I have a rental in Tamworth that once the house is bulldozed it can fit up to 4 units. It is in walking distance to shops and not far from the tafe and hospitals. What market should I be targeting the young or the old when I design these units? I would like to keep one and sell the rest. Or should I just sell with a DA?
Would appreciate anyones ideas.
Hi Jodie,
I would try to consider what INCENTIVES there are for people to live in a unit in Tamworth.
I believe the main incentive would be for people to SAVE MONEY.
People in Tamworth will not pay top dollar for a "prestigous" unit… NOR will they pay top dollar for "convenience"…
If they had the money, they would either: 1. Buy an acreage or 2. Build a block of units themselves.Therefore,
I would aim to build a very BASIC units… Make them affordable enough so that people CAN'T REFUSE…
but don't spend so much that you go bust.I bet there are some people out there, that would LOVE to buy a basic property at an affordable price.
Just my thoughts…. I wish you all the best.
Regards,
Anthony.The Contrarian wrote:Hi Jodie,
I would try to consider what INCENTIVES there are for people to live in a unit in Tamworth.
I believe the main incentive would be for people to SAVE MONEY.
People in Tamworth will not pay top dollar for a "prestigous" unit… NOR will they pay top dollar for "convenience"…
If they had the money, they would either: 1. Buy an acreage or 2. Build a block of units themselves.Therefore,
I would aim to build a very BASIC units… Make them affordable enough so that people CAN'T REFUSE…
but don't spend so much that you go bust.I bet there are some people out there, that would LOVE to buy a basic property at an affordable price.
Just my thoughts…. I wish you all the best.
Regards,
Anthony.What are you basing all that upon?
Seems like some pretty major generalisations going on.
Jodie,
Do you have any REAs out there that you can get in touch and ask what the biggest demand for unit sales is? 2 bedders or 3? Budget style or more upmarket?
I wouldn't be targetting the rental market as your goal is to sell 75% of them. This means sales data is most important.
I am sure that you should be able to tenant one of them.
Ciao,
Thank you for your comments, I will get a few agents opinions on what is needed in the area. Then way up if I do the units or sell with a DA approval. I have not developed a property so it is a bit daunting. I guess I just need to do a lot of home work and figures. There are units behind and beside my block.
The house is tenanted at the moment and fear that I may have trouble getting them out as they wont be able to find another place in that area for the same rent. A friend has suggested that I offer to hire them a van to move their belongings on the day they need to be out so I will try that first.
Cheers,
Jodie
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