Hi – just curious to find out what others have to say about this. I have seen some non residential zoning land for about $35-40K right on the water (lake) in NSW.
I know I have to find out the expected date this land will be available for residential dwellings but to me for this price (can nearly pay for it out of my savings) it could be worthwhile getting one and letting it sit there for say 15 years.
I can’t do anything with the land at the moment though.I’m a beginner to investing and although it will not give me positive cashflow at least I can afford this one
Thankyou and Merry Christmas,
LukeIf you can afford that one, you can afford a residential property worth a lot more if you borrow. The problem with land zonings is that may never change.
I bought a parcel of land when I was 18 in Erowal Bay – Jervis Bay (I am 33 now) and a few months later the land was zoned as National Park after Greenpeace got in to protect some crappy flowers that grow like weeds and no-one knows about. Mind you, the area was already cleared of trees and roads etc were put in.
We can put a fence around the block and put a tent or caravan on the land but cannot build. We still have to pay rates each year because the valuer-general values the land. Go figure!!!
The valuer-eneral values the property at $8,000 in it’s current state. If zoned residential, this lot will be instantly worth between 600-700k. I can’t see this happening any time soon but it is nice to dream.
Robert Bou-Hamdan
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© 2004 Mortgage Packaging Pty LtdOriginally posted by lukebe2:Hi – just curious to find out what others have to say about this. I have seen some non residential zoning land for about $35-40K right on the water (lake) in NSW.
If you’re referring to the ones that come in the daily domain/realestate.com emails, in the Port Stephens area – yawn! – well, put it this way… I’ve been receiving those emails for two years and those blocks have been in every single email, every day, for two years. The only difference being, the twit that owns them thinks they are now worth 30% more after two years of zero interest.
From the typical actions of Port Stephens council (preserving natural areas, protecting buffer zones to the water, funding for greenies to give mouth-to-mouth to Koalas hit on the head by balls on Raymond Terrace golf course, etc.), the blocks are unlikely to ever be approved for residential development. (I live about 30km away.)
I’d think I’d rather buy that $18,000 burnt-out dog in Dubbo, where the local firebug is torching houses. At least it can be built on – once they catch him.
Allan.
Thanks Guys. As I said I’m new to the game so thought instead of spending hours researching it as a possible investment I’d ask around here.
Think I’ll play the safer option.Allan – There the ones. Since I love my golf I could use the land as a tee-off and hit ’em into the lake (like Kramer on Seinfeld). I’m sure the greenies would love that
I live in Newcastle and keeping my eyes out for opportunities in this area (so I can keep my eye on it while starting out). Hard to find but I’m persisting…Thanks again,
LukeHi Luke,
To be able to make an informed judgement on the potential for rezoning of land you really need to read and understand information from a number of sources. Generally local and state Government authorities will have written policies with regard to future urban growth. An example in Victoria is Melbourne 20/30. If you read and understand these you will have a reasonable idea whether ot not rezoning will be possible in the near future.
The process itself is also often long and complex, depending on the current status of the land.
Rezoning land, particularly rural to residential can be very very profitable, but it can take a long time and cost a lot of money. If you decide this strategy is for you, do so well informed.
Regards
AlistairAs a piece of general information, I am regularly involved in applying for land rezoning for land owned by my employer, in areas throughout Victoria. On average, a straightforward rezoning (i.e. has local Council support, no objections received from members of the public) will take approximately 1 year. This is a long time to wait – so you’d want to be confident of the success of your application and the financial returns downs the track.
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