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QLD Buying Land and Building in Loganlea

Discussion in 'Where to Buy' started by smooth excellence, 31st Jul, 2016.

  1. smooth excellence

    smooth excellence Well-Known Member

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    You have a site/pictures of what it'll look like? Would be interested, I mean what does turnkey mean, like including fixtures, council fees etc. or like what Dixon home apparently does?
     
  2. ej89

    ej89 Well-Known Member

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    turnkey means a completed house inside and out. That includes all council stuff. You literally turn the key and it's your completed home.. private message me your email address will send u some stuff
     
  3. smooth excellence

    smooth excellence Well-Known Member

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    Cool just got the email and had a look through it. Guess I'm mainly trying to decide where to buy the land first though!
     
  4. smooth excellence

    smooth excellence Well-Known Member

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    I just saw this pop up, it's a new listing:

    Loganlea address available on request - Residential Land for Sale #201556274 - realestate.com.au

    Called the agent, it's at 20 Pinelands St, Loganlea asking for $240k for a 491m2 lot.

    He's also doing house and land, so for $350k turnkey you can have a 280m2 dual occupancy
    - 3 bedroom rent for $380/week
    - 2 bedroom rent for $320/week


    Thus, for $240+$350k can have a brand new duplex with $380+$320/week.

    I.e. Good investment for $590,000 for a $700/week new duplex, that's positively geared from the start with all the goodies such as depreciation and new home owners grant of $20k. Looks pretty solid eh?
     
  5. gach2

    gach2 Well-Known Member

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    Just had a look

    is that the roadfacing block or internal?

    590k for a duplex (im assuming house + auxilury unit) you may have trouble with bank value).

    Im sure you could build 3 bedroom duplex for under 350k with some shopping around on builders
     
  6. ej89

    ej89 Well-Known Member

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    Sounds like a rip.. I know a couple of builders who'd do that duplex for you for 310k..probably better specs too.. Also, it sounds like a dual key not a duplex... If you can strata title it later it's a duplex.. if you can't it's a dual key...
     
  7. smooth excellence

    smooth excellence Well-Known Member

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    Oh thanks for clarifying the two. Ideally would like strata title on both.

    Ok, so if it's $310k + $240k = $550k for $700/week return, that's even better!
     
  8. RetireRich101

    RetireRich101 Well-Known Member

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    Here are the concerns I am seeing with your approach -

    (1)
    If you buy/build the main+aux unit on the 500m2, please check with council if can strata title it. My opinion is that you can't.
    A duplex requirement on established land is 700m2 corner or 1000m2 regular lot. However if you have slightly smaller lot, say 650m2 corner, you can still build a duplex, however it is not optimal build. It will probably be 3 bed on one side, 2 bed on the other side (or as attached). It is based on Net/Equivalent Density calculations. You could workaround/tweak the design as 2bed + study/media, and I think LCC would accept.
    As with the new estate, majority of them fall under the Small Lot of 250m2 new subdivision, that were released to big developers. There are some of the dual income builds, but they are basically Main+Annexed build, and can not be strata titled.

    (2)
    valuation on completion. since it is on 1 title, the bank valuer will only see a 1 big house on a small lot, so he/she will look for sales comparison of a 5 bedroom, rather than a duplex.

    (3)
    your "$310k + $240k = $550k for $700/week return" is really going for yield ( a 6.6%), but can you see this type of property fetch 600k in 12 months time or $1m in 7-10 years?
    I can see a fibro house on 600m2 for $300k today in Loganlea fetch 600k in 7-10 years, but not those dual income properties.
     
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  9. smooth excellence

    smooth excellence Well-Known Member

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    Solid reply Rich.

    (1) ok sure, maybe not strata title, but that's for resell value and no implications on rental yield. something to note for sure though.

    (2) the bank valuer might see that, but they surely will also take into account it's two separate "homes" for rental purposes to assess risk for lending etc. They would value this over an equally large 5 bedroom house surely?

    (3) I don't know, if I knew it would fetch 600k in 12 months time that'd be awesome. But I'm optimistic that Loganlea is going to be the next BOOM spot in SEQ. IF so, maybe this $550 might go to $650 in a couple of years as Sydney/Melbourne investors look north and go, why is this dual income place so cheap. There' aren't many if any sub $300k houses in Loganlea today, so if you're comparing to a $350k 4bed2bath loganlea 30year old house, it's apples and oranges. Seems like $550k for a new dual income setup might be a better investment + depreciation benefits?
     
  10. ej89

    ej89 Well-Known Member

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    If you're paying 350k for a dual key home you are getting raped by the agent selling it.. I could get one done easily for less than 250k. Better specs too. Ive seen the ones you're looking at. Crap quality tbh.
     
  11. smooth excellence

    smooth excellence Well-Known Member

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    Ok even better. So $250k construction (could you provide the links to plans) plus $240k land for a dual key 3+2 bedroom. I.e. $490k for $700 a week rental income. That's 7.4% on a brand new home with depreciation/owner grant benefits on top!
     
  12. ej89

    ej89 Well-Known Member

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    Bit of research and creativity and you'll easily get that done... Don't always have to listen to everyone on here mate. Everyone has different strategies.
     
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  13. gach2

    gach2 Well-Known Member

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    Is this for PPOR? with the auxiliary unit being an investment
    and you are getting a first home buyers grant?
     
  14. Gockie

    Gockie Jobseeking! SQL Developer Premium Member

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    So true. Please just do what you are comfortable with. If I suggested to buy in a mining town... would you blindly take my word?

    It would have worked a few years ago... would not work now.
    Some strategies have higher risk than others. If you can cope with the potential downsides, that's ok. If it's going to affect your sanf... run.
     
  15. smooth excellence

    smooth excellence Well-Known Member

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    Fair enough. Just wanted to hear everyone's opinion on the Meadowbrook/Loganlea area.
     
  16. smooth excellence

    smooth excellence Well-Known Member

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    Seems like they're selling really well. Isn't any vacant residential land left in Meadowbrook so that might have a domino effect on Loganlea...
     
  17. Subodh Shirodkar

    Subodh Shirodkar Well-Known Member

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    Hi pl pm me would like to know more details
     
  18. RetireRich101

    RetireRich101 Well-Known Member

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    Is this guy daydreaming with this Listing

    "Cost to build (including firewall) 2 bedroom plus study, 2 bathroom, 1 garage townhouse @$110,000 each"

    Can you actually build a double storey townhouse for 110k?

    A 2 bed 70m2 granny flat, single level without a garage and cladding cost around 120k to build.
     
  19. Richard Williams

    Richard Williams Buyers Agent - Southeast QLD Business Member

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    I'd be asking for the CMA on the - Estimated sale price @$330,000 (happy to provide Comparative Market Analysis on request)

    330k for a 2 bed townhouse at the moment in Loganlea?
     
  20. TMNT

    TMNT Well-Known Member

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    anyone used this mob or similar to get a 4bdr for $156k ???

    im looking to do a build type project, hopefully a 3 siter