Hi,
Can a person who owns a piece of land sell it as a home+land package? I read in the API that someone did that, and sold it for a profit than the land and the home cost combined.The thing is, how did she send someone to look at her land, and then say “go find any builder and display home u like, then i can package it for you”. Why whould any buyer do that?
Or maybe a better way is to select the house to be put on there, and then sell it as land + home package off the plan. (without having to build it, let the buyer build it himself). But woulnt the new buyer want to select his own home, and selct the colour etc… if they find out who the builder is and how much the home costs to build… why dont they find a land themself and do it?
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when a buyer gets finance for a house and land package the bank will independantly value the land, and the house. the 2 will need to add up to what you are charging. you will find that most people will just do it themself. the alternative is to sell it as an off-the-plan house, so that the buyer has no headaches with the building costs and interest charges. It’s not easy selling a concept like this tho, hence why companies like Mirvac have huge marketing budgets, displays, glossies etc
http://www.megapropertygroup.comINVESTMENT SALES * RENTAL SOLUTIONS * STRATA MANAGEMENT
BUt if you read this month’s API, on page 44, Amanda did it in 2003. Bought a land, and sold it as a house+land package.
I am sure she did not go thru the building phase.HOw did that work?
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Will have a read of the article fullout and see what they are going on about. there are a heap of different ways they could have done, like everything in property. what month is printed on the front page of the magazine? I am losing track of when I got my last one and maybe my new one hasnt turned up yet. to be honest I am barely reading them these days, seems to be mostly glossy ads for serviced apartments in queensland…
http://www.megapropertygroup.comINVESTMENT SALES * RENTAL SOLUTIONS * STRATA MANAGEMENT
my copy turned up today…
just quickly reading it, it sounds like they just sold it off the plan rather than a house and land package. so she would put in say 20% of the dev costs and capitalise the interest. anyone else interpret it differently?
GST will take a decent slice of this profit too.
http://www.megapropertygroup.comINVESTMENT SALES * RENTAL SOLUTIONS * STRATA MANAGEMENT
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