Hi guys
I have an investment property in Northern suburbs of Victoria which is on a block of 300 sq. It is fairly about 10 years old with 3 bedroom and 2 bathrooms and prob the house size is of 10-12 sq. This is now given for rent. I intend to move into the house next year and live for a couple of years and sell it off to avoid Capital Gains. Before i move in, i wish to build upstairs with a few bedrooms and demolish the bedrooms downstairs and make it as a lounge.
Can anyone tell me if it is too much of an hassle to build upstairs. I am pretty much new to this renovation aspect and am trying to figure out the process to go about this. I did look at the council application forms which mentioned about soil tests etc. Do i need to do this even if it is an existing house renovation and not a new one. I am assuming these extensive tests are done for new houses. But please correct me if i am wrong.
Has anyone got any contacts with some good builders who are reasonable.
Any advice is appreciated on the process to go about and a rough idea of the costs involved.
Regards
Pks
Hi Pks
The main question you need to ask yourself is “will it add value?” – you’ve mentioned that you’re going to sell it in a couple of years – have you considered other ways of improving the value at less cost? This doesn’t sound like an affordable renovation – and at the end of the day, if you’re left with a 3 bedroom townhouse (albeit with bedrooms up stairs rather than down) then I can’t really see how this will dramatically improve the value of the townhouse (and if you’re spending large bucks on a reno, you would really want to see a large increase in value).
You may need to consult with your body corporate (if applicable) as well.
Just my 2 cents.
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Hi Pks,
May I ask whereabouts in Northern Victoria is your site? You need to find out what zoning your properpty is located by visiting http://www.land.vic.gov.au/land/lcnlc2.nsf/Home+Page/Land+Channel~Home+Page?open, in certain zonings, a town planning permit is required for any modification to dwelling on a lot between 300m2 to 500m2. That translates to extra cost and time (2 months minimum). This should be the first thing you find out. I hope this is any help to you and let me know if you need any further advice.
cheers!
Hi guys
Thanks for getting back tome. I have the house in Reservoir and there are lots of blocks with single storied. Checked with the council and they dont have any objection. I was under the impresstion that any house which is single storied gets some value added up. This house is on the block of its own which is about 290 sq size land. So there is no body corporate for this. The owner earlier subdivided his backyard on the corner block and set up a seperate entrance for my house. So both my house and the orignal owner have entrance on different roads.
Jamie, why do you think that there may not be any value in this. Arent single storied houses have more value than the ordinary ones.
Regards
Pks
pks,
Please check your Private message, I have sent you some information which should help.
cheers
pks wrote:Hi guysThanks for getting back tome. I have the house in Reservoir and there are lots of blocks with single storied. Checked with the council and they dont have any objection. I was under the impresstion that any house which is single storied gets some value added up. This house is on the block of its own which is about 290 sq size land. So there is no body corporate for this. The owner earlier subdivided his backyard on the corner block and set up a seperate entrance for my house. So both my house and the orignal owner have entrance on different roads.
Jamie, why do you think that there may not be any value in this. Arent single storied houses have more value than the ordinary ones.
Regards
Pks
Hi pks
I might have read your post incorrectly.
The way I read it was that you were going to reconfigure the layout of a two story townhouse.
But now it looks like you’re planning on extending upwards? Is that correct?
Cheers
Jamie
Jamie Moore | Pass Go Home Loans Pty Ltd
http://www.passgo.com.au
Email Me | Phone MeMortgage Broker assisting clients Australia wide Email: [email protected]
Yes Jamie, that is right. As the house is a bit small for me to move in currently with all the rooms congested, i am thinking of renovating by going for single storied and moving the bedrooms upstairs.This would make the house a bit spacious with downstairs and upstairs. If the budget gets too big for constructing 3 bedrooms upstairs then i may have to think hard about it.
My point is, if i live in the house for 2-3 years and then sell it off, then i could avoid the CGT to some extent.
Any thoughts on this.
cheers
pks
I think you could extend. But make sure that it's within your budget. You said you'll be staying for 2-3 years right? Is your place a great site for buyers? Well, every year prices of houses and lots goes up. So I think its a good idea.
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