Forum Replies Created
Jhopper
This will depend on a lot of things , council ,size of the block, how many subs on the block ,has the block got access on another street.
Lets say it is a normal block with one driveway and no other access . Yes in most situations if you meet the council requirements you can just sub divide and sell. Providing all the services are accessable from the street or easements.How ever the best way to find out about it before buying the property is to go to the council with the contract and ask them about that particular property 9 times out of ten they will be able to tell you on the spot if what you want to do is achiveable .Cheers Rick [drummer]
Jules
I am in a discussion group we meet once a month approx, in melbourne , if you are interested in more info , let me know
Cheers Rick[drummer]
Jenny I agree and thanks for the tip on the reno kings book , I have bought it since I read one of your posts
Cheers Rick[drummer]
Sorry for taking it the wrong way I guess sometimes reading as opposed to saying some thing to someone can be interpreted different.
Cheers Rick Happy aussie day mate [drummer]
Anyone got anymore for me?[drummer]
Sanquar I have onwer built 3 homes . I also done a 6 unit project were my builder went bust and my frames wouldnt even pass inspection. I had to take the project over and coplete them my self . Im not asking the question because I want to be a builder .I can already build to very high standards. Im asking the question because my sister is interested in becoming a building in spector and she asked me if I new were she could do a coarse. So i thought I would ask the question is that ok by you.
Looks like I got to this one a little late , but anytime anyone wants to catch up for a chat , I’m interested . Love to chat to people with common interests[drummer]
Maybe try looking under local government tenders in the paper. If it is a house I know that the government are always looking out for propertys were they can put people with dissabilitys or troubled youth . They are moving these people out of institutions and into houses , you may have to comply to there regs . Keep an open mind . Maybe try advertiseing the house out to small businesses . Defence force , student accomodation rent each room out you may triple the return. Being that it was used as a clinic before does it have wheel chair access if so this maybe a market. Do as much reseach as possible for the area see what it is lacking as far as neish markets.
I know this is not much help ,but it may help you think out side the square.Good Luck
Cheers Rick[drummer]
Just do it the hardest part about investing is your first deal. As for were any were you feel comfortable . Just do some home work .
Good Luck
Cheers Rick [drummer]
Hi
To answer this question properly I need more info, but I would say be careful go with your gut feeling. I was in a situation were I used a developer for a unit project and it ended up in court , it was just a big mess . Do you home work and be careful of smooth talkers , thats how I got scuked in.I not know of any web sites sorry.
Cheers Rick [drummer]
Resiwealth you might find that sansue6 property might be a bit far away he is from the USA so it might be a bit hard to check out. Also I think you were a little hard on him there is every chance that he is telling the truth . He may just want peoples thoughts . I know that I always ask for peoples input weather they no any thing about the deal or not . You can never have to much info
Cheers Rick[drummer]
I personally dont like any thing to do with appartments due to the fact that you are not buying any land (practically no land). Buildings do not go up in value they go down in value as it becomes old or run down (in most cases). Land is what goes up in value . The only reason most investors Buy land with a house or unit etc on the land is because it gives them income a long the way. Anyone that gives you rental Guarantees are makeing you pay for them in the price.
Cheers Rick[drummer]
Davcaz
Go and do it the longer you wait time will pass quick and it takes time to get there . Steves book is the best that I have read on investing in property , only beacause I like to turn property over as soon as i realize that in the current market for that property there is nothing else I can do to it (with in reason) to make more money on it. So there for I sell it and re invest some were else that I think has got potential to make money.
But if you have only read Steves book, go read one of Jan somers books this is for more of an investor that likes the sit relax wait, but keep buying property. It is a very good tactic that will give good results. Also anther book that was writen thousands of years ago in stone , but re published in recent time it is called The Richest Man In Babylon this book will teach you how to save money so that you never have to be a slave to money I recon that every body should read this book if they have ever been in a situation were money has been a problem to them . This book is briliant and I try to live by its rule so to speak . Another book is Rich Dad Poor Dad this is a good book how ever very few people that read it could achive the sort of wealth he talks about . But there are some good points.Good Luck
Cheers Rick[drummer]
There are a lot of things to consider.
Is there capital growth now or in the near future. If not then you are losing $6500 a year until there is growth again . (less than that as rent increases).
How long do you plan to keep.This could change the growth issues. If you were to keep it for 20 years then it really doesnt matter in the end you will make a good earn. But if you were to keep it for 5 years and it has little growth then you may not make anything on it.
Short term without growth doesnt mean you cant make money . You may be able to do a reno or sub divide or change the fibro to weather board s do the gardens etc. This may give you profit.
Hope this helps you if you want at beter repley give us more details on your plan for the future with this property .Cheers Rick[drummer]
Thanks guys/gals[drummer]
Better Biz . I agree with you 100%
[drummer]Better Biz & Sansue6
For starter better biz I would never project bigger profits than what the current market is telling me. For example I built 5 town houses in melbourne a few years ago while prises were still rizeing , b4 I started the project I estimated the current market would pull $200,000 per town house. (total $1,000,000). My estimated cost at the time for the total of project was $800,000 this included interest witch if useing private investors you would not have to pay. Or maybe only part pay if using 50% private investor and 50% bank . Total lengh of project 2 years . The first 1st year for plans and permits the 2nd year to build. I put the deposit for the property down made the interest payment over the 1st year also paid for permits . $175,000 property(including stamps etc) $20,000 for drawing and permits. My own money in was . $32,500 deposit for house and $20,000 for drawings and permits.And $11,000 interest on the first year (total of $63,500).So far project owes me $206,500 . Second year find investors to invest with me for the remainder of project 1 year .I got prices to build $480,000. To subdivide , pay dispusements ,council bull<edited> , connections , solisitors , fences gardens etc $70,000.so I needed $550,000 + interest on the original loan for the 2nd year ($11,000 witch I would pay myself along the way) . I found an investor that would give me $550,000 but wanted $650,000 back a total of 19% approx . So total project costs after paying for everything investor, bank, builder, estate agent, etc was a total of $895,000. By the time the project was finished they sold for a total of $1,150,000. up by 150k on original figures due to growth. So concluetion Private investor made 100k profit in 1 year plus got his 550k that he invested with me. I made 255k profit in 2 years plus got my 75k that I invested . Everbodys happy. But every project is different and different risks different amounts of time will require different returns to make it worth while.
Hope this gives you an idea of what could happen when dealing with private investors.
Cheers Rick[drummer]
Thanks a lot Jason [drummer]
Hi Jenny
I have had sim experiences . Vendors do not like people 2 do renos to the property B4 settlement in most situations, unless you get it as one of the conditions of sale. Or if you are willing to pay rent it may be possible . Some vendors are also worried that some thing might go wrong and they are left with a house that has been guttered.one way to intice them is to offer them say a 20% deposit with access to the money instantly or higher than normal rent or both. Be careful with renovating to sell straight away your tax rate could be as high as 48.5% and the taxation office could see you as a business and could make you pay GST. Talk to your accontant before purchase or if you have already purchased talk to them B4 you sell . Good luck
Cheer Rick [drummer]
Thanks Jenny will have a read
[drummer]
