First development 8.65% ROI and $100pw cashflow positive
- Thread starter Erica
- Start date
I haven't read the whole thread so sorry if this has been mentioned.
You can usually book in a pre-DA meeting with council to discuss your application and get some advice from them on what will/won't be approved. This gives you a chance to make amendments to better your chance of approval on the first go.
You can usually book in a pre-DA meeting with council to discuss your application and get some advice from them on what will/won't be approved. This gives you a chance to make amendments to better your chance of approval on the first go.
Great Job. The best part is that you've come out the other side with a win and you've leart heaps you can apply next time.
I love your point about Subdivisons not being for those who can't handle the stress!
I've not gone there for the reasons that it's a bit out of your control etc and you'r reliant om someone else giving approval. I'm money partner with a friend doing developments and subdivsion and I could NOT sleep at night with all the 'issues' that get uncovered.
Don't stop now.
I love your point about Subdivisons not being for those who can't handle the stress!
I've not gone there for the reasons that it's a bit out of your control etc and you'r reliant om someone else giving approval. I'm money partner with a friend doing developments and subdivsion and I could NOT sleep at night with all the 'issues' that get uncovered.
Don't stop now.
The bucket loads of stress
Yes there were plenty of sleepless nights... the memory of which is now fading... hmmm, a bit like childbirth, you forget about the pain eventually and decide to do it all over again! My friends think I'm CRAZY.
I'm having a quiet day so just for fun I shall try to remember some of the unexpected headaches I encounterd
1. Significant gum tree in the back yard. It was so unhealthy it literally had it's 2 main trunks fallen over and resting on the ground, so I was 99% confident I'd be allowed to be removed. But not untill after the council insisted on a professional arborist report, so I paid for one to be done, and submited it to council. Stupid council turned around and had their own arborist do a report too, just to make sure, so a sleepless 3 mths waiting on that reply.
2. Council requested plans of the drains for the existing dwelling to ensure none were crossing the proposed boundary before approving subdivision. The SA water branch that holds all plans, had lost ours, geez bad luck. So we needed to hire a 'services locator' a bloke came out with a metal coiled motorised machine and sent it down the sewer inspection point, then metal detected it on the surface and spray painted the ground where the pipes went. Then I needed a plumber to come out draw a diagram and certify that this was where the drains were located- lucky a friend of mine is a plumber, he wasn't too happy to be certifiying some one elses work. (Another 3 month delay)
3. I know I keep rabbiting on about the unexpected sewer easement to SA water, but it's worth another mention because it added at leats 6 mths to the delay and many sleepless nights. We thought it best to go along the West side at fist, then were shocked with a quote of $8,000, so changed our minds and decided to put it on the other side hoping to make it cheaper, and were shocked when the quote came back higher at $10,000 even though we had shortened the sewer run about 5m, WTF!
4. I breifly mention the Lands Title office lost our title, still to this day I have no idea where it went between the bank and the Lands Title office, this added about a 3 month delay also.
5. Building plans took 6 mths, council wasn't happy with stormwater runoff and surprise surprise another cost blow out when retention tanks and pumps were required much to my shock.
6. Accidentally cut the underground phone line to the front house when doing fencing. Had to get the Telstra tech out for that one after digging a massive hole in my newly landscaped front yard, boo hoo, my poor baby plants.
7. Still have no phone to the new house after it was built because the Telstra junction pit was found to be collapsed asbestos when my builder went to connect it. Too bad builder didn't tell me at hand over. I put tennants in thinking I had a new house with a working phone line. Still on a long waiting list to have Telstra's maintenance crew out to fix it.
8. When my landscaper started digging trences (with a mechanical auger mind you) for the retaining wall he hit the underground electricity run, thank god he didn't snap the conduit and get electrocuted. So all I needed to do was return 5 tonnes of concrete sleepers and steel and go for above ground retaining instead.
I'm off for a glass of wine or 5 and a good lie down.
