Sell or get permits?

Discussion in 'Development' started by fedex, 24th Nov, 2017.

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  1. fedex

    fedex Well-Known Member

    Joined:
    9th Sep, 2017
    Posts:
    46
    Location:
    Melbourne
    Hi guys,

    My dad has a unit that isn't the most sellable house due to an extensions at the back which wasn't done with council approval and it's come back to haunt him years later as he might need to knock down an old extension. It also has foundation issues and is in an overall run down condition.

    It's situated in a "General Residential Zone - Schedule 1" in Victoria. His unit shares the block with another unit at the back and they have a shared driveway running along the fence. The block next door has 3 units on a similarly sized block, 2 of which make up the size of my fathers unit (almost).

    I was thinking it might be of interest if could maybe try get some permits to build 2 units on his and sell the property with the permits attached.

    His property is on top.
    [​IMG]

    Is it worth it? What are the costs associated with getting permits attached to a property? Does it increase the value in this case enough to justify it?
     

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  2. housechopper2

    housechopper2 Well-Known Member

    Joined:
    5th Oct, 2016
    Posts:
    493
    Location:
    Melbourne
    what suburb? have you determined what the house is worth to sell as is? Do you know what two small units would sell for on the site?

    Permits will only increase the property's value if there is a margin in the project for the developer purchasing.

    With the information provided, it looks like your money would be better spent getting the unit compliant and tidy to sell on the open market.

    There's increasing demand for single level dwellings with low maintenance backyards in Melbourne.