I'm a newbie developer in Melbourne, currently looking to do my first development project. I am looking at doing a knockdown and triple townhouse development in SE suburbs of Melbourne. Plans are currently with council for approval and expecting to hear from them soon. Just joined this forum to learn from you, much more experienced developers Looking forward to learning and developing more! Cheers!
Finance is your first stop - find out how much you can borrow and how much deposit you will require to contribute towards the purchase. If you are doing a triplex and doing back of an envelope numbers then I would put aside around 40% of the end value as contribution you will need to have towards the development around 30% would be the hard costs and around 10% would be the soft costs. Also look at the developments and approvals in the suburb to get a feel for supply coming online and this could impact your product once it comes online.
Solid suggestion - often see clients expectations set on current market sales, without factoring in that there is a heap of similar product getting built which will reduced demand therefore potentially < price.
