[On-Demand Webinar] How to Find, Analyse and Research Subdivision Oppourtunities

How to find, research and analyse subdivision opportunities

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• Heads up membership services team at Real Estate Investar

• Team of 6 Portfolio Managers

• Supporting 2,800 subscribers

• Manages the Premium & Concierge Service

• Building and implementing property acquisition plans

Logan Horstead

• Services all subdivision deals in Australia

• Property Investor 20+ years

• Personal experience in subdivisions

• Very specific knowledge around the subdivision process and how to conduct feasibility studies

Justin Hams

• Property investor focused technology company founded 2006

• We help simplify Real Estate Investment

• We help property investors make the most of their investment portfolios

• 250,000+ investors subscribe to our free membership, news and market reports

• 2,800 current members

• Mix of personal users, brokers, buyers agents and accountants

Real Estate Investar

ASX:REV

• Heavy investment in product

• Public company governance

• Strong and focused board;• Simon Baker – Former CEO of REA• Anthony Catalano – CEO of Domain

In partnership with…

Our mission is to provide property investors around the world with the best advice,

guidance, products and services to enable them to create wealth through property investment.

Search

Analyse

Acquire

Track

Account

Poll: When are you looking to purchase next?

Notes for the presentation• The purpose of what we are going to

show you is to demonstrate the REI tools

• While we cover a lot of the things that should be done during feasibility studies this is by no means everything that needs to be considered

• There is plenty of great content available on line and checklists you can source for free

• Always consider your personal financial circumstances and the implications of things like GST and CGT

• Seek advice from a professional!

• Identify an area based on your budget

• What is the general cost of the subdivision in that area

• Take time to understand the time it takes to complete

• Is this actually the best strategy for you

• What is it you are trying to achieve

How do we do it?

• Typically will require $600k-700k to complete (Brisbane, Logan, Moreton Bay)

• Typically will require $500k-$600k to complete (Ipswich)

• Typically will require $750k-$1M to complete (Greater Sydney region)

• Typically will require $600k-800k to complete (Greater Melbourne region)

Typical cost by area

• Typically will require $85k-$100k to complete (Brisbane, Logan, Moreton Bay)

• Typically will require $80k-$90k to complete (Ipswich)

• Typically will require $70k-85k to complete (Greater Sydney region)

• Typically will require $50k-65k to complete (Greater Melbourne region)

Typical cost of the subdivision by area (1 into 2 lots)

Poll: Where are you purchasing next?

Where do you start?

Checklist• What can you borrow?

Poll: Would you like a free borrowing capacity check?

Checklist• What can you borrow?

• Use Investar Search to find an area with suitable block sizes

• Take time to familiarize yourself with that area

• Understand land sale prices and check demand for land using Pricefinder

• Proximity to population centres can be a big plus

• Check the local council websites for planning maps and minimum lot size information

Real Estate Investar’s Pro tools

Investar Search

Investar Search

Search Results

Search Results

Search Results

Aerial Shot

Search Results

Planning Alerts

My Valuer / My Research powered by PriceFinder

PriceFinder Property Report

Interactive Maps

Interactive Maps

Interactive Maps

Zoning

Lot size requirements

Check utilities

Energex Infrastructure

Sewage & Stormwater Infrastructure

Possible division (1 into 3 lots)

350sqm

700+sqm

350sqm

PriceFinder Sales Data

PriceFinder Sales Data

Land Sales

House Sales Data

House Sales – Under 750sqm

New block approx size (700+sqm) $340,000

Purchase Price $499,000Stamp Duty $?Subdivision cost $?Total costs approx $?

Sell block x 2 (@$215,000 each) $430,000Sell Existing dwelling $340,000

Cash after sale $?