Yes there were plenty of sleepless nights... the memory of which is now fading... hmmm, a bit like childbirth, you forget about the pain eventually and decide to do it all over again! My friends think I'm CRAZY.
I'm having a quiet day so just for fun I shall try to remember some of the unexpected headaches I encounterd
1. Significant gum tree in the back yard. It was so unhealthy it literally had it's 2 main trunks fallen over and resting on the ground, so I was 99% confident I'd be allowed to be removed. But not untill after the council insisted on a professional arborist report, so I paid for one to be done, and submited it to council. Stupid council turned around and had their own arborist do a report too, just to make sure, so a sleepless 3 mths waiting on that reply.
2. Council requested plans of the drains for the existing dwelling to ensure none were crossing the proposed boundary before approving subdivision. The SA water branch that holds all plans, had lost ours, geez bad luck. So we needed to hire a 'services locator' a bloke came out with a metal coiled motorised machine and sent it down the sewer inspection point, then metal detected it on the surface and spray painted the ground where the pipes went. Then I needed a plumber to come out draw a diagram and certify that this was where the drains were located- lucky a friend of mine is a plumber, he wasn't too happy to be certifiying some one elses work. (Another 3 month delay)
3. I know I keep rabbiting on about the unexpected sewer easement to SA water, but it's worth another mention because it added at leats 6 mths to the delay and many sleepless nights. We thought it best to go along the West side at fist, then were shocked with a quote of $8,000, so changed our minds and decided to put it on the other side hoping to make it cheaper, and were shocked when the quote came back higher at $10,000 even though we had shortened the sewer run about 5m, WTF!
4. I breifly mention the Lands Title office lost our title, still to this day I have no idea where it went between the bank and the Lands Title office, this added about a 3 month delay also.
5. Building plans took 6 mths, council wasn't happy with stormwater runoff and surprise surprise another cost blow out when retention tanks and pumps were required much to my shock.
6. Accidentally cut the underground phone line to the front house when doing fencing. Had to get the Telstra tech out for that one after digging a massive hole in my newly landscaped front yard, boo hoo, my poor baby plants.
7. Still have no phone to the new house after it was built because the Telstra junction pit was found to be collapsed asbestos when my builder went to connect it. Too bad builder didn't tell me at hand over. I put tennants in thinking I had a new house with a working phone line. Still on a long waiting list to have Telstra's maintenance crew out to fix it.
8. When my landscaper started digging trences (with a mechanical auger mind you) for the retaining wall he hit the underground electricity run, thank god he didn't snap the conduit and get electrocuted. So all I needed to do was return 5 tonnes of concrete sleepers and steel and go for above ground retaining instead.
I'm off for a glass of wine or 5 and a good lie down.
G'day Brady
Valuation was by Herron Todd White (for my Bank) in January, so I think I've drawn out as much equity as I can at the moment.
I've got tennants lease expiring in August so if they don't stay on, I plan to do a quick cosmetic reno to the old house at front (rip up old carpet throughout and lay floating floor boards, fresh paint, and new blinds only) and will get a valuer back in after that.
I've got my eye on a couple of corner blocks going to auction soon, fingers crossed, the last one I tried to pick up went WAY above my expectations again
http://www.domain.com.au/property/for-sale/house/sa/north-plympton/?adid=2011115284
That corner block you emailed me about in Wallala Ave Park Holme needed a sewer main extension=headache, so I stayed away from that one.
Valuation was by Herron Todd White (for my Bank) in January, so I think I've drawn out as much equity as I can at the moment.
I've got tennants lease expiring in August so if they don't stay on, I plan to do a quick cosmetic reno to the old house at front (rip up old carpet throughout and lay floating floor boards, fresh paint, and new blinds only) and will get a valuer back in after that.
I've got my eye on a couple of corner blocks going to auction soon, fingers crossed, the last one I tried to pick up went WAY above my expectations again
http://www.domain.com.au/property/for-sale/house/sa/north-plympton/?adid=2011115284
That corner block you emailed me about in Wallala Ave Park Holme needed a sewer main extension=headache, so I stayed away from that one.
