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Depending upon how much you are trying to raise, the level of financial analysis that you have undertaken, the number of investors sought etc you may be able to get away without having to comply with the ASIC requirements (public offering).
An advert in the paper may elict some enquiries eg JV partners required for development, share profits 15%+ etc on short term investment. Otherwise you may try some solicitors/buyers agents/real estate agents etc.
As far as I know, most investment groups have panned the idea. You might do well to google 'affordable housing policy' or the like and see if you get any hits on the govt housing site as well as responses from industry groups like the HIA, MBA etc.
A few questions: How many units in the block ie it is common that very small blocks may not appoint a strata manager but generally as a block becomes larger then it is pertinent to have the strata professionally managed ie all compliance issues are covered – building/public liability/office holder insurances, maintenance issues, sinking and admin funds established, annual budgets set, accounts audited (not necessarily annually but occasionally) etc.
If you have specific queries, contact your department of fair trading/v cat/consumer claims tribunal etc or speak with your solicitor.
I would be very sceptical of any strata scheme run without a manager in place or not having had meetings/budgets etc set. How do you know your outgoings, is there any maintenance done, what about if the building is wrecked by a storm etc? Do you know that the person running the show is dilligent or just a dill?
As far as I am aware, you can only pay stamp duty on the value of the contract ie the option eg if you have paid the vendor $10k for a 6 month option contingent upon a number of conditiions (DA, subdivision approval etc) then you only pay on the value of the option contract as there is no certainty that you are going to proceed with the contract to conclusion and exercise the option. The value of the option is how much you put down & give to the vendor not the purchase price of the property. In this way the stamp duty is payable only upon the exercise of the option.
You might contact Legalworks in Melbourne – they are reasonably savvy on several property fronts.
Slight variation on the above CGT was introduced Sept 1987. However I recall that there is a provision that if substantial works are undertaken to a pre-cgt property eg knock down/rebuild or subdivision, then the property will become liable to cgt from that date.
Were there any costs associated with the subdivision? eg sewer, road access, provision of services?
You pay gst regardless of the profitability – you may or may not pay cgt.
It may be time to speak to a financial planner regarding the changes
A couple of points to consider: do they want to move? Are the other residents of the villages closer to yourself a good match with your parents? Will moving upset your parents due to the friendships they have made in their current village? (Old folk are funny that way, familiarity and security is just as important as being close to family).
How will the sale of the property affect their pension?
First port of call will be the council – check that the work was approved ie DA/CC. They will then inform you who the certifying authority was or if the work was illegal – i'd be kicking my solicitor if the work was illegal and not identified on any survey plan.
If there is no road access, how will you access the block? Do you have a right of way? How far is it from the road & services?
Footing inspection – below ground….. Without destructive testing it may be a little bit difficult to get someone to sign off on it. Was it an owner-builder or a builder who did the work? Did they take out home warranty insurance? Is it more than 7 years old? Have you contacted the department of fair trading regarding your rights? Did you have a lawyer do your conveyance? Was there a building certificate issued? Who was the consent authority? Who did the construction certificate and was responsible for the inspection certificates?
If you can get answers to all of these then you may be able to get a start.
Speak to your financial advisor/accountant as above. Consider that you use only half of your money to buy, the other half to sit in an off set account (to minimise your interest paid). Depending upon your tax situation you may enjoy tax benefits as well.
Weigh up the following: how long can you fund a vacant property against (replacement of tenant) vs a small increase which the tenant will swallow (tied up with a new lease of the property). Unlike a commercial lease, the tenant does not have any investment (fitout) tied up with the property and will come or go as they see fit.
It is difficult to work in generalities. Just as no two properties are alike no single set of data is going to represent what you want without doing a fair bit of research yourself. That is, hone your search to a small radius of say 3km. Then, if you are interested in say older style 2 bedroom home units, you will have to scour the sales data (through RP Data, CPM etc) to determine your best fit.
Gross data sources like median prices or averages (for a particular suburb) are largely skewed by the sales of new developments which tend to have all the whistles and bells that older properties don't. So the before mentioned older 2 bedder would be below the median price although it would be the more common property in the area. Conversely, if you were looking for a new unit the median price would not reflect the price that you could buy one of those units either. So again, you must get the raw data for a particular area then do the analysis to suit your requirements.
It will be if you can slap a caveat over his land to prevent him from developing until he has paid you…
It is a specalist area in new works however, in the case of residential, generally, regardless of what has been carried out and to whom you are selling it is the vendor who wears the gst component ie if you refurbish, you have paid the gst in the purchase price of the labour and materials used and it stops there. The purchase buys at the advertised price blissfully unaware of the amount of gst that you may have paid. This differs in commercial applications as the sale price is generally exclusive of gst as the premises can be sold as a 'going concern' is there is a business as the tenant and the useage will continue to be commercial (there are five requirements to be met for the gst exemption).
Speak to a tax accountant for clarificationHave you tried contacting your service provider? eg Sydney Water, Gosford Council etc? Speak to their plumbing dept – act dumb ie my sewer has blocked further down the line ie off my property When can you fix it?
No Shady, it is a current post by an old and crusty member.
PM me if you need pointers (I'll back up my background off the forum).
In NSW there is no requirement for residential owners to remove asbestos products. Conversely, all commercial building owners are required to have a register of contaminated products (eg lagging, vinyl tiles, switchboards, fascias, cladding, roofing etc). Even when the material is in poor condition (friable state) it is workcover which may intervene but only if it relates to a workplace and they have been requested to attend.
If it don't leak, you don't need to touch it. If you get a storm which damages the roof, claim it on your building insurance.
