Container homes

Hi everybody, I was wondering if anyone had any knowledge of buying container homes. I am contemplating buying blocks of land in regional areas with over 10,000 population numbers and putting container homes on them. Im thinking of trying to target students/single parents as the layout would suit them best. My question is I've been a buy/hold investor for the past 10 years never built anything before so its become quite daunting. Can you just have a container home as a dwelling or do you need a main house? How would you finance it. I would have the money to buy the blocks out right but how would the bank look at the container home it only takes a month or so to build would you need a contruction loan or would you need to have a personal loan? If anyone has experience with this I'd love to chat :)

Thanks DCK
 
I do not have experience with containers as you plan to do buy i would think there are a number of potential issues.
Some councils do not like containers on a residential property full stop. Maybe on the out skirts it bush blocks you could get away with it.
But, if you found a council area that was ok with it and a demand you could be onto something!

Would it be a better option to buy a large block with a house them put a granny flat out the back?
 
I do not have experience with containers as you plan to do buy i would think there are a number of potential issues.
Some councils do not like containers on a residential property full stop. Maybe on the out skirts it bush blocks you could get away with it.
But, if you found a council area that was ok with it and a demand you could be onto something!

Would it be a better option to buy a large block with a house them put a granny flat out the back?
Thanks for the reply Bob. I had considered a granny flat option but a lot of the areas ive been looking at are regional and they seem to have issues with supplying new houses aka getting the materials and all the tradies in the town rip out of towners off according to the PM ive talked too. That's why I thought there might be a market for them. They look quite nice inside especially compared to other properties in these towns. I can see the council probably been the biggest hurdle :(
 
No idea about most of your questions, might help solve one however.

Instead of financing the container home and using cash for the land. How about you finance the land, which is easier, and use your cash for the container home?

Good luck with it all.
 
Financing for container/transportable homes are hard to get as the asset isn't fixed. You may be better financing land and doing the homes with cash.

There are a number of threads on here talking about transportable homes from containers to dongas to transportables.
 
The words slum landlord doesn't do this justice. You want to build a refugee camp ?

Why not just sublet self storage units and avoid the costs altogether.:D
 
Financing for container/transportable homes are hard to get as the asset isn't fixed.

.
I remember when I was in the bank about 10 years ago and we 'lost' a house.

The owner had financed it, then picked it up and moved it somewhere else. The land value didn't nearly cover the loan value. And the guy and basically vanished.
In hindsite it was a pretty funny day the day we realized we had lost a house.

Blacky
 
Hi everybody, I was wondering if anyone had any knowledge of buying container homes. I am contemplating buying blocks of land in regional areas with over 10,000 population numbers and putting container homes on them. Im thinking of trying to target students/single parents as the layout would suit them best. My question is I've been a buy/hold investor for the past 10 years never built anything before so its become quite daunting. Can you just have a container home as a dwelling or do you need a main house? How would you finance it. I would have the money to buy the blocks out right but how would the bank look at the container home it only takes a month or so to build would you need a contruction loan or would you need to have a personal loan? If anyone has experience with this I'd love to chat :)

Thanks DCK
I have said this before - but I don't think containers make for the best starting platform for a house.
Making a silk purse from a sows ear...

Also they are not as cheap as other build methods for what you get.

Blacky
 
I like the idea and can see it working in regional areas as there is demand for it! We recently stayed in a donga in north Queensland for a few months! it was a cash deal and with transient workers they always had someone in there as they wanted.

If you could do it local to you and manage it yourself it would work, but you do get the potential extra stress of PMing it!

What about kit homes? Like a Paal one, steel frame that gets delivered and you slap it up, or get tradies in town. That way the materials are there and you control the risk better. The only thing is labour, depending on the town they might fight for the work?? but a visit and a few cases go a long way! Plus the banks should favour it better as its more "proper"
 
I looked at this as well. No bank will touch them unfortunately. Could finance the land and use your money and personal loan if you don't have enough to buy the home?
 
I saw an episode recently on Grand Designs (UK series) on a shipping container house in Ireland and a Google search shows there was also a shipping container build on Grand Designs Australia (Season 5, Episode 1).

It was by no means a cheap or straight forward build in comparison to a conventional house, but then hat is what Grand Designs is about. :)

It did highlight the structural strength of the containers is in the 4 corners. Stacking them other than one on top of another and taking out parts of the walls or doors requires plenty of steel to re-engineer the structure.

Cheers,

Wrexy...
 
.....for storage.
For construction of residential premises. The City Of Joondalup policy is below. They advise me other councils are following suit or already have similar policies.

Responsible Directorate: Planning and Community Development
Objective: To guide and control the use of sea containers within the City of Joondalup.
1. Authority:
This Policy has been prepared in accordance with Clause 8.11 of the City of Joondalup District Planning Scheme No. 2, which allows Council to prepare local planning policies relating to planning or development within the Scheme area.
2. Application:
This Policy applies to all land zoned by the City of Joondalup District Planning Scheme No. 2
3. Statement:
Due to their bulk and often dilapidated appearance, sea containers can have a negative visual impact on the surrounding area, particularly when used in residential areas. Therefore, this policy seeks to:
i ensure that the use of sea containers does not detract from the amenity, character and established or intended streetscape of an area.
ii provide additional guidance and requirements in addition to those contained in the District Planning Scheme No. 2.
4. Details:
4[B].1 The following will apply to the use of sea containers in the following zones:
i Residential, Special Residential, Mixed Use, Urban Development, Civic & Cultural, and Rural zones
The permanent use of a sea container is not acceptable in these zones under any circumstances
. [/B]Use of Sea Containers Policy
City Policy

Draft Use of Sea Containers Policy 2
ii Commercial, Business, Service Industrial, Private Clubs/Recreation, Centre zones
The permanent use of sea containers may be acceptable in the above zones, with planning approval, provided:
 The container is not visible from any street or adjoining property.  Where visible from an area internal to the site, the container is painted a colour that matches, or is complementary to, the colour of the existing buildings on the property.  The container is not located within any approved car parking or landscaped areas.
4.2 The temporary use of a sea container may be acceptable in any zone without planning approval, whether on the verge or private property, provided:
 The container is only used in conjunction with building construction or subdivision that is occurring or approved to occur on the subject or adjoining site, and only up to a maximum of 12 months; or  The container is only used for the loading or unloading of goods and only up to a maximum of 7 days; and  The container is positioned so as not to obscure vehicle sightlines; and  A formal request is received and a letter is issued from the City approving the temporary nature of the sea container, and its period of use.
4.3 In all circumstances:
 Containers are to be used for storage purposes only, and shall not be used for any habitable or industrial purpose. 
 
No offence, but i think you're reading that wrong. For construction of a resi premises or just not allowed to be used for habitable purposes?

You've missed the entire intent behind the policy (ies).

Clearly states that planning approval required. Pretty standard fare.

A Sea Container can't be used for habitable purposes - sure, but a sea container isn't a sea container when fitted out, is it? A sea container isn't a sea container when it's insulated and clad - it's now a structure.

We're doing a sea container apartment block in Midland. It's only a 3x apartment site, but it's industrial and edgy and the council love it.
 
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