What do we know so far

Stamp duty calculator

Mock up feasibility (1 into 3 lot)

Mock up feasibility (1 into 3 lot)

Feasibility (1 into 3 lot)Mock up feasibility on 4 Macaranga St, Marsden

Purchase CostsPurchase Price $499,000Stamp Duty $ 17,201Legals $ 2,000

$518,201Development Costs

DA/Engineering/Approvals $ 20,000

Sewer $ 20,000Water $ 10,000Stormwater $ 10,000Telecommunications $ 15,000Infrastructure Charges $ 56,000

Plan Registration, Legals, etc $ 5,000

$136,000

Total Investment Cost$654,201

Purchase Price $499,000Stamp Duty $17,201Subdivision cost $136,000Total costs approx $654,201

Sell block x 2 (@$215,000 each) $430,000Sell Existing dwelling $340,000Total sales $780,000

Cash after sale $115,799

Mock up feasibility

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REI Tools

Poll: Would you like a call to discuss the Pro tools?

Our mission is to provide property investors around the world with the best advice,

guidance, products and services to enable them to create wealth through property investment.

Common investing challenges

• Don’t have the time

• Don’t have the knowledge or confidence

• Can’t find the right investment property

• Not sure what to buy

Poll: What is your biggest challenge with investing?

Options to overcome challenges

• Engage a buyers agent

• Engage an educator / mentor

• Attempt to do it yourself anyway

• Don’t do anything

Issues to consider

• Will you get the right investment property given your circumstances and goals?

• Are you guaranteed an outcome?

• What are the risks?

• Will you be able to identify potential issues if you are not aware of the signs?

Introducing the REI Premium Service

• Full service to assist you into your next investment property

• Property plan / strategy that will tell you what you can purchase and what you should purchase based on your financial circumstances and goals

• Purchasing plan to include acquisitions across existing stock, house & land, apartments and townhouses

• 48 hour first option on all new release property deals Australia & NZ

• 48 hour first option on all property bus trips across Australia & NZ including special rates for flights & accommodation

Finance & Professional ServicesProperty Deals Service

Investor Platform & Information


• REI Pro Membership for 12 months including setting up all of your existing properties into Portfolio Manager

• Dedicated Portfolio Manager to assist you every step of the way

• Full finance health check including pre approval for maximum lending by a specialist investment lender

• Xero subscription and set up for 12 months

• Free reports emailed to you weekly on locations, deals & hotspots




An end-to-end service to help you into your next (or first) investment property right now

Finance & Professional ServicesProperty Deals ServiceInvestor Platform & Information $4,995

REI Premium Service advantages• Access to our platform gives you complete

transparency on any deals we send you

• You will have a dedicated Portfolio Manager doing the work for you

• You are dealing with a business that specialises in property matching services

• You will get early and/or exclusive access to stock which sometimes does not make it to retail market

• You can leverage our experience, professional ties and partners to stay ahead of the crowd rather than being part of it



REI Premium Service advantages• 100% money back if you can’t obtain

finance pre-approval

• Outcome based product, not education, not mentoring, but you will still learn along the way

• If you purchase off-the-plan or House & Land stock listed through our partners you will receive a $5,000 cash rebate on settlement



Recent deals clients have done:Holmview subdivision

Recent deals clients have done:Holmview subdivision

Purchase Price

$310,000

Purchase Costs $10,000Subdivision Costs

$80,000

TOTAL $400,000

House End Value

$300,000

Block End Value $220,000TOTAL $520,000

600sqm

400sqm

$120,000 increase in equity

on completion

Recent deals clients have done:Gosford off-the-plan

• Boutique Development

• 48 x 2 Bedroom Apartments

• Capital growth has been 7.6%

• Water and District Views

• Prices from $435,000

• Real Estate Investar Clients received a further $10,000 off the listing price

• After public release pricing went up to $455,000

• Expected equity for initial purchases currently $30,000

Recent deals clients have done:Gosford off-the-plan

Poll: Would you like a consultation to discuss the Premium service?

Book you complimentary consult https://info.realestateinvestar.com.au/premium-membership-consultation

Special offer - realestateinvestar.com.au/save50Special Webinar Offer – Casual Subscription $99 per

monthNormally $149 per month – Save 33%

Questions

https://info.realestateinvestar.com.au/premium-membership-consultation

https://info.realestateinvestar.com.au/premium-membership-consultation