I own an acreage and intend to subdivide into 14 blocks, and build a house on each block to rent out.
Would it be wize to have so many of my own IP’s in the one street.
Thanks In Advance.Gosh, sounds pretty interesting. It would be very hard to commment on the wisdom of it.
Do your due diligence. Will they be seperate title? Will the rental market demand them? How will you finance the construction?
I imagine you would get some good savings doing 14 at a time! Perhaps even be worth putting it to tender?
Wheree is the project located?
All the best,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
I don’t know if I would do all 14 at once.
It would be just like me owning 14 units in a complex, are there any problems with that.
I am in Cairns North Queensland.I had a friend do this kind of thing. he hooked up with a mate who was a licenced builder. They pooled their money, borrowed some more and completed the larger scale project. It is worth exploring, it could be very lucrative.
Also, if you don’t have the money yourself, you can always form a company that would do the project and get private finance from investors (maybe even from this forum) to chip in money for a % of the shares in the company. Then you can give them their profits when the project is finished by buying their share of the company back from them.
Think BIG!!! [medieval]
Sounds like a FANTASTIC IDEA !!! As long as :
1) you have the funds to do it….
2) demand for rentals is strong in your area…..you may want to see what the banks will do, as for a development project some will lend you 80%…….
I have no experience in this sort of thing but I can say that I’d like to be in your position right now. If there is a demand for the rental properties then great. If not would you consider keeping some as IP’s and selling some? It sounds like there are a lot of possibilities here.
Cheers
SonjaJust Do It!!!!
Home Based Ideas & Opportunities
http://www.parttimeincome.orgThanks everyone.
Rents are good here, I don’t think finance is a problem as I can sell some to build more.
What I am worried about is having so many properties owned by the same person in the same street (ME), one landlord for the whole street.I can’t see how owning much of a street will be too much of a problem.
I would do it a few at a time and play it by ear.
Cheers,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Like a gated community?
Depends on the area I guess – country towns will have little need.
But a good idea all the same!!
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Get them managed by ‘a’ or different PMs, so nobody will know that you are the landlord….
Cheers
MelHI Investron
Have you got development approval for the site or townplanning issues flood issues not all acre blocks can be subdivided council contributions etc.
Just some thoughts
Cheers
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