VIC IP in VIC

@melbournian Cool, since I'm not from VIC state, is that a good place to invest or is there any reason your friend bought there ?

 

@Tekoz cash flow positive and his ability to service loans and yes there is some upside but this is long term ip

 

Yes, that's what I'm after too.
I'll research the suburb you posted above, thanks for sharing.

 

Thanks mate...got in touch with them...they look pretty good value for money.

Really good price point...but plan to include a lot of luxuries..hopefully can get to a $315k price point for a 17sqm 3x2x2 in Southeast Melbourne near ....plan to rent for 350-370pw. Just snaffled a block 274sqm for 144k!

 

Good stuff @sash compare with Burbank and the rest to see who throws it the best deals. Whereabouts in south east 144k is good value. They will try to throw in stone tops for 4-5k and flooring for 8-10k which really is half of price in reality

 

It is in officer

 

Hey guys, I have a 815m block in Ballarat , what size house would you recommend to build for an IP?

 

Hard for me or other op to comment. Understanding builds needs some level of local knowledge of the area. If that was in Doncaster/glen Waverley that would be a 3-4 townhouse site. so it really needs some micro knowledge as each suburb differs from the other

 

Hey Sash, check out Carlisle Homes "easy living" range.
Sounds like the sort of product you are after.

 

And let me know what your experience is like Talked to some of their sales people (and I don't like them....).
Carlisle looks pretty good if you don't need to make any changes - they don't accommodate any floorplan changes.

 

@EN710 Volume Builders normally don't accommodate floorplan change. others who do say that would be 5K more.

 

Why such a small block? What can you build on it?

 

First and foremost it depends what you are permitted to do with that particular block. You might not be able to put more than one dwelling on it or carve it up into a couple of blocks. Check that out first.

 

Will do...but I think they are quite expensive...will look into it though

 

A 3x2x2 with a small garden.

Trick up the house and voila....downsizers, couples, busy couples with children, singles...all will rent it. Just make sure to upgrade fittings and make it a bit special with nice landscaping.

 

@sash what's the frontage? i have squeezed 3 X 2 X 2 on a 303sqm block before.

 

The frontage is 13.5 ...the one I have is only 21...so depth also presents challenges but this is where you can make money. By usually do a 153-157 sqm home in the living is about 120sqm...

Houses on 10.5 by 28 deep blocks are selling for 175k....I snaffled mine for 144k. On the 10.5 they can only get a single garage and the house will be narrower so in the end the backyard is only going to be 3-4 meters long.

The builders products on the 10.5 x 28 deep are 345k without all completed (ie fencing, landscaping, A/C, etc) you will need another 15 k odd. So the end product is more like 360-365k.

I will get my product with all mod cons in for about 315k....the rest is just cream or equity maaate!

 

@melbournian yep. most don't but I talked to several that do. Depends on the range you're looking at, Carlisle is NOT cheap. so when comparing their upper range with other 'luxury' provider, flexibility and inclusions, it feels like they fall a bit short. Have to say CArlisle review on Product review is great tho... with their very bizzare response to any negative reviews.

 

@melbournian How do you incorporate these into the standard contract i.e. via a lawyer?

 

@Wukong If not mistaken the standard masters builders contract which majority builders use has a open section for this. Otherwise, i stipulate all my conditions in a separate sheet and have a clause in the main contract that includes this. Some builders tend to agree and say yeah i will do it but try to avoid putting it in(and then come up with excuses later).

Better be clear from the start is my approach. Inspections by building inspectors are very standard (even NAB has clause for this in their construction loan). Volume builder although cheap have many quality issues that need to be checked at every stage. As all the work is contracted out - you may get a good carpenter and some days not etc.