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    Development feasibility

    I do want to make money, but it doesn't need to be immediate. Is my strategy of building 2 houses from a subdivision and keeping the houses and renting one out too much of a pipe dream? I still don't see the linkage between my intention of keeping the houses and making a profit.
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    Development feasibility

    Thanks for the feedback devo. It's good to hear from someone who's actually done something similar. So the property you purchased had a house and a granny flat on there and the backyard was big enough to subdivide and build on? Did you sell the newly built house? Also, if you dont mind me...
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    Development feasibility

    That is definitely an upside. Instead of living in a rundown house which i would probably have to renovate, i will have one that suits my taste and brand spanking new as well. This is not a problem with me at all. Living next to tenants is a plus for me. I wouldn't let them know that i'm the...
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    Development feasibility

    Yes i understand. And you are right. Yeah I'm taking it in. Thanks for the advice. It's much appreciated.
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    Development feasibility

    Ok thanks.
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    Development feasibility

    Since when did i say i'll end up with 2 for the price of 1? You misunderstood. What i was trying to say was that i would rather end up going through all the headaches for 2 constructed properties over the easy road of simply having 1 property. I did not say i'd be ending up with 2 for the price...
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    Development feasibility

    If they are both going to give me the same amount of profit, i'd say the headaches are all worth it when i end up having 2 properties instead of 1. By the way, are ALL developments headache free? Also, I thought that properties are appreciating assets. So whether i choose to construct 2 houses...
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    Development feasibility

    I'm so confused. What is the difference between a development and an investment? Aren't they pretty much the same thing? Developing just involves the act of constructing the buildings - i'm still essentially investing for their construction and thus future capital growth/profit. I'm not looking...
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    Development feasibility

    I see. Thanks for the clarification westminster.
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    Development feasibility

    Is an immediate profit usually required to justify an endeavour such as this? My intention was to make the first house as my PPOR and the other as a rental. If i can afford it, why not? I want to set myself up in the long term and create equity. Isn't this what investing is all about?
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    Development feasibility

    Thanks for the advice Rockstar. I have heard similar advice from others as well with regards to letting the bank know of my intentions. I will be talking to brokers with regards to my capacity. Thanks.
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    Development feasibility

    There isn't money in the whole deal for whom though? Me or the bank? What's it to the bank if there's no money in it? If i can pay them back the loan, isn't that all they should be concerned about? Who's concern is this total cost of 710k? Mine or the banks? If i paid 50k for the deposit and...
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    Development feasibility

    I apologize but i still dont follow. I understand that i would be borrowing 200k for the first and second builds. Which is why i thought that if i only build 1 house to start off with (which would probably take as long as the subdivision to be approved), then i can use the equity from the...
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    Development feasibility

    I'll most definitely let them know! So if the bank values it on the land and the construction of the 2 houses, does that mean the unsubdivided land with the original house? So the value would be original purchase price (250k) + price of 2 houses (200k) = 650k? I'd be very uncomfortable having...
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    Development feasibility

    Aaron, would the contruction loan be for both houses all at once? Or each house separately? i.e. in between subdivisions? If it was for both houses, i doubt i'd be able to afford the entire loan. And you wouldn't be able to leverage the equity from the subdivided land would you?
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    Development feasibility

    Thanks TFS. I'll definitely get in touch with the townplanner when i do find the property i want.
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    Development feasibility

    Hi all, I have an overall goal. It's basically to find a property (vacant land or house), demolish, subdivide in half, and build 2 houses. I want to know if my thinking for funding this project is correct. I'll use rounded numbers and make it very very basic to make things simple. Say i...
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    Buyer's Agent in Adelaide

    Yup i emailed him already :) It definitely is like card games! The situation i described in that thread though was a weird one. Traditionally, i thought that if you offer the asking price, the vendor or agent would be happy and sell straight away. Also, i thought that when the vendor gets...
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    Buyer's Agent in Adelaide

    Ah I see. I dont think i'll be able to make this one. Thanks for the invite though.
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    Buyer's Agent in Adelaide

    Hi Jim, What happens during the meeting?
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