Hi All,
I am currently doing a feasablity study on a development, and have come up with a few costs. I was just wondering if i have missed any, here are the ones I have got…
Land
Closing Costs on land
Closing Costs on Sell
Construction
Interest
Agents Fees
Land Tax
Accounting & Legal
Council Contribution
Strata Fees
GSTCheers,
Dan.
Dan.
Looking for positively geared property? Check out http://www.positivelygeared.com.au
off the top of my head, perhaps council and water rates, surveyors fees,strata consultants, demolition, diconnection of utilities, council crossovers, compulsory landscaping, reticulation, letterboxes, communal services such as power and water and lighting, connection of utilities, loan application fees, valuation fees, artists impressions and marketing material, arhcitect/drafting fees, building licence fees, council application fees, contribution to building training fund and….. contingency.
http://www.megainvestments.com.auExtensive list of ‘Off The Plan’ property available for sale in Perth.
John – 0419 198 856
Dan
Peter combden’s web-site has some useful information, one which is a development checklist that they will send you (no cost).
http://www.smartpropertydevelopment.com.au
James
Cheers Ausprop, Sorry to be a pain, but is there any chance you can tell me what these mean, and give me a rough estimate of cost based on 10 units.
Much Appriciated,
Dan.
Dan.
Looking for positively geared property? Check out http://www.positivelygeared.com.au
gees Dan – big ask. total guesses if I can:
perhaps council and water rates – will only apply to the vacant block untilbuilt, so say $600pa each
surveyors fees – allow say $4000 to cover a prleiminary strata (so you can sell off the plan) and a final building survey so you can submit to planning authority
strata consultants – not sure, say $1500 to cover doing up a budget and running your first AGM
demolition – about $10k to get rid of the old house
diconnection of utilities – about $1000 to cap your sewer, disconnect gas, water etc
council crossovers – need to pay to make the driveway connect to the street – guess about $600 per drive?
compulsory landscaping – council will make you landscape and submit a plan of it before apprval. allow $8000 depending how big block is
reticulation – $2000
communal services such as power and water and lighting, – will you have a security gate or lighting etc? sceurity gate – $5000. lightitng $2000 water meter $500 communal pwer meter box – $3000
connection of utilities – be carfeul if 3 pahse – can be about $300 per property
loan application fees – i think about 1.5% of whatyou borrow also stamp duty on the mortgage
valuation fees value – allow $1000
artists impressions – $400
arhcitect/drafting fees – depends who you use or if you use a project buidler?
building licence fees – ?
council application fees – can bve 0 to $2000 say
contribution to building training fund – they ask you to pay a % value of the construction cost to train building apprentcies – cant recall how much. be safe with 1%
contingency – allow 5 to 10% of your total costs for things that can (and will) crop up
any retainign to be done?
please appreciate these wild numbers could vary radically and would vary from state to state and the size of your land area etc
http://www.megainvestments.com.auExtensive list of ‘Off The Plan’ property available for sale in Perth.
John – 0419 198 856
Cheers Ausprop, you have been really helpfull. In another post I did, I asked for ball park figures regarding the cost per unit. The answer I got (and i understand it is rough) was $10,000 per square. How many of the above items would have already been built into this estimate do you think? (Or anyone else that might know the answer).
Thanks,
Dan.
Dan.
Looking for positively geared property? Check out http://www.positivelygeared.com.au
Dan the $1000/sqm is just the pure construction cost. The ones above are additional.
http://www.megainvestments.com.auExtensive list of ‘Off The Plan’ property available for sale in Perth.
John – 0419 198 856
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