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VIC Townhouses - Direct purchase from builders

Discussion in 'Where to Buy' started by Anki, 19th Sep, 2016.

  1. Anki

    Anki Active Member

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    29th Apr, 2016
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    Location:
    Melbourne
    Hi All,

    Just wondering if there is any website/service which helps in buying townhouses directly from developers?

    I believe marketing companies, agents etc. adds a hefty margin in a townhouse sale. So if such fees could be split between buyer and builder then it would be a win - win for both the parties.

    Thanks
     
  2. Masih

    Masih Active Member

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    Location:
    Hunters Hill, Sydney
    There is a misconception that new properties are expensive because agents are charging huge commissions. The standard commission for OTP properties in Melbourne is 3-5% (oversupplied areas are higher). But developer margins are easily 20+%. On top of that you have rising land prices, labour and material. All these add up and make the property more expensive than existing properties. Another thing is even if a developer doesnt employ an external agent, the commission could already be built in to the price as they have their own sales agents that need to get paid. So if your strategy is to save money by buying direct then I doubt you will be saving much.
     
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  3. Leo2413

    Leo2413 Well-Known Member Premium Member

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    If you want to buy new stock then expect to pay a premium for the 1. newity of the dwelling and 2. margin the developer adds which takes into account not only his profit but overall risk of the project.

    That's why from an investment pow, it's not the best type of stock to be buying for probably the majority of investors imo.
     
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  4. mikey7

    mikey7 Well-Known Member

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    Dealing with a well known big developer recently, they are pushing up their profits to near 30% to 'reduce their risk'.
    Means whoever they buy from gets offered less $, and whoever buys from them pays more $.
     
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  5. MTR

    MTR Well-Known Member Premium Member

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    Location:
    Perth, Melbourne, USA
    If interested you can purchase from me Melb, will be starting my 2 townhouse and single storey shortly

    MTR:)
     
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  6. EN710

    EN710 Well-Known Member

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    NSW
    is it anywhere on Templestowe and surround? I have a friend looking around the area so if yes I can pass the details over :p
     
  7. MTR

    MTR Well-Known Member Premium Member

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    Don't know too much about this area. however I did read that many trying to get into certain schools in this area and it has been one of the star performers.

    Lets face it Melb has been having a great run, if you have been playing in this market since 2013 you have probably made some serious money.
     
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  8. Anki

    Anki Active Member

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    29th Apr, 2016
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    Melbourne
    It also come with +ives like:
    1) Less maintenance costs
    2) Less vacancy rates(compared with old houses)
    3) Depreciation benefits

    Choice depends on the strategy followed by a given investor.
     
  9. Anki

    Anki Active Member

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    29th Apr, 2016
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    Location:
    Melbourne
    Sure...if you give me a good deal....;)

    Would be in touch.
     
  10. forza10

    forza10 Member

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    6th Sep, 2016
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    Location:
    Melbourne
    if you're looking around Epping for an investment around 4% I can pass on details of a project