What is your strategy?

You can, provided you're prepared to take the (substantial IMO) risks that go with it.

Doesn't have to be substantial, I'd argue a basic buy and hold returning 5% gross and growing on average say 6% pa (so barely over inflation) is a much higher risk than a basic subdivision that almost anyone can do yet would return significantly higher sums
 
basic subdivision that almost anyone can do yet would return significantly higher sums


I don't think "anyone" can do it. To most people, buying a simple IP is a major undertaking, let alone getting involved in a subdivision.
 
I don't think "anyone" can do it. To most people, buying a simple IP is a major undertaking, let alone getting involved in a subdivision.
Have to agree.

My SIL subdivided her own property in Frankston North a few years ago.

We were helping her (given our limited knowledge of subdivs), and she also paid a crowd to help her with the whole project.

It was worth it financially for her, but jeeez; there were lots of hoops and problems along the way.

Most folks who were considering doing one - but had never done it - if they were standing off to the side watching this whole project transpire would probably be put off.

It took well over a year to get the thing done....and there was no build involved. Just a subdiv and sale of land.

Doesn't have to be substantial, I'd argue a basic buy and hold returning 5% gross and growing on average say 6% pa (so barely over inflation) is a much higher risk than a basic subdivision that almost anyone can do yet would return significantly higher sums
But on the other hand; as Sanj intimates here; once you've done one (and if it was a success) then the next is easier etc.

Sorta like the first ride on a roller coaster - seems scary then once done you can easily go back for more.
 
You can, provided you're prepared to take the (substantial IMO) risks that go with it.

My point exactly, you can.

As far as risks go, there is risk involved in what ever you do.

No matter what you decide to do, one should always be focusing on maximising cash flow & minimising risk.

As far as what level of risk is involved, that is determined by one's own personal risk profile. One mans high risk is another mans low level risk - stroll in the park.
 
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