Hi all,
I just bought a house in Sydney and I've just learned that a lot of the properties behind mine and also on the same street have recently been rezoned to medium/high density. There are 4-5 houses about 300M away that hve been rezoned and no doubt a ton of units will be built there.
Two questions:
1. What will the rezoning do to the value of my property? My property has NOT been rezoned and is still standard residential zoning. The street is quiet and leafy and I don't think it will be for much longer with a few different blocks of units possibly going up down the road and behind us.
2. My conveyancer didn't mention this to me when I bought – and the zonings were already rezoned before he was doing his research and due diligence with council etc and he didn't pick it up – do I have a legal case against him, assuming the value of my property will drop if the units are built around my house? I would NOT have purchased the house had I known about the rezonings.
Any help is appreciated. Feeling pretty down right about now considering this is the first house my wife and I have lived in since we got married last year
Hi there Mr LasVegas,
Firstly, your assumption that new units will bring down the value of your property is pretty much unfounded, they'd have to stop all development if this was the case.
Once development first starts happening in an area the prices of other existing properties often starts to head upwards. Even if your land is not zoned for medium density, it may become more desirable as people see it as being one of the few remaining detached dwellings in the area (even if it's not).
The way to make sure that you have attractive dwellings built around you is to be involved in the planning process.
As far as your conveyancer goes, they will not do you due diligence for you (whether it is a good place to buy), as the property buyer, you need to do as much homework as you can about an area before you get in.
I personally wouldn't get too worried about the rezoning, you can always try to meet with the developers (if they own those blocks) to work with them, and also you haven't said for sure that the blocks are owned by developers at this point in time. They may not be redeveloped for a long time, or they may actually be redeveloped into something nicer….. you never know!
Cheers
D
DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email MeThanks DWolfe. Anyone else have any insight to share?
I would be thrilled to bits. Either way the value of your place will go up, and if your place didn't get rezoned, it's just a matter of time. Then your place will be worth even more.
Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
Email Me | Phone MeVIC Buyers' Agents for investors, home buyers & SMSFs.
MrLasVegas wrote:2. My conveyancer didn't mention this to me when I bought – and the zonings were already rezoned before he was doing his research and due diligence with council etc and he didn't pick it up – do I have a legal case against him, assuming the value of my property will drop if the units are built around my house? I would NOT have purchased the house had I known about the rezonings.
Did you ask your conveyancer to check this?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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