Hello all, what a cool forum, and a great resource.[thumbsupanim]
This is my first post in this forum, and im exited because this marks the start of our first developement.
My fiancee and i have just purchased our first investment block in the ever growing Barossa valley. It’s 920 m2 and cost 83k.
What we have in mind for it is building 3 dwellings (not sure what type yet).
Once complete we will sell 2 and keep the third which will hopefully be pos geared straight up, with minimum owing on it.
Has anyone done a similar thing, that could share their experience with us, as we know what we want to do but dont know where to start.We would also like to get in contact with any S.A developers for a chat and maybe learn something. Any help would be appreciated
CheersHi Scott,
welcome to the forum – Im sure you’ll find this site very useful in your property investing career.
You’ll need to check with council in regards to permits, and whether they have any future development proposals in that area or on your block of land.
You’ll need to get a surveyor and builder to assess the costs of developing that project. Then you’ll need to speak with agents to assess how much you’ll be able to sell them for.
Hope this helps
Kind Regards,
George.I’ve found a way to help you save and earn whilst not selling or delivering any product. If interested, drop me an email or PM me to find out how
Hi Im new to this site and not very computor wise but in relation to your property the last advice I read was very good.
It may save you alot of money if you use a project home company to do the full developement for you.
As they are much more competetive and will be looking for work soon due to the slow down that must come.good luck steve
As noted, you will need to check local council zoning provisions to determine what can be built on the site.
Being 920 sqm and assuming you have consent to build multiple dwellings by right, you may have sufficient area for three “attached” dwellings.
Alternatively, you would need to subdivide the site for multiple detached dwellings. Which if allowable can be a costly exercise.
To avoid the complications of subdividing the land [three titles is not likely given the gross area] any attached dwellings should be strata title – each strata title sharing maintenance of the common property, etc.
My recommendation, if allowable, [based on the information provided – although subject to site feasibility] is to build three adjoining townhouses and sell strata titled.
— Michael
a slow down? I think you may be waiting a while for that. I wish it would though, its difficult to find guys to take work an at the moment.
Extensive list of ‘Off The Plan’ property available for sale in Perth.John – 0419 198 856
sounds good. have you checked the zoning to see how many houses you can fit on it? you will need to get comparable sales of houses similare to what your building and subtract the price of the development to completion and this will give you you profit margin before tax. alternatively you could look at a number of option for your block such as, sub divide the block into 2 or 3 blocks build on one block and sell the other block/s massively reducing your morgage; build 2 houses on it, live in one for a little while and then sell it tax free and rent the other; or even just build 1 house on it and then move in and sell it tax free. look at all your options and all the potential profit margins, and then take them to an accountant and see which one is most profitable after tax. If building 3 houses on it is the best option, you could look at having some of the expences of the house you will rent put on the 2 you will sell which will reduce your profit on the ones you will sell and reduce the tax you pay an the profits, while your rental is built for a much lower price and you would have a smaller morgage and greater return. check your accountant if it is ok to do it.
Sean Chinnery
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