Popping our IP Cherry

[wrexter]

For me its when people come along with development plans/ideas and want some advice - and then it turns out they haven't even done basic research for freely available information. Or otherwise taken some steps towards educating themselves - especially after being given advice previously.

For example in WA when someone hasn't even read the Rcodes or looked at the zoning tables when told about them.

I'm speaking generally obviously, its not aimed at anyone in particular - especially not wrexter who seems to have been proactive.

Now that you mention Rcodes and zoning tables, can someone please point me in the direction of somewhere that lays all this information out thats easy to understand i want to make sure i fully understand them as they still baffle me a little.

i understand that R30 means 30 dwellings per 10,000 sqm? but not sure how many units, houses etc are possible in those zoning or what R20/50/100 quite means.

Also is there an easy way to find out what zoning a house is in (check and not take agents word for it) or to find out what areas are proposed for rezoning?


Thanks.

 

[Tulamalula]

Re the proposed rezoning - go the website of the city where a property is located, eg City of Swan etc proposed rezoning maps are on each website. Look under town planning,

 

[HD_ACE]

http://www.planning.wa.gov.au/dop_p...Policy_3_1-Residential_Design_Codes_Print.pdf

enjoy

cheers

 

[HD_ACE]

http://mapsolutions.com.au/intramaps/intramaps-public.aspx

zoning maps.

cheers

 

[Alex P Keaton]

The OP, at least, is still relatively young to be starting. Be careful of your spending, especially as you might lose one income when you have kids. Buy sensible IPs (below city median properties with transport, doesn't have to be popular or cool, check the rental market)

Hi Alex or someone else in the know or have a view on this

I thought it was best to buy a median priced property something that lots of owner occupiers will want to buy into and live, and where more of the people living (if its a unit complex) are owner occupiers rather than the majority tenants?

 

[alexlee]

I thought it was best to buy a median priced property something that lots of owner occupiers will want to buy into and live, and where more of the people living (if its a unit complex) are owner occupiers rather than the majority tenants?

Perth median is 535k or so. Are you buying properties in the 500s? If not, why not?

Majority owner occupier areas often have lower yields, which impacts your cashflow.

 

[perthguy]

Now that you mention Rcodes and zoning tables, can someone please point me in the direction of somewhere that lays all this information out thats easy to understand i want to make sure i fully understand them as they still baffle me a little.

i understand that R30 means 30 dwellings per 10,000 sqm? but not sure how many units, houses etc are possible in those zoning or what R20/50/100 quite means.

Uh oh! You have some reading to do. Good luck!

If you want a survey strata, this is the starting point: http://www.planning.wa.gov.au/publications/795.asp

If you want a freehold (green title) subdivision, this is your starting point:
http://www.planning.wa.gov.au/publications/803.asp

DC 2.2 refers to the R-Codes which is here: http://www.planning.wa.gov.au/dop_p...Policy_3_1-Residential_Design_Codes_Print.pdf

But the easiest guide is this: http://www.bayswater.wa.gov.au/cproot/154/2/Guide-Subdivision.pdf

But the Bayswater guide does not address lot size variations permitted under DC 2.2

 

[perthguy]

Re the proposed rezoning - go the website of the city where a property is located, eg City of Swan etc proposed rezoning maps are on each website. Look under town planning,

Noting that those are not guaranteed. The proposed zoning has to be implemented in the scheme. The scheme goes through public consultation then has to be adopted by council, endorsed by the WAPC and signed off by the Minister for Planning. A proposed rezoning can fall at any of those hurdles.

 

[Tulamalula]

Alex are you saying if you can buy in the 500s you should buy in the 500s?

 

[wrexter]

Hi all

So we are no closer to getting going!

Currently looking at the following options and really keen on getting our foot in the door

We saw our broker, we can borrow about 1.3/1.4 mil based on earnings, equity (being conservative) but obviously we dont want to get over ourselves to want to start with a good value property around the 500k mark.

Would much rather buy 2 x 500k properties than 1 x 800k property etc.


Girrawheen
Purchase a proposed R60 property, rent out and hold for next few years and eventually build a triplex.

Target size block: ~700sqm


Embleton

Purchase a property with potential to subdivide, hold and rent out and subdivide in the future.


Perth

Inner city single or 2 bedroom apartment.
we have been looking inner city all the way to highgate.

Initially started to look off the plan, i.e. pay 10% deposit and wait for the capital growth to increase while build progresses over 18 months, sounds like a good deal? but the apartments are not as good value sometimes and seems risky.

I also like the though of buying what i can see and getting rental as soon as possible.


Maylands

Purchase existing property or empty land and build. Rent out.


Feel like im going around in circles.


One questions from the experienced investors, how can i get access to listings before they hit the websites etc realestate.com, i feel like the good ones are always 'Under Contract' or 'Under offer' before they even hit those sites.

Any other alternatives please feel free to share


Thanks all

 

[Spades]

Hi wrexter and welcome,

500k is a good start to dip your toes and stay at a comfortable level until you learn more.

I won't say good luck but patience is a virtue.

Slow and easy wins the race,there's a bargain buy anywhere,just not in WA.

