Hi From a New Member - Perth WA

[ClarencePlug]

Hi Everyone, just introducing myself to the forum.
Been reading for quite some time and am now a member and quite keen to contribute.
A bit about me:
I am 23, married with a newborn. Entered the market in 2011 and built my own home in Byford WA for $310,000 with a present bank value of $430,000.

Recently have acquired an IP using EQ loan in Camillo (yes I know not a great area but feasible) which I plan to renovate, rent, subdivide and sell. House fit out is crap, block is 768m2 with side access zoned R15/25.

It will be interesting to see what the market does in the next few years but why wait and see. May as well start learning lessons now.. The way I look at things is that even if you break even on a venture, providing you have learnt valuable lessons, the outcome is positive.

I would be keen on hearing from others what to do and not to do in regards to retain and build type ventures. I have a few questions - any advise will be greatly appreciated!

- how much $ should I allow for subdivision costs?
- how exactly does capital gains tax work/where can I find this info?
- what are the generic/general conditions of pretty much all subdivisions?
- has anyone relocated solar panels before? (IP needs them relocated due to demolition of outbuilding)

 

[Ausprop]

welcome!

allow $30-40k for subdivision. If you search there was an excellent post by someone that detailed this

CGT - huge question. try the free booklets at www.bantacs.com.au

 

[Jess Peletier]

Hi Clarence, Nice to meet you!

You've started early, a position many of us wish we were in at your age! Looking forward to seeing your progress

My retain and build hot tip is ~

If the property has an old house on septics, make sure the leach drains do not cross the proposed boundary. That gets expensive!

 

[Aaron Sice]

Clarence - what exactly is wrong with Camillo? If there's an opportunity, there's an opportunity.

Welcome aboard - you sound like you're not jumping into things too hard and fast which is great.

Familiarise yourself with the R Codes >

http://planning.wa.gov.au/dop_pub_pdf/State_Planning_Policy_3.1-Residential_Design_Codes.pdf

< and then have a look at other types of subdivisions in your area for comparison and how they came to their result.

Remember, in Camillo, everything is a new 3x2 or an older 3x1 - 4x1 so something other than this should attract better value, like a 4x2 Double Garage etc.

Any questions you have, feel free to post them up - you'll generally get a good response and try to make it to some networking lunches - most people in WA, and on SS in general, simply want to help.

Cheers.