This week, we are beginning the process of selling my mothers property portfolio. She passed away in Feb and my brother and I are executors. She owned 3 houses next to each other in Beecroft. They are all owned outright. One is a house divided into 2 flats, so there are effectively 4 rental properties. Three of them (the 2 flats and one of the houses) have been rented over the past many many years. But, now that mum is gone, its time to sell and move on.
I hope to give some information on our journey as well as use this as an opportunity to get feedback as we go through the process.
We have decided upon a REA, and will put them on the market probably next week.
Our first decision, for this week, is whether to focus on developers, on selling as individual properties or to try to do both. (Apart from our portfolio, we would most likely have 2 houses on one side and 1 house on the other join in, so probably around 1.5 acres in total)
While its a large parcel of land, its a complicated development site, and the advice we have had from a number of people is that we will maximise our sale price by selling the houses individually. (Others are still enthusiastic!)
The complications are that it is a sloped site, the zoning, tree preservation prders and bushfire set backs. Apart from the size and the location, the pluses for a developer is that there is already a street gazetted on one side of the development, so it could potentially be used to access the rear of the blocks, which is all vacant at present, rather than having to use up the land size building a driveway/road.
In terms of the individual sites, one is a knock down/ rebuild with a small 3 bed fibro house on it currently. Its unusual in Beecroft to have a block of this size with street frontage (as opposed to battle-axe). The second is a large house which is currently divided into 2 flats (with council approval). The top floor is a 3 bedroom home. the bottom floor is one bed granny flat. It could easily be combined back into a large home in future. The third is a 6 bed, 3 bath, 4 storey split level home with big pool, formal dining, eat in kitchen, formal lounge, rumpus room..... great house for teenagers and entertaining. (Its our childhood home) Its not a new home (big extension/reno in early 70's.), but has recent kitchen and 2 bathrooms reno, and is freshly painted. So, each of the homes have a fairly clear target audience and good selling appeal in their own right, if they are targetted to the right people.
So, our first challenge is whether to still advertise them/ promote them as a development site. Some of the options that have been raised have been to have a auction for development before the main auctions; to have a tender for the development before main auction and finally to not bother with promoting the development site at all. We are concerned about "putting off" individual buyers if we advertise the development potential.
My sales and marketing experience says that the more focused you are in your promotion, the better chance you have of success..... but I'm also nervous about missing out on an opportunity.
I'd appreciate any feedback you have on whether ou would promote the development side of the portfolio, or focus on the individual properties. If you would push fwd with the development marketing, would you use auction/ tender and how would you avoid turning potential individual buyers away?
Thanks!
I hope to give some information on our journey as well as use this as an opportunity to get feedback as we go through the process.
We have decided upon a REA, and will put them on the market probably next week.
Our first decision, for this week, is whether to focus on developers, on selling as individual properties or to try to do both. (Apart from our portfolio, we would most likely have 2 houses on one side and 1 house on the other join in, so probably around 1.5 acres in total)
While its a large parcel of land, its a complicated development site, and the advice we have had from a number of people is that we will maximise our sale price by selling the houses individually. (Others are still enthusiastic!)
The complications are that it is a sloped site, the zoning, tree preservation prders and bushfire set backs. Apart from the size and the location, the pluses for a developer is that there is already a street gazetted on one side of the development, so it could potentially be used to access the rear of the blocks, which is all vacant at present, rather than having to use up the land size building a driveway/road.
In terms of the individual sites, one is a knock down/ rebuild with a small 3 bed fibro house on it currently. Its unusual in Beecroft to have a block of this size with street frontage (as opposed to battle-axe). The second is a large house which is currently divided into 2 flats (with council approval). The top floor is a 3 bedroom home. the bottom floor is one bed granny flat. It could easily be combined back into a large home in future. The third is a 6 bed, 3 bath, 4 storey split level home with big pool, formal dining, eat in kitchen, formal lounge, rumpus room..... great house for teenagers and entertaining. (Its our childhood home) Its not a new home (big extension/reno in early 70's.), but has recent kitchen and 2 bathrooms reno, and is freshly painted. So, each of the homes have a fairly clear target audience and good selling appeal in their own right, if they are targetted to the right people.
So, our first challenge is whether to still advertise them/ promote them as a development site. Some of the options that have been raised have been to have a auction for development before the main auctions; to have a tender for the development before main auction and finally to not bother with promoting the development site at all. We are concerned about "putting off" individual buyers if we advertise the development potential.
My sales and marketing experience says that the more focused you are in your promotion, the better chance you have of success..... but I'm also nervous about missing out on an opportunity.
I'd appreciate any feedback you have on whether ou would promote the development side of the portfolio, or focus on the individual properties. If you would push fwd with the development marketing, would you use auction/ tender and how would you avoid turning potential individual buyers away?
Thanks!
