Asbestos Roof

[n17]

I am considering replacing an Asbestos roof I have on a property in Toowoomba. Would this add value to the property, the quote I have had if just over $17000. The Bank advised me when they were valuing property that the roof did effect the value, is this the case?

The quoting contractor also told me that as the roof leaked ( slightly in one place) I could claim the whole replacement cost this tax year as an environmental improvement. I have read up on Google but it seems a bit of a grey area

Any advice?
Thanks

 

[JennD]

I am considering replacing an Asbestos roof I have on a property in Toowoomba. Would this add value to the property, the quote I have had if just over $17000. The Bank advised me when they were valuing property that the roof did effect the value, is this the case?

The quoting contractor also told me that as the roof leaked ( slightly in one place) I could claim the whole replacement cost this tax year as an environmental improvement. I have read up on Google but it seems a bit of a grey area

Any advice?
Thanks

I would argue it might not add value, but might help remove an obstacle of someone in the future buying ?? If you're not selling, I'm not sure why you'd necessarily be in a hurry (unless the fear is that there's danger). If the bank has told you that their valuation didn't take into account the roof, then it shouldn't be an issue in terms of pulling equity either?

The tax part of it is out of my understanding, to be honest. I see a lot of "grey" areas!

 

[Truly Exotic]

if its going to make a cosmetic difference, then yes, but $17k? thats what you have to work out

if not then no,

that is unless, the area is known for asbestos issues/properties

 

[n17]

Thanks for the reply

The bank informed me it did effect the value.

I should have explained a bit more-
We do intend to sell in the short term, so really I should have asked if it is worth putting a new roof on if we are selling- does the roof effect the sale price that much?

 

[travelbug]

What does it look like? If it will look substantially better then yes it will affect the price.

From my understandig when replacing asbestos you can claim it straight away. Unlike if you just wanted to replace it because you didn't like it or it was old.

 

[John M]

What is the property worth? Residential or industrial? I'm guessing resi as a $17k asbestos roof removal is a very small job. If you provide us with more info we may be able to help you out more. Is the asbestos active? Is there insulation between the roof and the ceiling?

The word 'asbestos' scares a lot of people and I find that this significantly reduces the amount of interest a property receives. You'll need to talk to local agents to see if any properties with asbestos roofs have sold in the area and what price they achieved vs what they could have sold for if they had a metal roof.

If I was looking to buy a property which requires a $17k roof job, I would definitely be looking to pay at least $25k less than the market value, and I find a lot of buyers share this view.

Keep in mind that often an asbestos roof removal, clean and installation of new roof can easily be done in a weekend. I've known people to replace 5,000sqm of asbestos roof in a weekend so a $17k job is easy done in a weekend and shouldn't affect your tenant (if tenanted).

Also bear in mind that there are a lot of dodgy people out there doing commercial/industrial asbestos removal and roof installations so I would hate to see the dodgy people quoting on small resi jobs. Make sure you pick someone who knows what they are doing, and make sure they are going to provide a clearance certificate at the end which will prove that the premises are safe, based on the amount of asbestos particles present in the air. A buyer will want to see this.

Good luck with it!