WA Selling land in Girrawheen

Discussion in 'Where to Buy' started by Martinez22, 27th Sep, 2017.

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  1. Martinez22

    Martinez22 Well-Known Member

    Joined:
    21st Jun, 2015
    Posts:
    374
    Location:
    Perth
    Seeing as small lots of land are selling like hot cakes in this area for around 200K.
    But houses in the area are selling in the low 300K's

    Why not demolish the house and sell the whole block of land (700 sqm2) on its own?
    Is there any value in going with this strategy? any risks etc?

    I'd imagine a block that size would be appealing to a FHOB?
     
    Martinez22, 27th Sep, 2017
    #1
    Colin Rice likes this.
  2. Colin Rice

    Colin Rice Mortgage Broker Business Member

    Joined:
    9th Jul, 2015
    Posts:
    3,184
    Location:
    Perth
    People will pay a premium for a "blank canvas" to build a dwelling to live in.

    If you can cut a piece of land up with its own title then generally it is worth more than the whole.

    If you can work out your total costs to purchase and subdivide and then the value of the end product the difference will or should be your profit.

    Property always involves risk especially for the uninitiated. Get some professional help and pay the relevant fee as it will/should save you in the long run.

    Speak to the agent/s selling the small lots and see who the purchasers are.
     
    Colin Rice, 27th Sep, 2017
    #2