Green title or survey strata sub division

Hi guys,

I am looking for an advice.

I am a novice property investor.

I have a rental property and the city just recently change the zoning to r20 which allow me to build second house at the back.

I would like to know whether its better to do greent title sub division or survey strata subdivision.

This will be my first project so i am trying to do it right, would be appreciate any feedback.

I am looking at 2 options:
- sub divide and sell land
- build 4x2 and rent

Thank you

 

It depends on the end values in the area and if there are any restrictions on the number of crossovers allowed.
If the existing house needs to share the crossover/driveway then survey strata is the way to go. I'd also probably go survey strata for blocks under $500k value.
Green title is good for high end blocks or blocks where it has it's own street frontage which are highly desirable. For a rear block in a low value area I probably wouldn't.
Not knowing what area your block is in, I can't offer much more than that.

 

Thanks Westminister,

The block is in Parkwood area and last year i got valuation of 550k including the house. The front house already have drive way on the left side so it doesnt need to share drive way.

 

For Parkwood I don't think you'll find much value in going green title. Most blocks I've seen for sale in the area are Survey Strata.

 

First port of call would be to talk to council.

Pretty sure you will need a 4m driveway for green title, plus two crossovers if council will allow.

Will also need seperate services from the mains so if they are over the other side of the road it could get costly. Water, sewer etc. Subdivision costs will be a little bit higher too.

So compare the end values of both types, take into consideration the extra costs to go green title and decide from there. Most of the time survey strata makes the most financial sense.

 

For parkwood I'd be worried about the end values of something like this, and whether its worth doing at all.

 

I did green title first time, then went survey strata the second as it wasn't worth the extra hassle. Both rear blocks sold for around 400k