Seeking advice to sell a block of land listed for 18 months

Discussion in 'Property Experts' started by Monique, 3rd Apr, 2019.

Join Australia's most dynamic and respected property investment community
  1. Monique

    Monique New Member

    Joined:
    1st Apr, 2019
    Posts:
    1
    Location:
    Sydney
    As an investment we bought a large block and subdivided into two blocks. Some major costs were incurred in getting it ready for subdivision.

    We feel like we have tried multiple angles and are at a loss on next steps. Looking for any out of the box strategies / expert advice from anyone that may be willing to help.

    We have already dropped price some 35% from the initial listing price.
     
  2. Noobieboy

    Noobieboy Well-Known Member

    Joined:
    10th Aug, 2017
    Posts:
    1,151
    Location:
    Utopia
    Where is the block if you don’t mind asking?
     
    Archaon and Dean Collins like this.
  3. Erica

    Erica Well-Known Member

    Joined:
    19th Jun, 2015
    Posts:
    169
    Location:
    Adelaide
    In my experience with vacant land there really aren't many options for getting it to sell:
    1. make sure the block is perfectly clear/visible (ie cut overgrown vegetation regularly), and make sure no one has dumped illegally on the site (put up temporary fencing if need be- it'll depend on the area sure, but I've had 3x A-holes dump building materials/rubbish in very nice metropolitan suburbs).
    2. make sure you have advertising up- sign board out front as well as online realestate.com.au/ domain.com.au listings. Go past regularly make sure sign hasn't been graffiti'd or blown over in wind). Paint over any fencing that has been grafiiti'd promptly too- yeah, I've had that happen lots too :(
    3. and lastly, keep dropping the price until it is at a point that makes it attractive/profitable for potential buyers to build on (I know this hurts, no one likes making a loss, I've had to suffer it myself, sorry I don't think there are any 'out of the box' strategies to get it sold.)

    Good luck
     
    Michael Mitchell and New Town like this.
  4. Archaon

    Archaon Well-Known Member

    Joined:
    20th Mar, 2017
    Posts:
    730
    Location:
    Newcastle
    perhaps approach builders to do a house and land package on it?
     
  5. Propertunity

    Propertunity Exclusive Real Estate Buyers Agent Business Member

    Joined:
    19th Jun, 2015
    Posts:
    3,059
    Location:
    NSW
    If it has a view of ocean or water of some other sort or city skyline view that is only visible from a first or second storey of a house, then build a viewing platform on the vacant land. I saw this done to good effect in Brisbane many years ago.

    It would help if you could mention where the land is located.
     
  6. MRO

    MRO Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    272
    Location:
    Perth
    Is it worth considering building and renting it out? Adjust your strategy maybe?
     
    Archaon likes this.
  7. qak

    qak Well-Known Member

    Joined:
    1st Jun, 2017
    Posts:
    784
    Location:
    Sydney
    Are you using an agent to sell it?
    Do you know why it's not selling???
     
  8. beachgurl

    beachgurl Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    780
    Location:
    Sydney
    I had one that I couldn't move. It got to a point that I stopped getting any offers at all. I decided to build on it as it would be easier to sell and I wouldn't have to discount it. Can you afford to build on it?
     
    Michael Mitchell likes this.
  9. Steph Hon

    Steph Hon Member

    Joined:
    2nd Sep, 2019
    Posts:
    5
    Location:
    Perth
    Sorry to hear it has taken so long.

    Try to check sold history of area, what's listing on the market. If you want to sell quickly, then price it right, it should sell quickly... unless the property is in a small town with no demand or over supply.

    The other factor may be:
    Some agents may have buyers looking - if you are already using an agent, make sure they do conjunction with other agents, and make sure they have a fair split ( my company in Perth usually offers 60% to listing agent, 40% to the agent who can find a buyer). From my experience some agents are very rude when I call up with buyers (to avoid splitting their commission). Or they offer 10-20% of the commission which means the agent who has buyers only end up getting a few hundred dollars if they are lucky.

    If you're selling it yourself, consider giving agents a % for finding a buyer?

    Hope this helps.

    Good luck.
     
  10. Dan Wood

    Dan Wood Well-Known Member

    Joined:
    18th May, 2019
    Posts:
    181
    Location:
    QLD
  11. Paul@PFI

    [email protected] Tax Accounting + SMSF Business Plus Member

    Joined:
    18th Jun, 2015
    Posts:
    9,887
    Location:
    Sydney
    You could approach a local spec builder and see if they are interested in a JV / profit share. 2 lots isnt always attractive however.
     
  12. Brady

    Brady Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    1,643
    Location:
    Adelaide, SA
    OP 1 post about selling, hasn't been seen since...
    Still some decent info in the thread none the less if someone does search similar info later.

    There are some blocks I wouldn't sell as too often people are narrow minded and need to see a house on the block.

    Blocks next door that I put duplex on are <300sqm, but given the use of space, double story, overlooking park, nice light, I don't think a buyer would pay much attention to the size.
    If I had of tried to sell a 218sqm block when the suburb 'standard' minimum is 300sqm just asking for trouble.
     
    Archaon likes this.