Selling salvageable items pre-demolition

Discussion in 'Development' started by Bris Jay, 14th Apr, 2017.

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  1. Bris Jay

    Bris Jay Well-Known Member

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    I've just bought an 810m block on two lots on the north side of Brisbane and there are tenants in there until October. I plan on knocking it down and building two houses and I've received a quote for the demo of about $15k. They don't salvage anything, just knock it down and clear the site.

    Has anyone been successful at selling salvageable items from a house pre-demo? I'm happy to post an ad on Gumtree and stay there on a Saturday/Sunday whilst people pick the house apart but I was wondering if there's a better way to do it? Anyone had any success or ideas for this?
     
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  2. moridog

    moridog Well-Known Member

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    I advertised stuff for free, you remove. People took the weather boards, the garage and lots of bits and pieces . The bloke who helped me took the oak doors in return for labour, advertised some of the wood for firewood for free, you remove. Needed about 7 skips in the end but everything that could be recycled was, still have the floorboards in the new house and the bricks from the hearth are the side brick wall. Much, much cheaper than paying for demolition. Mind you, there are some real nutters on Gumtree.
     
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  3. Joynz

    Joynz Well-Known Member

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    I've purchased from demo sites.

    Bought (and removed) a 50 square metre merbau deck and a toilet window.

    Always see these ads on Gumtree and on eBay (under 'buy now' usually).

    I suggest advertising everything separately (e.g. kitchen, windows, floor boards etc) and in a single 'house for demo all for sale' ad'.

    Put up as many photos as you can, too.

    Demo companies often sell off stuff before demolition too.
     
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  4. BKRinvesting

    BKRinvesting Well-Known Member

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    I've sold most of an old kit bathroom on gumtree.
    $5 here, $10 there. It all added up to cover the cost of the new mirror cabinet.
    As long as you are relatively well located then I don't see why you wouldn't have success for a greater portion of the house.
     
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  5. wylie

    wylie Moderator Staff Member

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    I've seen houses (everything, windows, doors, trims) listed on a local Facebook site and also on Gumtree. I'd try to have people remove whatever they can, even as freebies, if it saves you some money on the demolition.

    But make sure you are covered by insurance. You don't want someone hurting themselves and deciding to sue you.
     
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  6. Scott No Mates

    Scott No Mates Well-Known Member

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    We sold off:
    • Leadlight windows
    • French doors
    • Panelled doors
    • Kitchen
    • HWS
    • Timber
    • Terrazzo thresholds
     
  7. Bris Jay

    Bris Jay Well-Known Member

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    That's great news! Sounds like the best bet is going to be Gumtree. I was really hoping that there might be a company that buys this stuff but I'm more than happy to let individuals take stuff away. Good tip on the insurance Wylie! I actually work for an insurance company so you think that's something that I would have considered!

    Until reading these replies I didn't really think of what's involved in the demo cost. Majority of the cost must be in just dumping fees so the demo company did say that depending on how much I had cleared away prior to them arriving, they would give me a discount. I'd also rather see stuff recycled instead of turning into landfill.
     
  8. Jmillar

    Jmillar Well-Known Member

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    Awesome thread @Bris Jay - I was wondering the same thing actually.

    Given you're in insurance, how would you deal with this? Would a normal Landlords insurance cover you for this sort of thing?
     
  9. Bris Jay

    Bris Jay Well-Known Member

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    I'll actually have to talk to some of my client's (Insurance brokers). I'm a relationship manager for an underwriter that specialises in trucks and earthmoving gear. I've read my landlord PDS today and there is a specific exclusion for any liability arising from the demolition of a property. You could (unsuccessfully) argue that you weren't actually demolishing at the time, you are just selling parts of the house but I wouldn't even attempt it.

    I'll talk to some people next week about what public liability policy would be appropriate.
     
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  10. Sasim

    Sasim Well-Known Member

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    Will happily be corrected but please don't shoot me down if it was the wrong thing to do.....

    We did this with our demo-
    Gumtree....listed individual things that may have been of interest with photos and clearly stated demolition - come on x weekend.

    We also had anyone doing work/ demolishing on the property sign a waiver. They were all understanding and most happy to do so.

    Really we only had about three main groups there (one lot taking the near new kitchen, one the pergola and one timbers and pavers.) All worked together and was actually really good to know things were being recycled. Obviously were letting things go for very low prices but as the prices were so low people were taking more things than they actually came for.
     
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  11. gach2

    gach2 Well-Known Member

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    have you considered selling the whole house? if its on stumps

    if its small house i could be interested :)
     
  12. Scott No Mates

    Scott No Mates Well-Known Member

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    The guy we sold building materials to was one of those 'We buy windows and doors' who posts ads on telegraph poles.
     
  13. wylie

    wylie Moderator Staff Member

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    I wouldn't want to rely on that signed waiver to be what stands between me and being sued (unless the insurance company tells me that such a waiver is acceptable to them).

    I doubt any insurance company would be happy with someone signing a bit of paper saying they take the risk on themselves.
     
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  14. Sasim

    Sasim Well-Known Member

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    Don't disagree Wylie and cheers for pointing it out.:oops:

    Hindsight and learning are wonderful things...especially when mixed in with luck.

    There are many things I would now do different next development. ;)
     
  15. theperthurbanist

    theperthurbanist Well-Known Member

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    Hi @Bris Jay did you find out anything on how one should be insured for this sort of thing?

    Have you done the demo? How did it go?
     
  16. hobartchic

    hobartchic Well-Known Member

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    I was just thinking the same thing. A duty of care applies regardless.
     
  17. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Any proceeds received will reduce the scrapping deduction if you have records to support the value of the Plant & Equipment AND Div 43 remaining.

    In older heritage areas the value can be a bit. Its often easier to allow a renovation yard in site and they will appraise and cherrypick whats salvageable. Some older homes the stuff is like rocking horse ship and they charge for it !!

    I know one in Sydney will work with a preferred demo contractor so they maximise the recovery and they say it helps keep costs down. They promote the demo service in the yard.

    I wouldnt allow anyone unlicensed onsite.

    The recycling issue is a common council requirement and assists sometimes with a DA. Council want proof of recycling as much as possible.

    Huge Rockdale salvage yard for renovation supplies and the website in the link is a directory of the yards in most capital cities

    The doors in the pic are probably worth $2-$5K. Have been there - Awesome yard for period finishes.