All Topics / Help Needed! / Waiting Waiting Waiting

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  • Profile photo of babybee123babybee123
    Participant
    @babybee123
    Join Date: 2013
    Post Count: 1

    Hi hoping someone out there might have some creative suggestions for us….We bought a block of land west of Melbourne 2 years ago with the intention of building but due to changes in circumstances decided against doing that and bought a house instead. We have had the land on the market now for almost 12 months and changed real estate agents 6 months ago in the hope that a fresh and more committed approach might get things moving. Evidently it hasn't. We bought the land at a time when vacant blocks were selling like hotcakes so we were confident in being able to sell on, but since then things have slowed significantly with new estates of vacant land being opened up. To our advantage is the fact that our land is bigger than average and has a decent view, although this may also be to our disadvantage as it therefore places it in a higher price range than the other smaller blocks. We have already reduced the price by 10k in the hope of generating interest but to no avail, we have not had one single enquiry.  The frustration is the fact that we are now paying 2 mortgages and have been doing so a lot longer than we had anticipated, we owe our family money and now have a baby so the pressure is on a lot more now so needless to say selling would be a massive monkey off our backs. It seems crazy to me that there has been no interest in the property when the town itself is booming and there are heaps of houses popping up elsewhere. So my question is this: are there any other ways of advertising and getting the word out beyond domain.com.au and realestate.com.au? Perhaps places where interested investors might be lurking? If we could afford it we would actually hang onto the land as the town is going to be huge in a few more years and will reach saturation point as it is geographically limited by national park and a few other factors.

    Any ideas much appreciated.

    Profile photo of JpcashflowJpcashflow
    Participant
    @jpcashflow
    Join Date: 2007
    Post Count: 575

    Hi babybee,

    My gut feeling suggest's that this land might be in a area like: if the area is not on the list please let me know what area this in.

    • Cranbourne
    • Tarneit
    • Wyndhamvale
    • jacksonsville

    During the boom times / first homes buyers grant era i was selling these types blocks of land like hot cakes, Prices for these have always been over inflated.

    I hate to say this but you are in a bit of a pickle, here are my reasons:

    • Demand for new homes in new estates (victoria west) has slowed down allot.
    • Many banks have restricted financing in these areas due to a high number of people going bankrupt
    • Plus people are aware that their is so much land available

    A good friend of mine has been trying to sell his block for a year and has dropped the price even by 30K and still has had no luck, THe main reason based on his area is that builders are selling blocks of land and houses as cheap pacakges with low or no desposits.

    If you tell me what area Il send you  a private message with a stardgey

    Jpcashflow | JP Financial Group
    http://www.jpfinancialgroup.com.au
    Email Me | Phone Me

    Your first port of call in finance :)

    Profile photo of FreckleFreckle
    Blocked
    @freckle
    Join Date: 2012
    Post Count: 1,680

    You might look at a joint venture. You supply the land they develop and build.

    Vendor financed sale. 

    Profile photo of Paul DobsonPaul Dobson
    Participant
    @pauldobson
    Join Date: 2003
    Post Count: 1,196

    Great suggestion Freckle.  Another suggestion involving vendor finance, is to offer the block with Deposit Finance, i.e. the buyer gets a first mortgage from a traditional lender and you finance the buyer's deposit, by way of a second mortgage.

    There are issues around first mortgage providers accepting a second mortgage as an ok deposit and the security of second mortgages but there are quite easy ways to deal with these issues.

    Cheers,  Paul

    Paul Dobson | Vendor Finance Institute
    http://www.vendorfinanceinstitute.com.au
    Email Me | Phone Me

    An alternative way to finance your home.

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