I am contemplating buying a rental property in western suburbs of Melbourne. Why there?. It is cheap and relatively close to CBD.
I am thinking of an old house from 60’s with minimum 600m2.
Are there any property investors with exposure to Sunshine, West Footscray and Maidstone. I would appreciate any tips on what to buy or not to buy. Any tips on which spots should I avoid.My plan is to buy, rent for 3-5 years and develop.
Hi,
I think Deer Park is worth looking at. You have only got to look at all the new building (and I dont mean residential) and how the area is slowly turning around.
Best of luck!!!!
[cigar][cigar][cigar][cigar]
Buy hold and develop in the long term is a great strategy.
But to do that you will need to understand a bit more about the development process before you buy and what you can build or not on the property.
You will find that most proeprties of 600sm (as you mention) will not be big enuf to take 2 dwellings in the suburbs you mention.
So before you buy anything either geta basic underatnding of waht is required for town plannning or get soemone on your team that does.
Michael Yardney
METROPOLE PROPERTIES
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FREE subscription http://www.PropertyUpdate.com.auOriginally posted by MichaelYardney:Buy hold and develop in the long term is a great strategy.
You will find that most proeprties of 600sm (as you mention) will not be big enuf to take 2 dwellings in the suburbs you mention.
Hi Michael,
Can you please elaborate on this comment? I have seen quite a few developments take place in the mentioned areas and 600sqm seems to be more than enough for 2 dwellings.
Regards,
OziThanks Michael,
I will double check the minimum land size for the area. I must admit my bigger worry is demographics in the area. I have purchased a property in Heidelberg West in 2005 and had problems with tenants since. Even when managed by a large local Real Estate agency. Would you consider these areas a higher risk to a novice investor like myself.Regarding Dear Park – Thank you for the tip but I am trying to stick to my rule of no further than 15 km from CBD
[medieval]Originally posted by crusaider:I will double check the minimum land size for the area.
For the City of Maribyrnong there is no ‘minimum land size’ for sub-divisions. There are other factors they look at such as the property position, open space, over shaddowing, setbacks, etc… You need to follow the planning scheme. I would start by speaking to the planners at the council. I’ve seen 2 dwellings put on blocks of around 300sqm (tiny!).
Cheers,
OziOzi is correct, in Victoria there are no minimum land sizes. There are minimum land sizes below which you need a planning permit, and there are numerous provisions that need to be followed such as no. of car parking spaces and amount of private open space, which restrict the numbner and size of dwellings you can fit on a block.
Some advice for anyone looking to develop, get yourself a very good architect/draftsperson with a lot of experience in designing medium density housing. Also don’t skimp on price, you are not buying a commodity, a good designer will be able to fit a larger and more attractive development onto your land, the planning application will invariably go through faster and more smoothly and you’ll get a better end price for your development.
If you have no experience in development, i would also suggest you have a chat with Michael at Metropole. Using a professional project manager will drastically reduce your level of risk.
Regards
Alistair
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