Jim
G'day.
The original building plans that Weeks and Macklin's engineers prepared showed storm water to be discharged to street via normal stormwater pipes only, which we thought would be ok, my plumber and I thought there was enough fall from the roof to road curb to allow this.
However the council engineers disagreed, the block does slope backward away from the street, (the fall is about 1.5m over 45m depth) so they wanted stormwater off the roof PLUS water off the rear lawn collected into retention tanks and then pumped to the street. Only a 470m sq allotment.
I'll personal message you about the associated costs.
G'day.
The original building plans that Weeks and Macklin's engineers prepared showed storm water to be discharged to street via normal stormwater pipes only, which we thought would be ok, my plumber and I thought there was enough fall from the roof to road curb to allow this.
However the council engineers disagreed, the block does slope backward away from the street, (the fall is about 1.5m over 45m depth) so they wanted stormwater off the roof PLUS water off the rear lawn collected into retention tanks and then pumped to the street. Only a 470m sq allotment.
I'll personal message you about the associated costs.
wow, you have a lot of guts. good on you!! I dont think I'd handle the stress of it all, thats why I've seconded it out haha, to a ba 
each to their own hey. Hopefully i'll learn a little from it too. i'll let the ba have all the headaches.
each to their own hey. Hopefully i'll learn a little from it too. i'll let the ba have all the headaches.Nice one, I'm currently doing similar near by in reynella. Prices in the area seem to be doing good things at the moment, for selling probably not for picking up another.
Theres also a number of larger block in m/vale which are being split into, which could be tempting if any are still around by the time im ready
Theres also a number of larger block in m/vale which are being split into, which could be tempting if any are still around by the time im ready
Hi
Good work for your first development.
Main thing is you gave it go...
Well done and keep up the good work
Good work for your first development.
Main thing is you gave it go...
Well done and keep up the good work
Would a surveyor or town planner have helped prior?
Hi Erica,
Nice work on the subdivision and new build Out of curiosity, would a surveyor or a town planner have picked up the sewerage issue / land slope issue prior to buying the property if you had commissioned them earlier?
And if so, how long did it take them to figure out the issue and the costs involved there?
I'm planning to do the same thing but I've heard nightmarish stories about subdivisions, so am thinking of engaging someone to check this stuff. Just don't know if its a Town planner or surveyor that does it
Hi Erica,
Nice work on the subdivision and new build
Out of curiosity, would a surveyor or a town planner have picked up the sewerage issue / land slope issue prior to buying the property if you had commissioned them earlier?And if so, how long did it take them to figure out the issue and the costs involved there?
I'm planning to do the same thing but I've heard nightmarish stories about subdivisions, so am thinking of engaging someone to check this stuff. Just don't know if its a Town planner or surveyor that does it
G'day easyA
Yeah, getting the surveyor to have a look at the title before purchace would have saved a huge headach- infact had I done so I would never have bought that property in the first place! It only took him one quick look at the title and he spotted the issue of sewer run placement strait away and he was able to talk me through all the options to work with it. (Either go community title and both properties use the same sewer line or go Tottens Title and create a easement to SA water, I went with the latter)
My surveyor was able to correctly estimate all costs involved in the subdivision except the SA water sewer easement- which is completely discretionary costing by SA water on a case by case basis, and only occurs when the plans are lodged and the site assessed.
I now email every title of properties I'm interested in to my surveyor as a part of my due diligence process while house hunting and before putting in offers/ or bidding at auction. I have still never met him face to face, all just easy emails and phone calls. I get him to double check I am correct in the location of services- phone, power, water, sewer, gas (all easily available by doing a dial before you dig online application- sneaky tip, just put on the application you intend to dig vertically and they email the info of all underground services ASAP). I also get him to check the allotment size, particularly for odd shaped blocks, the last property I offered on was actually 20m sq smaller that the agents advertised.
