Forums / Property Investing / Help Needed! / Can I do this ?

2019 Money Magnet Symposium - Discover how to make, and keep, more money and achieve a financially empowered future
Viewing 9 posts - 1 through 9 (of 9 total)
  • Profile photo of ILIKEMONEYILIKEMONEY
    Member
    @ilikemoney
    Join Date: 2012
    Post Count: 8

    Hi,

    I currently own an investment property in NSW and would like to increase the income from it.

    It is a THREE BED TWO BTH DOUBLE GARAGE VILLA IN A COMPLEX OF THREE>

    I was thinking of converting the double garage into a studio OR ONE BED AN RENT OUT

    I WOULD HAVE TO BUILD A SHOWER AREA  AND KITCHEN  THAT IS THE EASY PART THE QUESTION IS WOULD I NEED SOME SORT OF PLANNING COMMISSION>

    ALSO IT IS AN ATTACHED GARAGE I WOULD BLOCK OF THE ENTRACE TO INTERIOR OF THE HOUSE OBVIOUSLY

    DOES ANY ONE HAVE EXPERIENCE WITH THIS

    JUST A QUICK QUESTION HOW WOULD YOU SEPARATE WATER AND ELECTRIC METER READINGS>

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    Sounds like it would need planning approval. You should call your local planning authority to suss out.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of ILIKEMONEYILIKEMONEY
    Member
    @ilikemoney
    Join Date: 2012
    Post Count: 8

    Hi,

    What about just converting garage into bedroom/living area and renting to mutiple sharers the whole house.

    Would body corporate affect this in anyway?

    Has anyone tried that on this forum

    Thanks,

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,010

    Have you looked at selling it under Vendor Finance terms.

    Certainly would increase the cash flow.

    Cheers

    Yours in Finance

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    You'd need to ask them.

    I wouldn't rely on info from strangers about a body corporate issue to find out later that it was a problem and all the work needed approval.

    Give them a buzz and ask.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of ILIKEMONEYILIKEMONEY
    Member
    @ilikemoney
    Join Date: 2012
    Post Count: 8
    Profile photo of ILIKEMONEYILIKEMONEY
    Member
    @ilikemoney
    Join Date: 2012
    Post Count: 8

    Thanks will do,

    What have been peoples experience on here with renting a property to sharers.

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,010

    You would sell the property at an initial nominated price and retain title to the property whilst the buyer pays you with a series of instalment payments. 

    You would charge interest on the outstanding balance at a higher rate than you are being charged by your current lender and retain the cash flow difference.

    Cheers

    Yours in Finance

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of Josh AthertonJosh Atherton
    Member
    @josh-atherton
    Join Date: 2011
    Post Count: 269

    The blunt answer to your question is to review the body corporate. However, you should technically own what lies within your 4 walls. As the garage is separate, check the exclusive use plans.

    Their is a possibility of separating the water meter (I think) however it will depend on where the meter is located. if it is near the house (unlikely) it will be easier. You are better to either charge the tenants an agreed water usage amount and you take on the risk of a slightly higher bill if it arose. Probably cheaper than paying a plumber to install a new meter. 

    Finally, the main issue I foresee is the car parking. many body corporate's regulate car parking externally from your premises.

Viewing 9 posts - 1 through 9 (of 9 total)

You must be logged in to reply to this topic.