Cheers Spades.

 

[Colin Rice]

One questions from the experienced investors, how can i get access to listings before they hit the websites etc realestate.com, i feel like the good ones are always 'Under Contract' or 'Under offer' before they even hit those sites.

Network with REAs and be nice to them even if there not nice to you. They also love referrals so if you come across a good one (there out there) refer your family and friends to them. Before my MB days I referred several family and friends to an REA I did business with. Years later he refers people to me and vice versa.

Gear up to 80% on your PPOR with a separate equity loan to be used for deposit plus costs, if you haven't already done so. This may be a enough to bump you over to a decision.

Where you live in the in the southern corridor may be a good place to start for the reasons you mentioned.

 

[Spades]

Feel like im going around in circles.

One questions from the experienced investors, how can i get access to listings before they hit the websites etc realestate.com, i feel like the good ones are always 'Under Contract' or 'Under offer' before they even hit those sites.

Any other alternatives please feel free to share


Thanks all

Hi wrexter,

I'll offer 2 cents from a novice.

Go to opens and talk with rea's and mention your requirements.

Don't know if a paper bag for hyperventilating would help

Keep perusing re . com but look outside the square

Cheers Spades.

 

[perthguy]

One questions from the experienced investors, how can i get access to listings before they hit the websites etc realestate.com, i feel like the good ones are always 'Under Contract' or 'Under offer' before they even hit those sites.

You can meet local agents in the areas you are looking for and get on their purchaser database. Some agents go to the database before the market because the vendor wants a quick sale. If you are not on the database you will not be contacted and the property may be sold before being listed on the internet. Go and have a chat to local agents at home opens. If they are any good, you should find them easy to talk to. You can let them know what you are looking for and take it from there.

 

[wrexter]

Thanks for the advice all, will need to head to more open homes and create some contact.

 

[wrexter]

Narrowing down our search, i think i have gone off the idea of Girrawheen in favour of more areas closer to the city.......for now anyways.

As mentioned previous, our goal is to secure 2 IP's in the next 6 months, with the first to be acquired in the next month.

Maylands - Villa or Unit

We have been having a look at this one

http://www.realestate.com.au/property-villa-wa-maylands-116039783

Is it a better idea if we go after a cheaper/unrenovated option?

Embleton - subdividable block. Rent and subdivide in the future. Retain both for rental

This would of been perfect but its under contract

http://www.realestate.com.au/property-house-wa-embleton-115865603

This one is priced higher, no side access, smaller in size, no suprise its still available.

http://www.realestate.com.au/property-house-wa-embleton-115968791

Perth - 2 bedroom aparment in the city or withing close proximity (i.e. highgate etc).


Anyone comment on those areas mentioned and give us any advice on what to be looking for.

I am trying to get in touch with agents in those areas so that i can be kept on notice for new properties.


Thanks for any advice, really appreciate the help on these forums, we are quite new to the game and with a lot to learn.

Thanks again.

 

[thatbum]

Embleton - subdividable block. Rent and subdivide in the future. Retain both for rental

This would of been perfect but its under contract

http://www.realestate.com.au/property-house-wa-embleton-115865603

This one is priced higher, no side access, smaller in size, no suprise its still available.

http://www.realestate.com.au/property-house-wa-embleton-115968791

Are you familiar with the Rcodes and local planning requirements for subdivision in embleton? You don't want to buy something and find out later you can't actually subdivide.

 

[wrexter]

Are you familiar with the Rcodes and local planning requirements for subdivision in embleton? You don't want to buy something and find out later you can't actually subdivide.

My understanding of RCodes is quite limited, we want to aquire a subdivisible block for a future subdivision.

Those two properties i mentioned are both R25 which means:

Min. Lot size = 300m2
Ave. Lot size = 350m2
Min. Area of Battleaxe Lot = 425m2

Common Accessway
Both proposed lots will need to coply with min. lot sizes (300m2)

Exclusive Accessway To Rear Property
Rear lot needs to comply with min. battleaxe lot area (425m2)
Front lot will need to coply with min. lot size (300m2)

Is there anything else i should know?

 

[thatbum]

It looks like its a straight R25 which is as you describe. You probably just want to check the local planning scheme as well (or talk to someone who knows them) to make sure there aren't any modifications to the normal Rcode rules that might get in the way or any particular one lot.

 

[westminster]

My understanding of RCodes is quite limited, we want to aquire a subdivisible block for a future subdivision.

Those two properties i mentioned are both R25 which means:

Min. Lot size = 300m2
Ave. Lot size = 350m2
Min. Area of Battleaxe Lot = 425m2

Common Accessway
Both proposed lots will need to coply with min. lot sizes (300m2)

Exclusive Accessway To Rear Property
Rear lot needs to comply with min. battleaxe lot area (425m2)
Front lot will need to coply with min. lot size (300m2)

Is there anything else i should know?

Good to see you have the basic rules for doing it as a grouped dwelling (common access) and green title battle axe.
Getting your head wrapped around that is half the battle - especially the upsides of the grouped dwelling which can be major if the front house position is causing issues.