We just settled on our block of land last week and are about to take on our first new build project. The land is a 735m2 sloping block in a new estate near Newcastle. This will be for our PPOR and we plan to stay in it for 10 years or so. I like the area, has more of a young and new vibe and it is close to my work. Even though it is PPOR I looked at it from an investment mind. We have made 15-20% on the land as it was purchased OTP and we got in early before that stage of the development was released and registered. My history is buy/reno/hold so a new build brings much more challenges and unknowns into the mix. I thought I'd share the process with the forum and take some of your opinions/advice onboard through this process. The plan is to complete by the end of 2017. The proposed numbers look like this: Land $205k (value on settlement $230-240k) SD and legals 2k ($5k new build grant) Build budget $400k End value goal $750k Equity gain on completion $143k Now that the land has settled we have had my Architect mate draw up plans with everything we want. The challenge now is to reduce the house size as it is sitting at 450m2 and will not even be close to budget. I will post up plans later. Also holding things up is the sale of one of my IP's. Half the build is coming from the sale proceeds of this IP so things have to fall into place for us to move forward.
Will be interesting to follow.. I'd love to buy a block of land and build too, but is a few years down the track so will be good to see how you go.
