Dilemma

Viewing 6 posts - 1 through 6 (of 6 total)

Pebbles_2
Member
@pebbles_2
Join Date: 2003
Post Count: 37
September 3, 2003 - 1:11 am
Which Way To Go?
I was wondering if anyone can help me decide where to start.
I have a house on 30 acres just outside of Ballarat, Vic.
I am in the middle of sub-dividing and will eventually sell off 3 x 5 acre blocks with a potential profit of $130,000.
The sub-division will possibly take 12 months from start to finish, but I am so keen to start wrapping here in Ballarat NOW. I don’t know whether to wait until my blocks have sold or start now. I just want to start wrapping asap.
My worry is financial. Will I be able to borrow money to finance my sub-division if I have other properties and my money is tied up in those properties? Any Ideas, Any suggestions???? [?]
ladybug
Member
@ladybug
Join Date: 2003
Post Count: 3
September 3, 2003 - 1:35 am
quote:
Which Way To Go?
I was wondering if anyone can help me decide where to start.
I have a house on 30 acres just outside of Ballarat, Vic.
I am in the middle of sub-dividing and will eventually sell off 3 x 5 acre blocks with a potential profit of $130,000.
The sub-division will possibly take 12 months from start to finish, but I am so keen to start wrapping here in Ballarat NOW. I don’t know whether to wait until my blocks have sold or start now. I just want to start wrapping asap.
My worry is financial. Will I be able to borrow money to finance my sub-division if I have other properties and my money is tied up in those properties? Any Ideas, Any suggestions???? [?]
depends on your income levels but some groups will look at end value of aproject and finance to 75% of end value so you could possibly borrow against your subdivision to fund other projects
ph:0412374487 to discuss
Mortgage Hunter
Participant
@mortgage-hunter
Join Date: 2003
Post Count: 3,781
September 3, 2003 - 1:47 am
Pebbles,
How much money do you need to finance the sub division? Council application fees or do you need to put in services too?
I can put you onto financiers who recently helped us with a 25 block subdivision in southern NSW.
As to whether you will be able to do both at the same time is a hard question with no detailed info.
If you have a great income then no problems and if you have no income then it will be harder….. I suspect you are somewhere in between []
Good luck with it.
Simon Macks
Mortgage Hunter
[email protected]
0425 228 985
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
September 3, 2003 - 5:35 am
Have you thought about keeping those blocks?
Terryw
[email protected]
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Mortgage Hunter
Participant
@mortgage-hunter
Join Date: 2003
Post Count: 3,781
September 3, 2003 - 6:09 am
Exploring Terry’s idea further perhaps you could build on them and realise a higher profit or keep them as rental properties?
Simon Macks
Mortgage Hunter
[email protected]
0425 228 985
Pebbles_2
Member
@pebbles_2
Join Date: 2003
Post Count: 37
September 3, 2003 - 11:54 pm
Terry,
Thanks for your reply. Yes, I have thought about keeping the blocks and maybe borrowing against them to finance some investment properties or even selling them as house and land packages. I think I need to sit down with a professional and discuss all the options and find out which way is the best way.
Maybe I will have to do some serious number crunching as well.
Thanks again.