Where do you plan to develop? Check out this site for estimated build costs http://mortgagehouse.com.au/construction/construction-costs-per-square-metre.aspx It advises 3br, 2 level brick veneer townhouse, including allowance for common property, medium finish $1,480/sqm
Very handy website thanks for that. Although I'm not sure…[Read more]
AALLII replied to the topic Help with financing a property purchased under a Family Trust. in the forum Finance 8 years, 7 months ago
Thanks Terryw, sounds good much more clearer now.
Really? that sounds far too expensive, based on your calculations of 1500+ per sqm it would roughly cost about 300k for a 21.5square double story unit. That sounds a bit expensive? I'm not a builder myself so some help would be appreciated.thanks
I am accountant in the area of financial reporting and we are governed by the Australian accounting standards board and per the aasb we are allowed to capitalize interest on costs such as interest. Can interest be capitalized for property development by tax legilation and form part of the cost base? Thanks
AALLII replied to the topic Help with financing a property purchased under a Family Trust. in the forum Can someone please explain 8 years, 7 months ago
Can someone please explain the difference between having a company setup to be the trustee of a trust as opposed to having myself as the trustee of a trust which will be used for purpose of subdivision and land development.
Someone mentioned above that approx 90% of homes build before 1980’s will have some asbestos.
I have recently got a house and nowhere in the contract does it state it may or may not have asbestos. My plans are to knock it down and build over the land, anyone know of some prices i should expect to deal with potential asbestos and demolition?
Really, this is new to me. I can see the logic that CGT will not apply if you buy land and develop, however what if you buy land with a house on it and then subdivide, build and sell.Will CGT apply under this scenario? Obviously it is more beneficial if CGT did apply.
If you do not use the margin scheme or wasnt included in your contract of sale, does this mean that the credit which would ordinary be available for the cost of land (i.e 1/11th of cost of land) will not be available anymore? Also my understanding is as follows:Use of margin scheme – I.e. you buy land for 500k, develop units and sell total…[Read more]
Yes I will seek professinal advise thanksHowever before I do, would you know from what time period you are classified as owner for 12 months purpose (50% CGT); i.e. settlement is likely to be for example October 2012, building is likely to take for example 9 months on 5 units. Do you suggest to be able to gain the 50% CGT benefit to hold onto…[Read more]
AALLII replied to the topic Finance on a block of 6 units on one title with residentail rates in the forum Finance 8 years, 7 months ago
I am considering developing 5 units on a single title. All are three bedders with 2 car garages in a suburban location. I have been advised that big 4 banks will only consider 3 or 3+ unit development as commercial and consider rates at approx 11%.This does not seem reasonable to me as the property will be secured anyway.This is also my first…[Read more]