There are two main reasons why people choose to subdivide: as an investment; or to free up the money they have in their home. In case one, people have purchased some land or a house (which they will demolish) for the specific purpose of building a number of homes, townhouses, units or apartments in which they hope to make a profit by selling (or renting).
In case two, people are prepared to demolish the home they live in, subdivide their property (usually in half) and build two, new, smaller dwellings. They will live in one, and sell the other, with the expectation that the money they receive for the second home will pay for theirs, (and possibly even free up a large sum of money). Typically, this is the domain of empty-nesters who are looking to downsize, but don’t want to move away from their location.
With five investment properties already under his belt, Bruce Benfield is currently in the process of building another four. All have been built by Fairmont Homes.
When building investment properties, the choice of home design is very important.
Are you looking to divide your block? Check out this article for layout ideas.
Close proximity to the city is highly desirable and is a big factor in the sale-ability of a property. Spiro Papaemanouil talks about his Investment history with Fairmont Homes.
Fairmont Homes offer choice and flexibility, and have the experience and expertise to create exactly what you want. We have a huge range of Courtyard and Villa homes, and our Collection of affordable housing is ideally suited to smaller allotments. Fairmont Homes also offer a completely individualised, architectural service. We help a lot of people with subdivision developments, we have a top team of architects and drafts-people, with combined experience of over 40 years, who have been involved in some fantastic projects. And we can work to any budget.
As well as the actual design of the home, there’s a lot of ground work that needs to be organised: things like working through the relevant council’s development guidelines and zoning requirements, applying for planning consent, land division applications, identification of proximity to services etc; the list is quite considerable. Fairmont Homes can help you through all that; we’ve done it thousands of times. In the end, it’s about getting your investment off the ground for a realistic price, and that’s the service we provide. Whichever way you look at it, subdividing can be very profitable.