Non-Profit Development

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brazy
Participant
@brazy
Join Date: 2010
Post Count: 6
September 28, 2015 - 5:03 am
Hi guys,
It’s been a long time between drinks for me on this site but I have been thinking about non-profit development for a while and would love people with ideas or experience to chip in.
Basically I’ve done a few renovations in the past couple of years and have done reasonably though not outrageously well. Development has really piqued my interest and I’m looking to get into some small subdivisions and maybe a single build when I get back from Europe in a couple of months.
Anyway back on track. As a long term venture I’ve been reading about nonprofit development in the US and also parts of Europe and can’t really find anything similar going on in Australia as such. I think there is a market for smaller standalone properties for first home buyers and also singles and downsizers. Something that is 2 or 3 bedrooms but new and of an efficient design that appeals to people who don’t need a 4bed 2bath monster house. I’m thinking of prefab housing down the track, something along the lines of what these guys do in the U.S. http://www.ideabox.us.
Short term though I’d love to hear if anyone knows of projects like this I could look at for guidance or even anyone else that is interested in looking into in some more depth with me. The real goal and drive for me is to get the people who work jobs that may not pay so well into a house they can be proud of whilst not having mortgage payments chewing up most of their wage. Just spitballing at this stage though would love to hear some feedback.
Cheers
Mark
- This topic was modified 9 years, 1 month ago by brazy.
Corey Batt
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@cjaysa
Join Date: 2012
Post Count: 1,010
September 28, 2015 - 1:51 pm
You might need to expand a little more on what non-profit developments are – and why you want to get into them (obviously not profit!).
Considering the competitive nature of property in Australia, especially in the development sphere, I’d save the vast majority of social based development is backed by State governments. There are some projects like Habitat for Humanity which I know run programs here in SA, but funnily enough they don’t really sell them that cheap compared to local stock without all the work requirements and restrictions on wages.
Corey Batt | Precision Funding
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brazy
Participant
@brazy
Join Date: 2010
Post Count: 6
September 28, 2015 - 7:06 pm
Hi Corey thanks for the reply,
Non-profit developers that I’ve been reading about provide low price housing for those who can’t get into the private market. I’ve found the term non-profit slightly misleading as it implies that people are doing these developments for free whereas in most cases they are companies that put any profits into further low cost projects or into the community itself.
Why I want to get in? I have talked property with many of my friends who mostly are early to late 20 year olds. Most of these guys want to get in to property not for the profit but just to have their own little slice of the country they can’t cant get kicked out of at the whim of a landlord. Most want a bit of a yard but dont have the know how or confidence to buy an older property and renovate it to their liking. Also in the same boat are people like my Mum who is downsizing but the only thing in the size and style she needs is a unit. I’m not against units or townhouse though find that many people have a real desire for a yard for a garden or pet.
So to get back on track, I’m not sure it would be classified as social housing as such but more providing a product that I can’t find in most markets at a reasonable price. It couldn’t work inner city in a capital but suburbs in more regional councils could work, places like parts of the Sunshine Coast or Cairns or similar. Like I said just spitballing. If I could take a wage and genuinely provide a quality home to people at a good price whilst also reinvesting in the local community I would be over the moon.
As I read this back it doesn’t seem all that clear but hey, I’m a plumber not a writer. Hopefully it does give you some idea of the direction I’m trying to head in, the motivation and the (rough) method at this stage.
Mark