By current interest rates you mean 5%. Usually development loans they will put on 1.5% on top of residential rates. And sometimes a 1% (can be more) application fee of total loan. So so on 3 mil would be 30k. 
Do have to have deep pockets to jump straight into a 18 unit development without prior experience. 

Just on unit rates for sqm. Medium…[Read more]

soil tests would be like 1k-2k Max
landscapping well depends on how much you do and what mature plants you use. but a landscapping plan could cost 1k
surveying for the initial subdivision could be 5k 
then you have the government charges and water charges
if they are all strata/community titled then i would expect around (and this is rough average…[Read more]

Well can only comment on the information given because i don't know you exact financial position

But if you were committed to building 18 apartments it would depend how many your selling and how many your keeping and to what the cashflow is after the completion to how many presales the bank would require. 

General rule the higher the LVR you…[Read more]

Your getting married. Even just having a fiance pretty much means your one and the same person unless you actually live apart from each other for work purposes it would be pretty difficult to do the above situation. 
Plus you did just say that your fiance only earns around 35,000 a year and given that she hasnt purchased a property yet. What would…[Read more]

Hi Dao

Not sure if your working out your usable equity there correctly. Currently property worth 411k with a loan of 385k.  You wish to spend 30k increasing the value to your expected 500k. Your usable equity on a 80% loan is only $15,000. (500k x 0.8 = 400k… 100 k must remain in the property as security. therefore you only have 15k of usable…[Read more]

See if you can look up the general soil classification for the area. Ie clay, sandy etc and that could give a indication of your footings depths for your building. But generally 600mm would cover most residential buildings. So you'd only be tipping 100mm of your footings. Prob wouldn't be much more then one skip worth of extra dumpage. 
Dont go…[Read more]

Increase your borrowing capacity by
– refinancing loans to a lower interest rate
– removing credit cards or lowering credit cards and store limits
– paying off personal loans
– getting a second job or other income source
– get a new job that pays more
– reduce debt on your ppor (although not as strong as the above)
-buying properties that rent for…[Read more]

100 percent finance would work via the banks or normal lenders lending 95 percent of the property value. Ie 200k purchase price they lend you 190k and charge you 2.65% for LMI on top of that so another 5k. 
You then get a separate loan for the shortfall of stamp duty closing costs and remaining 5 percent. Say 20k.

This is pretty effective if you…[Read more]

If you already have a PPOR perhaps you Could rent that property and purchase a less desirable property (ugly) and renovate that and have that as your PPOR for a year. 
But long term if you can rent for 200-300 a week in a suburb you want to live in. Then you'll find that your investing will happen quicker, because the banks would consider your…[Read more]

Sorry mate was actually thinking about something else there before.
Yep so your gross profit would be 500k (83k each house)
Still have to take off all your other costs in running ur busines. Like cars petrol to get to site, home office, mobile, accommodation costs if you have to stay overnight close by.
Say 50k (if there’s a couple families…[Read more]

If you are operating a company.
and your total costs of developing 8 units is say 2 million 250,000 each dwelling incl land, hardcosts and build cost and interest. If you then Sold 6 units and after gst and sales cost you repaid the full 2 million dollars of costs/loans. Say selling each home at 350k. (100k would cover sales costs and gst…[Read more]

If you can keep the land LVR percentage on the initial purchase down to say 80%, the finance on the development construction loan would be a lot easier to obtain as well.

1) When you initially buy the property if you buy the land in company name (say with you all as directors) you can set up your trusts underneath that company ie have the company as trustee. Then if you roughly know which house/unit you would each be getting.. say off a site plan you marked each house a b c d e f g etc. You can then allocate that…[Read more]

I like how she complains about having a 6 figure balance to repay. What did the bank not inform you of how much you were borrowing mam. I'm sorry that comes as a shock to you.

Have a look at number 69 Springfield drive. The 3 unit development there. You could do something similar perhaps…
Btw sorry i correct myself it wasn't a reserve just another person empty block of land.

Suri if land in the area is 270k without plans (that are big enough to fit 2 homes). IM telling you right now that buying a block of land for 270k and spending the money on the plans you are not going to be over 330k with plans.

It does not cost 60k for plans. At Maximum for a two house plan it could cost 5k-6k plus council application fees of a…[Read more]

Even when you do simultaneous settlements you still have to apply to the banks to purchase the property even if you plan to resell it later that day ie after a development application has been approved in the previous couple months when you had a long settlement.  The only way you can sign up a property and assign it to someone else.
Is to
A) take…[Read more]

Prob your best method is to purchase property/land were you can develop and end up with a couple; 2 at least or more homes at the end.
That way you can each have your own independent home with separate mortgage and separate security at the end of the project.
then it's your choice if you wish to do another project again.

Things start to get…[Read more]

The definition for Financially Free is different for everyone.
But if you wanted to at least have the ability to pay all your bills on time, live in the home your currently in and go on one holiday  in a year or so.
Then financially free would be the amount of income needed on a passive or near passive nature that supported that lifestyle. I would…[Read more]

A builders minor defects liability period is only usually 3 – 6 months after completion. 
What defects are you talking about? Could you list a few of the problems?
Only structural issues are able to be brought up for up to 5 years after construction.
If your issues are things like giprock flushing cracking or chipped tiles. This should of been…[Read more]