Hey everyone,
I am looking at an investment opportunity. It's a 2 bedroom cottage, down the end of a laneway in the center of a large regional town. It is a period cottage already fitted out as a residential property and originally built as residential, but the town grew around it and now it is right in the heart of the CBD. It is zoned business.
It has 2 bedrooms, kitchen, bathroom and off-street parking, so would likely appeal to a one person business with a small work-from-home operation. I am aware this reduces the likely pool of applicants. It would still be a great little central home, close to restaurants, bars, shops, and transport so if allowed, would appeal to those who do not have a business but simply want to live there.
Do I need to market it as commercial property?
Am I obligated to ask potential renters to show an ABN?
Am I obligated to ask them to sign a commercial/business lease agreement and pay building maintenance, etc?
Would it require commercial finance?
Given it is zoned business I suspect you'll be looking at commercial loan.
Thanks for the response Derek,
I spoke to the agent and the place is currently rented as a private residence (so I guess that answers the other questions).
The car spaces are rented individually to other people…
…so you think it is the zoning of the house (not the use) that dictates the type of loan?
You must be logged in to reply to this topic. If you don't have an account, you can register here.
