of practice over the years.     

Ian

You have already started Kean by joining the forum and asking for advice! Well done. I guess a good start would be to begin saving for a deposit. You have a few years to save up before you can legally own a property in your own name. I think some of the others on this forum will give you some other advice. I am not sure if it is possible to have any ownership at your age in a Trust structure. Maybe someone else can provide this information.

Good luck, Ian

I am not surprised Richard. When I heard that this person had done it I thought it was a bit suspect. Interestingly enough he was advised to do it from a non-bank lender who had the mortgage over his PPOR. He wanted to do a duplex development and it was the only way for him to get a loan to finance the project. ie: top up his loan to access equity to get the deposit for the land and then the construction loan.

Cheers