I've never used a town planner, just used the builder that I contracted to submit all the plans for the new dwelling. Perhaps a town planner would be of use for larger more complicated subdivisions such as multiple/ group dwellings.
Yeah, getting the surveyor to have a look at the title before purchace would have saved a huge headach- infact had I done so I would never have bought that property in the first place! It only took him one quick look at the title and he spotted the issue of sewer run placement strait away and he was able to talk me through all the options to work with it. (Either go community title and both properties use the same sewer line or go Tottens Title and create a easement to SA water, I went with the latter)
My surveyor was able to correctly estimate all costs involved in the subdivision except the SA water sewer easement- which is completely discretionary costing by SA water on a case by case basis, and only occurs when the plans are lodged and the site assessed.
I now email every title of properties I'm interested in to my surveyor as a part of my due diligence process while house hunting and before putting in offers/ or bidding at auction. I have still never met him face to face, all just easy emails and phone calls. I get him to double check I am correct in the location of services- phone, power, water, sewer, gas (all easily available by doing a dial before you dig online application- sneaky tip, just put on the application you intend to dig vertically and they email the info of all underground services ASAP). I also get him to check the allotment size, particularly for odd shaped blocks, the last property I offered on was actually 20m sq smaller that the agents advertised.
I've never used a town planner, just used the builder that I contracted to submit all the plans for the new dwelling. Perhaps a town planner would be of use for larger more complicated subdivisions such as multiple/ group dwellings.
hi Brady
I didn't engage engineer, drafter or town planner. I was trying to do most of it myself on the cheap. I'm sure had I engaged professionals it would have gone MUCH quicker. But in the end I was able to do it all with the surveyor organising the subdivision and and Weeks and Macklin organising the build of the new house.
The surveyors costs all up about $3000 for all paperwork and final site survey/pegging. And the soil testing/ engineering/ plans and lodging with council for the new house all part of a standard build contract with Weeks and Macklin. (I paid $140,000 for a 140m sq build, low level spec, single storey, not turn key, I finished off floors, driveway, landscaping etc myself)
I didn't engage engineer, drafter or town planner. I was trying to do most of it myself on the cheap. I'm sure had I engaged professionals it would have gone MUCH quicker. But in the end I was able to do it all with the surveyor organising the subdivision and and Weeks and Macklin organising the build of the new house.
The surveyors costs all up about $3000 for all paperwork and final site survey/pegging. And the soil testing/ engineering/ plans and lodging with council for the new house all part of a standard build contract with Weeks and Macklin. (I paid $140,000 for a 140m sq build, low level spec, single storey, not turn key, I finished off floors, driveway, landscaping etc myself)
Not sure if can make this one work.
http://www.realestate.com.au/property-house-sa-park+holme-117686447
I haven't looked at the dev plan for the area. House is set reasonable close to the road, possibly sneak a garage/carport front of the house. Might be too tight, also not sure if enough sqm out the back.
http://www.realestate.com.au/property-house-sa-park+holme-117686447
I haven't looked at the dev plan for the area. House is set reasonable close to the road, possibly sneak a garage/carport front of the house. Might be too tight, also not sure if enough sqm out the back.
Brady- great minds think alike
I did spot that one yesterday- a bit too small I think, only 665m sq. Although it's a bugger because all the necessary services are there for the back yard, (sewer water, gas, electricity= quick and only $20k subdivision)
City of Marion R13- 375m sq required for front detached dwelling, + 320m sq minumum for a semi-detached courtyard allotment. (No area of public open space nearby- to try and get away with a smaller size concession)
I did spot that one yesterday- a bit too small I think, only 665m sq. Although it's a bugger because all the necessary services are there for the back yard, (sewer water, gas, electricity= quick and only $20k subdivision)
City of Marion R13- 375m sq required for front detached dwelling, + 320m sq minumum for a semi-detached courtyard allotment. (No area of public open space nearby- to try and get away with a smaller size concession)
