Opinions on this purchase....

That's the first thing to do. Look at their track record. Being your first IP, it has to be a tested developer with great record and better resources. Research more about them.

 

Thanks @teetotal.

 

Probably a $2 company that will go into receivership at the first sign of trouble.

Run away!
Marg

 

I think the guys are here on the forum too. There're property subdivisions specialist located in south Melbourne

 

Is this them? PSCA Home

Pending Commercial Court case for a Rosario (Ross?) Voci. http://scvprobate.com.au/lists/commercial_court_current_cases.pdf

 

You are paying for builders margin, developers margin, tax margin etc

Yet you are going to come out 60k ahead?
Hmm

 

Projected value of the property is around 400k which seems to be pretty accurate based on my research. So the difference between this value and the cost of purchase to get to turn key is where 60k is made. It looks to be good project, and the company has spoken about where they make their difference from, as mentioned probably need to find a few more things out before I'd go ahead with anything. They've been around for quite a while and looking into it completed many successful projects, I just need to make sure it's the right thing for me.

 

I can't seem to find out the details of the court case involving Rosario ( Ross Voci) that you mentioned. Can you help me find out the details. I did find that he applied for mutual recognition deregistration on 4/12/15 & his builders license was cancelled in Qld. ( for incorrect info) on same date. His company PSCA was only registered with ASIC in 2014 so seems to have a few trading names. They boast to be very financial & want investors to put in a minimum of $500000 to buy units in a trust in order to buy property to develop. Promising high returns for investment does seem attractive but documents don't have safety nets for investors. They are promoted by Cashflow Capital ( a brokerage firm) so would have thought they were ok.?

 

Call the court if you want to know. it may have settled or verdict given after hearing.

 

Do not do it, i have been down this path and can share this, please PM me if you wish

 

The guarantee is no good if the developer goes bankrupt.
And even if not, you still have to get the refund which may involve expensive legal action.
Are you relying on the developers estimate of the final value?
What are comparable townhouses in the area selling for?

Sounds too risky for me.
Marg

 

Thanks for your input. I would urgently like to speak to you but I don't understand how to go about that. I am new to this site - what does does PM mean?

 

Can we chat privately on this site? Urgent help required! Regards Curry